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Expense Account for Dummies

noun

pronunciation: ɪk'spɛns_ə'kaʊnt

What does Expense Account really mean?

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So, a "Expense Account" is like a special bucket where we keep track of all the money we spend on work-related things. It's kinda like a piggy bank, but for grown-ups and for work stuff. You know how at home, your mom or dad might keep track of how much money they spend on groceries or gas? Well, an expense account is a bit like that, but for things related to work.

In grown-up language, an expense account is a special account that a company sets up for employees to use when they need to buy things for work, like gas, meals during a business trip, or supplies for their job. Instead of using their own money and then hoping to get it back later, employees can use the money in their expense account to pay for those work-related things.

But, here's the thing - even though it's like a piggy bank for work, it's super important to keep track of all the money that goes in and out of the expense account. That way, the company can make sure everything is being used for work stuff and not for, you know, personal things. So, they might ask for receipts or forms to show what the money was spent on.

So, in a nutshell, an expense account is like a special money bucket for work-related things, where we need to keep all the spending and saving receipts super organized, just like grown-ups do with their money at home. Cool, right?

Revised and Fact checked by Elizabeth Martin on 2023-12-14 16:47:17

Expense Account In a sentece

Learn how to use Expense Account inside a sentece

  • When you go on a business trip, you use your expense account to pay for things like hotel rooms and meals.
  • If you work for a company, you might have an expense account to cover things like office supplies and travel expenses.
  • A salesperson might use their expense account to cover the cost of entertaining clients or taking them out to dinner.
  • In some companies, employees can use their expense account to get reimbursed for things like mileage when they drive for work.
  • When you have to attend a conference for work, you can use your expense account to pay for things like registration fees and transportation.

Expense Account Synonyms

Words that can be interchanged for the original word in the same context.

Expense Account Hypernyms

Words that are more generic than the original word.