What is expense arrangement in SAP SRD-FIN-ERM - FIN-Travel and Expense Management?

SAP Term: expense arrangement

• Component: SRD-FIN-ERM

• Component Name: FIN-Travel and Expense Management

• Description: A definition by the company of parameters for an employee that are needed for expense reports. It is used to determine per diem amounts, the type of standard vehicle, and the standard cost distribution.

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• Key Concepts: 
  Expense Arrangement is a feature of SAP's Travel and Expense Management component that allows users to define and manage the rules and regulations for employee expenses. It enables users to set up rules for different types of expenses, such as travel, meals, and entertainment, as well as to define the limits for each type of expense. This helps to ensure that employees are not overspending on company expenses.
  
  How to use it: 
  To use Expense Arrangement, users must first create an expense arrangement template. This template defines the rules and regulations for employee expenses. Once the template is created, users can assign it to individual employees or groups of employees. The template will then be used to automatically calculate the limits for each type of expense for each employee or group of employees.
  
  Tips & Tricks: 
  When creating an expense arrangement template, it is important to consider the different types of expenses that may be incurred by employees. For example, if an employee is traveling for business purposes, they may need to purchase meals or entertainment while on their trip. It is important to include these types of expenses in the template so that they are accounted for when calculating the limits for each type of expense.
  
  Related Information: 
  For more information about Expense Arrangement, please refer to SAP's official documentation on Travel and Expense Management. Additionally, there are many online resources available that provide tips and tricks for using this feature effectively.