7 Modern Expense Cards for Contract Employees

Are you a business that hires contract employees, freelancers, or gig workers? If so, you will be well aware of how challenging it can be to manage finances and expenses. But don’t worry!

Modern expense cards for employees are here to offer a groundbreaking solution and make your life easier! 

Expense cards are prepaid cards explicitly tailored for contract employees and offer convenience, transparency, and control like never before. These innovative tools are pre-loaded with a certain amount that helps employees can use to navigate their financial obligations effortlessly.

And, since employees cannot spend a single dime beyond the set limit, you as a business can focus on what’s needed the most: deliver exceptional work. 

Adapting to the changing world is vital in today’s rapidly evolving job market. So why not take advantage of the remarkable features and benefits offered by these employee expense cards? But first, let’s understand what employee expense cards are and how they can prove beneficial for you. 

What is an Employee Expense Card?

As of now, employee expense management cards are the most efficient expense management tool for businesses.

They are prepaid debit cards that are issued to employees who frequently incur business expenses, such as sales reps, field techs, or traveling staff.

With these cards, employees no longer need to use their money or wait for reimbursement for authorized business expenses to spend money on work-related tasks such as travel, lodging, meals, office supplies, and others.

Employee expense cards ensure that employees can purchase goods and services in accordance with the employee expenses policy of the company providing more transparency to the business about employee spending.

How does an Employee Expense Card differ from a Corporate Credit Card?

Employee expense cards and corporate credit cards may appear similar, but the two have significant differences.

Ownership and Liability

Companies issue employee expense cards directly to the individual employees, who are accountable for the transactions made using the card. The employer establishes the expenditure limits and tracks the transactions, and the employee is responsible for where it is spent.

On the other hand, corporate credit cards are issued by banks to the company or organization, and the company assumes responsibility for any charges incurred on the card.

Payment type

As mentioned before, employee expense cards are pre-loaded with a specific amount of money and operate as debit cards. On the other hand, corporate credit cards add up the organization’s debt, which the employer must reimburse to the bank.

Expense Tracking and Reporting

Both employee and corporate credit cards allow tracking and reporting of expenses. Employee expense cards are usually connected to expense management systems, enabling employers to track the costs made in real-time.

This also eliminates the need to submit expense reports in the future. In contrast, corporate credit cards require employees to submit receipts and expense reports separately since they are not typically integrated with expense management systems.

Approval and Issuance

Employee expense cards are issued to specific employees who make recurring business-related expenses. Generally, approvals are built-in, which saves time spent on seeking one for each purchase made.

Corporate credit cards, however, are typically issued by banks to the organization as a whole. The employee using the corporate card needs to seek approval for each transaction made through the card.

Expense Limit

Employee expense cards give the right to organizations to assign individual limits based on the anticipated spending they need to make. Conversely, company credit cards have an overall expense limit, and there is always a risk of overspending.

What are the benefits of an expense card over expense reimbursement?

Expense cards offer several benefits over expense reimbursement processes. Here are some advantages of using expense cards:

Real-time tracking: Employees can easily and efficiently make purchases using an expense card. The card enables real-time tracking of expenses, saving time on seeking approval and reducing the likelihood of overspending. This also means no more tedious manual record-keeping.

Streamlined process: Expense cards can be a lifesaver when managing expenses! Not only do they simplify the process, but they also automate many tasks. Rather than worrying about collecting receipts and submitting reimbursement requests, employees can easily use the card for any approved expenses.

Faster access to funds: Unlike traditional expense reimbursement, these cards provide you with immediate access to funds allocated to your card by your employer. No more worrying about paying out of pocket and waiting for a refund.

Flexibility: Allowing employees to add individual spending limits for each employee, expense cards offer great flexibility to the organization for managing expenses.

Expense cards are a fantastic way to manage your business expenses conveniently, effectively, and efficiently. It’s no wonder why so many organizations prefer this option!

Our guide focuses on expense card providers that provide tailored solutions for contract employees that help meet the specific needs of this growing workforce.

Wallester

Looking for a trustworthy solution to keep your corporate expenses in order? Look no further! Wallester is the top choice for businesses seeking uncompromising security. 

With lightning-fast card creation, their expense cards can be in your hands quickly. And with an International Bank Account Number (IBAN), keeping track of your expenses has never been easier – sit back and let Wallester do the accounting for you.

Their employee expense cards offer many benefits beyond simple expense management and can easily integrate with various finance tools. 

