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re: How Would You Handle? Employee spends too much on company card. But is top producer...

Posted on 6/28/22 at 9:08 am to
Posted by LaLadyinTx
Cypress, TX
Member since Nov 2018
6132 posts
Posted on 6/28/22 at 9:08 am to
quote:

If he didn’t have a client with him then anything over the per diem should come out of his pocket…it’s that simple.


Exactly. Whoever processes your expense reports should only pay the limit. Tell him this is in place starting immediately. Over the $125 is paid with receipts and explanation/attendees. This is common practice at large companies. The rules shouldn't be subjective. If you'd been enforcing your rules all along, you wouldn't have this problem.
Posted by VABuckeye
Naples, FL
Member since Dec 2007
35710 posts
Posted on 6/28/22 at 9:11 am to
Agreed. As the owner of an LLC treated as an S Corp any expenses that aren't allowable count against me at tax time. So, now I am personally paying taxes on any amount this guy spends over the IRS guidelines.
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