AUDIT PROGRAM: Executive/Employee Expense Reimbursement

AUDIT PERIOD: January 1, 20X1 through December 31, 20X1

AUDIT OBJECTIVES:

A. Expense Reimbursements and Travel Advances

Determine whether:
1. Expense reports have been completed for reimbursements.
2. Expenditures are business related and consistent with Company policy.
3. Payments have been appropriately approved prior to disbursement.

B. Credit Cards
Determine whether:
1. Expenditures are business related and consistent with Company policy.
2. Payments have been appropriately approved prior to disbursement.

AUDIT PROCEDURES:

Done
Procedures Workpaper Ref. By Date Comments
Y/N?
EXPENSE REIMBURSEMENTS AND TRAVEL ADVANCES

1) Obtain formalized policies and procedures for

executive/employee expense reimbursements and
travel advances.

2) Obtain a listing of cash disbursements from

January 1, 20X1 to December 31, 20X1 and
select 2 payments each to the following
individuals:
a. Employee 1
b. Employee 2
c. Employee 3
d. Employee 4
e. Employee 5
f. Employee 6
g. Employee 7
h. Employee 8
i. Employee 9
j. Employee 10

Contributed by Lordi Consulting, LLC (jcehlar@lordiconsulting.com)

 Done
Procedures Workpaper Ref. By Date Comments
Y/N?
3) For each payment perform the following:
a. Determine the nature of the payment (e.g.,
expense reimbursement, travel advance,
other).
b. If expense reimbursement:
i. Review the expense report to determine
that the expenses appear to be valid
business expenses.
ii. Examine the expense report for the
inclusion of receipts in accordance with
Company policy.
iii. Recalculate/foot the expense report to
determine that it was accurately
calculated.
c. If travel advance, ensure that the amount,
nature, and timing are in accordance with
Company policy.
d. If other:
i. Review the payment and related support
to determine that the payment appears to
be valid.
ii. Examine the payment for the inclusion
of receipts (if applicable) in accordance
with Company policy.
iii. Recalculate/foot the payment to
determine that it was accurately
calculated.

4) Ensure that payments were processed appropriately

by Account Payable (trace to check remittance).

5) Verify that the expense reports and other cash

disbursements were approved/signed by an
appropriate party.

CREDIT CARDS

6) Obtain formalized policies and procedures for

Credit Card usage.

Contributed by Lordi Consulting, LLC (jcehlar@lordiconsulting.com)

 Done
Procedures Workpaper Ref. By Date Comments
Y/N?
7) Obtain a listing of cash disbursements from
January 1, 20X1 to December 31, 20X1 to the
credit card company; sub-select 1 payment to the
credit card company related to the following
individuals:
a. Employee 1
b. Employee 2
c. Employee 3
d. Employee 4
e. Employee 5
f. Employee 6
g. Employee 7
h. Employee 8
i. Employee 9
j. Employee 10

8) For each payment perform the following:

a. Review the credit card statement to
determine that the expenses appear to be
valid business expenses.
b. Examine the expense report for the inclusion
of receipts in accordance with Company
policy.

9) Ensure that payments were processed appropriately

by Accounts Payable (trace to check remittance).

10) Verify that the credit card statements were

approved/signed by an appropriate party.

PERFORMED BY: REVIEWED BY:

Auditor Audit Manager

Contributed by Lordi Consulting, LLC (jcehlar@lordiconsulting.com)