Source: https://rivet.global/blog/expense-policy-for-small-business-us
Published: 2026-09-19 · Updated: 2026-09-19 · By Alexia M.

# Writing an expense policy for a small business

What a small business expense policy should cover: who can spend, limits, receipts, travel, software, approvals and reimbursements, with a short template you can adapt.

## Key takeaways

- A small business expense policy covers who can spend, spending categories, limits, receipts, approvals and reimbursements.
- Card limits enforce the policy better than a document alone.
- The IRS expects records that show the amount, date, place and business purpose of each expense.
- Review the policy every six months against actual spend.

"Expense policy template" and "corporate credit card policy template" sit high in Google's suggestions. A small business needs less than a template suggests.

## A one-page policy

| Rule | Example |
|---|---|
| Who can spend | Anyone with a company card |
| Software | Up to $200 a month without approval; above, ask the finance lead |
| Travel | Book economy; over $1,000 needs manager approval |
| Meals | With clients only, up to $75 a person |
| Receipts | Uploaded within 7 days |
| Reimbursements | Paid within 14 days of a complete claim |
| Personal use | Not allowed; repay within 7 days if it happens |

## Enforce it with cards

A rule says "software under $200". A card with a $200 monthly limit makes it true. Use per-card limits, merchant categories and approvals for anything over.

## Accountable plan

Reimbursements under an accountable plan, with business purpose and receipts, are not taxable income to employees. Keep the records.

## Review

Every six months, compare the policy with actual spend and adjust limits.

## Paying into the United States: the local rail

| What | Detail |
|---|---|
| Local rail | ACH for batch payments; RTP and FedNow for instant transfers |
| Run by | Nacha for ACH; The Clearing House for RTP; the Federal Reserve for FedNow |
| Settlement | Same-day ACH within the business day, standard ACH the next; RTP and FedNow in seconds, 24/7, where both banks take part |

Source: [Nacha: Same Day ACH](https://www.nacha.org/rules/same-day-ach-moving-payments-faster). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet gives every team member cards with their own limits, receipts on one ledger and, on Growth, approvals for up to 10 members. Rivet is not a bank; regulated partner institutions hold the funds. See [expense management for small businesses](/blog/expense-management-for-small-businesses).

## Questions

### What should an expense policy include?

Who can spend, what on, limits per category, receipt rules, approval steps, reimbursement timing and what happens when rules are broken.

### How long should it be?

For a small team, one or two pages. Longer policies go unread.

### What receipts does the IRS need?

Records showing the amount, date, place and business purpose. Some expenses, such as travel, have extra rules.

### Should every employee get a card?

People who spend regularly, yes, with limits. It is easier than reimbursements and keeps records clean.