Overview
When an Out-of-Pocket request is submitted in the Custodia mobile app, it follows a structured approval flow to ensure that the expense is validated and reimbursed correctly. Below is a simple breakdown of each step in the process.
Approval Flow
1. Employee Submits an Out-of-Pocket Request
The user creates an Out-of-Pocket request, attaches the receipt, enters the expense details, and Submits to send it for approval.
This example is from the Custodia iOS mobile application:
The user receives confirmation that the request is now "Pending Approval"
As an alternative, you may also upload your expense towards a pre-approved activity. Please see Cash Expenses for further detail.
2. Direct Manager Review
The request is first routed to the employee’s Direct Manager who is listed as the user's Approver in the platform.
The manager can review the request by navigating to My Team > My Employees > Out of Pocket Expenses > View Request
Company Administrators can review the request by navigating to Finance & Accounting > Reimbursements and Charges > Out of Pocket Expenses > View Request
At this level, the manager, or admin, can Approve / Reject the request or send a direct message to the cardholder using the text box.
3. Expense Creation
After all manager approvals are complete, the request is converted into an Expense and enters the reimbursement workflow.
For Cash Expenses - the process is faster. Step 2 is skipped, and the expense is created automatically. From this point forward, the workflow is the same.
4. Review / Pending Reimbursement
The admin reviews all pending reimbursements batches. Each batch contains all expenses that are pending approval, grouped by employee.
The admin can review each expense individually within the batch.
This page also includes:
- Total amount Approved for Payment
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Amount of each itemized expense
- The admin can edit the amount, but only to reduce the original value.
- Approval Status of the expense
- Direct Message to the user
- Use the text box to enter a message, select Reply to send
- This message is received via Custodia app notification
-
Pay [Amount]
- Releases the funds for payment
5. Reimbursement Approved for Payment
After final approval, reimbursements are paid in batches. Once a batch is released, employees receive funds through the reimbursement method set by their organization, such as payroll export or direct reimbursement.
6. Payment Options
Payroll Export
- The admin submits the reimbursement batch and exports from Custodia, then imports into their pay management platform.
- Once the payment has been scheduled via payroll, they will close the batch by selecting "Mark as Paid"
Direct Reimbursement
Once the batch has been approved & released, the employee will receive direct payment via Custodia/Dwolla platform. Employees can expect their reimbursement within 5-7 business days.
**This feature must be turned via Custodia. Please reach out to your account manager or support representative for more information