Configure expense rules and tax management

Configure automatic expense calculations from company policies or legal requirements, then associate Expense Item record types with taxes. Rules can calculate mileage, per diem, accommodation, and other compensation.

Who can use this?

HR Admins in the flair HR app in Salesforce.

Open Expense Rules Template

1. In the flair HR app, open HR Admin.
2. Click Expense Rules Template. The template management page opens.

note

A default Expense Rules Template is migrated to every customer Salesforce org, but it is disabled by default.

Create an expense rule

1. On Expense Rules Template, click New.

2. Configure the rule fields:

   Field	What it does
   Name	Identifies the rule, such as Mileage - Own Car.
   Record Types	Sets the applicable Expense Item record types, separated by semicolons. Common values are Travel, Meal, Per Diem, and Other.
   Condition Field	Identifies a field on the Expense Item or parent expense to evaluate.
   Operator	Sets the comparison, such as equals or greater than.
   Condition Value	Sets the value to compare with the condition field.
   Compensation Amount	Sets the base compensation.
   Calculation Field	Multiplies its value, such as kilometers or nights, by Compensation Amount.
   Percentage Addition	Optionally adds or subtracts a percentage of the item amount.

3. Save the rule. It becomes part of the template.

Configure a mileage rule

For a reimbursement of €0.30 per kilometer with an employee's own car, use these values:

Field	Value
Name	Mileage - Own Car
Record Types	Travel
Condition Field	Means of Transport
Operator	Equals
Condition Value	Own Car
Compensation Amount	0.30
Calculation Field	Kilometers

The rule calculates 0.30 × Kilometers when the employee selects Own Car.

Configure a per diem rule

For a daily meal allowance, use these values:

Field	Value
Name	Per Diem - Meals
Record Types	Per Diem
Condition Field	Leave empty to apply the rule to every per diem item.
Compensation Amount	Enter the amount for the relevant meal type.
Calculation Field	Number of Days

flair calculates the allowance from the expense start and end date and time, provided meals, and number of covered days.

Configure expense limits

You can set daily, weekly, monthly, or annual compensation limits for each record type.

1. In Expense Rules Template, enter the Limit Amount.
2. In Limit Interval, select Daily, Weekly, Monthly, or Annual.
3. In Record Type, select the Expense Item types to which the limit applies.
4. Save the limit. When an item reaches it, flair sets Limit Reached to true for use in custom validations or workflows.

Scope a rule by department or country

• In the rule, set Department to apply it only to employees in that department, or set Country to apply it only to employees in that country.

Enable expense rules

1. Confirm that Default Expense Policy is enabled. A migrated policy is disabled by default.
2. In the upper-right corner of Expense Rules Template, click Enable. The rules apply automatically when users create Expense Items.

Open Tax Manager

1. In the flair HR app, open HR Admin.
2. Click Tax Manager. The tax management page opens.

Create a tax type

Tax types can represent tax-exempt items, standard or reduced VAT, and organization-specific rates.

1. In Tax Manager, find Tax Overview on the right.
2. Click New.
3. In Tax Name, enter a name such as Standard VAT or Tax Exempt.
4. In Percentage, enter the tax rate.
5. Click Save. The tax type becomes available for record-type associations.

Associate taxes with record types

1. In Tax Manager, find Record Type Tax Association on the left.
2. Select the object. The default is Expense Items.
3. For each record type, select its tax type. For example, associate Travel with Tax Exempt, and Meal and Other with Standard VAT.
4. Click Save. New Expense Items receive tax from their record type.

If an item's record type changes, flair recalculates its tax. You can set tax manually, but a later record-type change recalculates it again.

Use Tax Manager with another object

Tax Manager can associate taxes with record types on another object.

1. Edit the Tax Manager page.
2. In the component configuration, change the object name.
3. Save the page. The component displays record types for the selected object.

Related articles

• Create and submit expenses
• Review and approve expenses
• Set up merchants and expense categories
• Expenses overview