Number: SOP-TVL-14
Subject: Reimbursing Shared Expenses
Summary: How to reimburse expenses split across multiple travelers, for example an Airbnb rental.
Source: University Travel Management Services
Date of Issue: 01/30/2024
Date of Revision: 05/29/2024
Rationale
Sometimes a department may decide to split single expenses among two or more employee travelers to help reduce out of pocket expenses, like Airbnb rentals. This SOP is designed to help navigate how these shared expenses should be documented on an expense report.
Procedure
If a department is wanting two or more employees to share an expense, there is a proper procedure to follow when claiming reimbursement. There are also alternative payment methods that should be explored, prior to having the employees’ split expenses.
The first route, and most compliant, would be to explore IU prepaid methods. Examples include booking and paying for travel with an IU ghost card through Egencia, or utilizing a department meeting card, if applicable.
Alternative payment options/things to consider:
- Egencia has an IU card available for lodging payments.
- Are students attending? Financial aid may be impacted by some travelers paying and others not? If the answer is yes--- IU prepaid options should be used, or all payments must be split so each payee is paying for their portion. Please refer to section, “No IU payment option can be used, and no one traveler is able to be the designated payer” to learn what is required as attachments to substantiate the claim.
- Are students and a staff/faculty traveling? If so, the group might qualify for a meeting card. Visit the IU Travel Meeting Cards page to learn more.
No IU payment option can be used, one payee can front the shared expense:
If it is deemed there is no IU paid option that can be utilized, one traveler should be the designated payer for the shared expense. The designated payer should submit for reimbursement at the completion of the trip. On the expense report, the other travelers’ names and IU affiliation should be documented in the comments section, along with the reason the IU prepaid methods were not utilized.
No IU payment option can be used, and no one traveler is able to be the designated payer:
If it is deemed that no IU payment option can be used and that no one traveler can front the expenses, splitting payments amongst travelers may occur. To have a compliant audit record, please ensure the following is added to each traveler’s expense report when reimbursement is being requested.
- The itemized receipt from the booking.
- Travelers’ names of who stayed and their IU affiliation.
- A breakdown of how payment was shared (initial payee and how much each traveler reimbursed them).
- Copy of receipt for the traveler reimbursing the initial payee (venmo/paypal/zelle).
- ***Please note, cash is not an acceptable form for business payment. If a cash payment is made, a receipt is still required. Please visit the Receipt Requirements page to learn more.
- Reason why IU prepaid methods were not utilized.