Corporate credit cards are a convenient way to manage non-reimbursable expenses in NetSuite. When an expense is paid directly using a corporate credit card, the employee does not need reimbursement. Instead, the expense is tracked against the credit card account. Here’s how to set it up and manage these transactions effectively.
Steps to Configure Corporate Credit Card Expenses
- Open the Expense Report
- Select the Credit Card in the Credit Card Field of the Expense Report used for the expense.
- Mark the Corporate Credit Card Checkbox in the line level of the expense report. This step ensures that the expense is recorded as paid by the corporate card.
- If we use a corporate credit card for all line items, we can use the Corporate Credit Card by Default option. This checkbox in the expense report allows us to automatically apply the corporate credit card setting to all line items in the expense report.
Understanding the GL Impact
When we mark an expense as paid with a corporate credit card, NetSuite automatically updates the General Ledger (GL) as follows:
- Debit: The expense account associated with the transaction (e.g., travel, meals, etc.).
- Credit: The corporate credit card account, reflecting the amount charged.
This ensures accurate tracking of the expense and credit card balances.
Expense Report Status
Once the expense report is processed with the corporate credit card setup, its status will display as “Paid in Full.” This indicates that no reimbursement is required, and the payment has been accounted for through the credit card.