Budget - Expenses

In Chronova, the Expenses section allows users to manage and track the financial transactions associated with a project. Depending on the user's permission level, different actions are available within the expenses module.

User Permissions

Without Manager Permissions: Users can view only their own expenses. They have the ability to create new expense entries, edit, or delete their existing expenses.
With Manager Permissions: In addition to the user-level actions, managers can view all expenses in the project and have the authority to approve or unapprove expenses submitted by others.

Expense Status

the status of expenses plays a crucial role in the overall project management process. There are three primary statuses for expenses: approved, unapproved, and pending, each representing a different stage in the expense approval workflow.

Pending: When a user submits an expense, it initially enters the pending state. This status indicates that the expense is awaiting review by a project manager. During this period, the expense is not yet considered in the project’s financial calculations unless automatic approval is enabled.
Approved: Once a manager reviews the expense and confirms its validity, the expense is marked as approved. Approved expenses are immediately included in the project’s financial tracking, impacting the overall project budget. This status ensures that only verified costs are accounted for in the project’s expenses.
Unapproved: If a manager deems an expense inappropriate or outside the project’s scope, it can be marked as unapproved. Unapproved expenses are excluded from the project’s financial calculations, and the user may be required to edit or resubmit the expense for further review.

Creating and Managing Expenses

Users can create new expenses by clicking the Create button. When creating an expense, the following fields must be filled in:

Category: Select or create an appropriate category for the expense (e.g., travel, equipment).
Amount: Enter the cost associated with the expense.
Date: Specify the date the expense was incurred.
Description: Provide additional details about the nature of the expense.

After submission, the expense will be pending for approval unless automatic approval is enabled. This feature will be explained in detail in the Budget - General Settings documentation page.

Viewing and Filtering Expenses

Users can filter expenses by:

Member: To view expenses submitted by a specific user (if permissions allow).
Status: To filter by approval status (approved, pending, unapproved).

This allows for easy management and tracking of expenses over time, helping ensure that costs are accurately recorded and controlled.

Approving and Unapproving Expenses

For managers, the ability to approve or unapprove expenses is a key feature. Managers can review submitted expenses, ensuring they align with project goals and budget constraints. Approved expenses are automatically reflected in the overall project budget.

Best Practices for Managing Expenses in Chronova

To ensure smooth financial tracking and efficient project budget management, it’s essential to follow best practices when creating, managing, and approving expenses in Chronova:

Accurate Categorization: Always select the most appropriate category for each expense. This ensures clarity in financial reporting and helps in quickly identifying cost patterns across different projects.
Detailed Descriptions: When submitting an expense, provide clear and concise descriptions. Including specific details about the expense (e.g., purpose, related activities) helps managers understand the necessity and relevance of the cost.
Timely Submission: Submit expenses promptly after they are incurred. Delayed submissions can cause inaccuracies in project financial tracking and make it difficult for managers to maintain an updated budget.
Review Before Approval: Managers should thoroughly review all expenses before approving them. It’s important to ensure that expenses align with project goals, budget constraints, and company policies to avoid unnecessary costs.
Use of Filters: Utilize the expense filters for efficient management. Sorting expenses by member, status, or category can provide insights into spending patterns and assist in identifying areas where cost reductions may be possible.
Tracking Approval Status: Regularly check the approval status of expenses to avoid bottlenecks. Pending expenses should be addressed promptly to maintain up-to-date financial records and ensure accurate budget forecasts.
Communicating with Team Members: Managers should maintain clear communication with team members regarding expense policies and approval criteria. This can help reduce the number of unapproved expenses and ensure that all submissions meet project and company requirements.