Key Features:

• Instant Creation of Cards
• Swiftly uploading invoices using dedicated software.
• Integrated accounting service that empowers you to manage your company budget effectively.
• Detailed Expense Reports
• Real-time transaction monitoring and limit regulation

PEX

Looking to drive more referrals and incentivize your employees? PEX is here to help you with its physical, digital, and virtual employee expense cards. Moreover, it makes managing distribution and gathering valuable insights incredibly easy.

These cards are a popular choice for businesses looking to streamline the process of allocating funds to their employees for business-related expenses while maintaining control over spending.

Features:

• Expense management tools provided for employers
• Access to detailed transaction information and spending patterns 
• Ability to generate expense reports 
• Includes PIN protection feature 
• Ability to disable or suspend cards instantly in case of loss or suspected fraud

Wise

The Wise Expense Card is an excellent choice for businesses with international operations or employees who frequently travel for work. For those who want to avoid the inconvenience of carrying cash or using personal credit cards for work-related expenses, Wise is the ideal solution.

This platform is well-known for providing competitive foreign exchange rates and low fees, which makes it a reliable option for businesses of all sizes. 

With their Expense Card, employees can conduct transactions in multiple currencies without incurring high conversion costs. 

Features:

• Mobile receipt capture and upload for employees.
• Integration with accounting software like Xero, QuickBooks, and FreeAgent.
• Additional benefits include cashback, travel insurance, and extended warranty protection.
• Monitor real-time spending in multiple currencies from any location.

Finly

Employee expense cards by Finly provide complete transparency on who spends what and where. Its in-depth analytics dashboard enables you to track your expenses in real time.

With just a snap of a receipt using their mobile application, you can instantly report your expenses and have a complete digital record of your spending. No more tedious reimbursement processes! Keep your finances in check with Finly!

Features:

• Enhanced spend control allows for control before spending occurs
• Employees can easily capture receipts and categorize expenses
• Automated expense reports eliminate the need for manual data entry
• Partnerships with vendors provide access to discounts and rewards programs
• Customizable APIs to streamline and simplify managing operations. 

Pleo

Pleo offers a reliable expense solution in the form of an employee expense card that turns out to be a total game-changer, especially for those contract employees out there. It’s so easy to use and offers seamless integration with any accounting software your company may be using. 

With the ability to set spending limits and receive real-time notifications, you’ll always be on top of your expenses. And the automatic categorization of expenses makes submitting expense reports a breeze. 

Features:

• Connect your employee expense card to your Apple or Google device for easy payments
• Certified by PCI DSS for secure money and data handling
• Create teams and assign reviewers for decentralized spending controls
• Set individual spending limits for every employee or every purchase 
• Certified with Payment Card Industry Data Security Standard (PCI DSS), so your money and data are safe.

Spendesk 

If you’re on the hunt for a flexible way to handle employee expenses, then your search is over! Spendesk will prove to be the ultimate choice. Spendesk lets you generate virtual expense cards tailored to your contract needs and, at the same time, gives you complete control over your spending and minimizes your internal and external fraud risk. 

Plus, with features of streamlined approval workflows, you can ensure that every purchase is fully authorized. So why wait? Sign up for Spendesk today and take your expense management to the next level!

Features:

• Helps manage cash flow and predict supplier payments
• Real-time view of all team transactions
• Set limits for teams and individuals with defined thresholds
• Card and mobile app payment to streamline offline spending. 
• Set pre-defined adjustable budgets. 

Ramp

The exceptional tools and approach introduced by Ramp have truly transformed the financial services industry. It’s no wonder that Ramp has become the fastest-growing employee expense card in America. This impressive accomplishment has earned them a well-deserved spot on LinkedIn’s Top US Startups for 2022.

Are you tired of filling out those boring expense reports? Or are you a Finance Director who needs better strategic decision-making insights? Ramp cards are the perfect solution for both of these situations!

Features:

• Expense management made easy without the hassle of expense reports
• Save money on purchases, contracts, subscriptions, and partner rewards
• Get a charge card with higher credit limits and instant virtual cards
• No requirement for personal credit checks or a founder guarantee.
• Instantly block or restrict the spending for a specific card for your company. 

Conclusion

For contract employees, keeping track of expenses can be a real headache. But thanks to modern expense cards, those days are over! These cards are designed to meet contract workers’ unique needs, allowing them to manage their expenses easily. 

With features like spending limits, detailed transaction data, and cashback rewards, these cards are a game-changer for anyone who wants to stay organized and make smart financial decisions. Trust us; these tools are reliable, convenient, and worth checking out!

You may also explore some best credit-building apps.