This article is about Justworks EOR (Employer of Record). What product am I using?
Expense reimbursements for Employer of Record (EOR) employees can be managed directly in Justworks using Expenses.
Employees submit reimbursement requests with supporting documentation, managers can review requests (if enabled), and admins approve requests and schedule reimbursement payments.
You can access Expenses by navigating to Payments > Expenses.
You can manage expense reimbursements for your whole team, no matter where they work, within Expenses. Learn more about managing expenses for US-based employers in Justworks by reading Expenses (Desktop).
Permissions
Before using Expenses, you'll need to assign the appropriate permissions.
There are two types of Expenses permissions available:
- Admins
- Managers (optional)
Admin Roles
At least one admin must have the Approve & Pay role assigned. This role is required to complete setup for either US-based or international Expenses.
Admins with the Approve & Pay role can:
- Complete the initial Expenses setup
- Manage Expenses settings
- Review and approve reimbursement requests
- Schedule reimbursement payments
- Access Expenses reporting
Additional admins can be provided with the Viewer role to access Expenses reporting and view submitted individual reimbursement requests. Viewer admins cannot approve requests, schedule payments, or change Expenses settings.
Manager Approval (Optional)
You can allow managers to review reimbursement requests submitted by their direct reports before an admin reviews them for final approval and payment scheduling. If manager approval is turned on, it will apply to all employees.
When manager approval is enabled, managers can:
- Review submitted requests
- Approve requests and send them to an admin for final approval
- Return requests to employees for updates
Managers can't schedule reimbursement payments.
International Expense Categories
After completing permissions setup, you can review the expense categories available for your Employer of Record employees.
The expense categories available are preset by country and are determined by local tax requirements. Within the preset categories, you can enable or disable categories for each country where you have an EOR employee located.
Note: Expense categories are set on a per-country basis and determined by local tax requirements; custom expense categories cannot be created.
Turning On Expenses
After reviewing your settings, you can enable Expenses for your international employees. Expenses for international and US-based employees can be enabled independently from one another.
For Justworks EOR employees, using Justworks’ Expenses is the compliant expense management solution. However, if you already have another expense reimbursement tool for your US-based workforce you can continue to use that separately
Once enabled, eligible EOR employees can begin submitting reimbursement requests.
To disable Expenses, return to the Settings page and turn the toggle off.
Note: Turning off Expenses prevents new reimbursement requests from being submitted. Historical requests remain available for both admins and employees.
Currency in Expenses
EOR employees will submit expense requests using their local currency.
During review, admins can view:
- The submitted amount in the employee's local currency
- An estimated USD equivalent
The final reimbursement amount is calculated using the exchange rate when the reimbursement payment is processed.
If the exchange rate changes between submission and payment, the final reimbursement reflects the exchange rate at the time payment is processed.
Notifications
When an employee submits or resubmits a reimbursement request a notification will be visible in Justworks and sent via email to both the manager (if enabled) and admin to review .
Payment Scheduling
After an admin approves a reimbursement request, the reimbursement payment is scheduled for the pay date aligned with the employee's payroll schedule.
Prior to the payroll processing deadline, you can edit or cancel the scheduled reimbursement payment from Payments > Off-cycle Payments.
Frequently Asked Questions
Are receipts required?
Yes. Receipts are required for every Employer of Record expense submission. Supported file types include:
- PNG
- JPG
Employees can attach multiple receipts to a single expense when needed.
Can I create custom expense categories?
No. Expense categories for Employer of Record employees are preset by country in order to comply with country-specific guidelines. However, you can enable or disable individual available categories.
Can employees submit expenses in USD?
No. Employees submit expenses using their local currency.
Justworks displays an estimated USD equivalent during review and applies the exchange rate in effect when payment is processed.
Can managers schedule reimbursement payments?
No. Only admins with Approve & Pay permissions can schedule reimbursement payments.
Can I turn Expenses off?
Yes.
Go to Payments > Expenses > Settings and turn off International Employees can submit requests.
Turning off Expenses prevents new reimbursement requests from being submitted but doesn't remove historical request data.
Disclaimer
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for accounting, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.