I'm intrigued. We use expensify and it's been bar-none the easiest to use expense reporting system I've ever used. At my old startup we did everything via a pre-setup excel sheet which was also stupid simple.
This solves one of my major problems, after a week or two on the road, I invariably lose a receipt or two.
But I wonder if it solves my other problems?
- expenses that don't have receipts, like unattended exact change toll booths, or when I use my old MTA card (which still has money on it!) to get around NYC, so I don't have a receipt for buying or filling up a new card, or grumpy cab drivers that provide a receipt, etc.
- driving expenses, this is a big problem with expensify, which is geared to either use their embedded gps directions to calculate distance (which is never the route I use so it's always off by quite a few miles), or the honor system which is usually just a best estimate. The other night I went on google and actually laid out the exact route I took on a recent drive and found out that my honor system reported mileage was off by about 2 miles. I'd love to be able to get in my car and hit "expense driving" and have it track my path and use that as the submission.
- separating out expenses on a receipt. My company doesn't reimburse booze, so a dinner out while travelling, with a beer, means I have to manually remove the booze charge from my expense and recalculate the taxes etc. Or if I'm out with one of my friends who works for the government, and I pick up the tab via credit and he pays me back for his portion in cash (the ethics are pretty strong on this) how do I deal with this?
I've found that expense reporting systems get complicated for these reasons.
Also, I definitely do not want it connected to my bank account.
Receipts aren't required. If you're worried about an IRS audit it's important to have receipts (images) for transactions over $75, but for anything under that it's up to the company / employee.
Some of the other stuff (mileage reimbursement, splitting expenses on a receipt) are good points but are also largely responsible for why some of the other tools out there are so heavy and complicated. We might try to address these use cases in the future, but for now we're trying to keep Abacus as simple as possible. You can use the expense note to add this sort of context.
Curious why you don't want to connect your bank account to get paid back? We take security very seriously, your bank details are stored with PCI DSS certified processor and never touch our servers.
> Receipts aren't required. If you're worried about an IRS audit it's important to have receipts (images) for transactions over $75, but for anything under that it's up to the company / employee.
Most of my employers like the have at least scanned images of the receipts or a cropped screenshot of a credit card transaction showing the expense. Beyond IRS requirements, most places just use them to add a layer of verification that the expense is warranted and correct (I'm not claiming $15 for lunch when it cost me $7 or something). Being able to just shoot a photo of it with my phone might be enough?
> We might try to address these use cases in the future, but for now we're trying to keep Abacus as simple as possible. You can use the expense note to add this sort of context.
Yeah, all that stuff is definitely what makes expenses a PIA. Glad to see you're keeping things focused. A "expense this drive" that uses GPS tracking to calculate mileage would be a cool feature though.
> Curious why you don't want to connect your bank account to get paid back? We take security very seriously, your bank details are stored with PCI DSS certified processor and never touch our servers.
Definitely not a knock against you guys or your precautions. It's just not a feature I would use personally.
Maybe I'm a luddite, but autobillpay and other electronic transaction systems are something I try to avoid where possible in favor of getting a check and depositing it myself. It's not a decision I've ever come to regret and having an extra audit trail on my end has come in handy several times over disputes -- besides, I get a nice walk to the bank out of it.
note I've already sent your URL out to a few people already! Good luck and awesome idea!
> Being able to just shoot a photo of it with my phone might be enough?
Yup, adding a photo of the receipt is part of expense creation in Abacus. In 2006 a new law was passed that made a photo of a receipt (like the one stored in Abacus) the legal equivalent of a paper receipt, so you no longer have to save the paper copy.
How is this different from expensify? Expensify uses the slogan "Expense reports that don't suck."
You are essentially trying to do the same thing here.
What are your main differentiators and what exactly are you doing better than these other solutions out there?
I'm glad you asked. It's really just an entirely different approach. We’re not building another expense tracker (no offense - some people just need to track expenses). We believe the core of the problem is not in the tracking of expenses, but rather the back office workflow. We’re trying to solve a team collaboration problem.
In terms of quantifiable differences, it’s way faster for employees to submit and get reimbursed because we've extrapolated away the need to even create an expense report (submit on the fly), managers can review and approve right from the mobile and for the accountants, everything is on autopilot (accounting autosyncs in the background nightly, payouts are tied to approval and go out nightly, communications go out to employees with payout status immediately, etc.)
I used to have the awful job of auditing executive expense reports at a fortune 10 company. One major problem is that employees submit expenses, and managers approve them, but they don't comply with IRS guidelines for deductibility. For instance, an employee just submits a expense for a $300 dinner, and it is approved by his manager.
One area where you could really stand out from the competition is guiding people to do the right thing, e.g. list the number of people that attended the dinner and a few names and titles of the attendees.
Thanks! Firstly, glad you're no longer having to suffer through that, haha. It's a great point you bring up - we're trying stay focused on serving businesses with 5-100 employees where that's less of an issue.
That being said, we have built in something we're pretty excited about which is commenting, where managers and employees can communicate right from the phones on specific transactions (kind of like sending a text) to clarify and approve rather than reject and force the employee to start over.
We're also psyched to start building what my co-founder Ted likes to think of as 'data snacks', where we surface relevant insights based on the situation, e.g. you're 80% of the way through your monthly budget, which is really what we've heard companies at that particular stage value most.
It is the small businesses that get screwed the most. Big companies have guys like me. It is only a problem when the IRS decides to do an audit, and they determine the 50% rule applies on the last 5 years of M&E. It is a non-issue for small businesses right up to the point when it becomes a major issue.
For instance, if you have "Dinner, $300", that can be a problem. If you have "Dinner, $3,000, 10 attendees, incl. Larry Page - CEO Google", the IRS will have no problem, even though it is a $300/pp dinner.
That's my biggest complaint with Expensify. Great, my report is approved... now what? There is little indication to me, as an employee, of what happens next or when it will take place.
Totally felt that pain! And honestly, your companies don't want to delay the payout - it's just a hassle for them to do with existing services. That's why we baked it directly into the approval process, so they don't need to even think about it - it'll just show up in your (employee's) bank account and sync with the company's accounting solution in the background.
Yea, we encourage people to submit expenses more-or-less as they happen (takes 10 seconds!) then throw away the receipt and be done with it. People can still submit expenses in batches if they want to, but there's a lot to be said for doing it while you're thinking of it / before you lose that receipt...
I've been using Expensify for 2+ years and I just started using Abacus. The core value proposition of the two products are significantly different.
Expensify makes the "old school" expense/reimbursement process easier. Expensify lets me collect my receipts, fill out electronic expense reports, submit such reports to my supervisor at the end of each month, wait for his approval, then wait for the finance dept's approval, then wait another 15 days for the deposit. I was a big fan of Expensify because they still made my life easier. But to me, Expensify improves on a pretty awesome dredful process.
Abacus introduces a whole new expense/reimbursement paradigm that focuses on "now". As a user of Abacus, I know if I put in my expense as it happens, I'll get reimbursed right away. This really motivates me to do my expenses now rather than put it off until the end of the month (which also means I'm less likely to lose a receipt).
There is an inflection point in the size of a company / the type and quantity of expenses where this starts to make sense.
In order to address the market that doesn't do a lot of expensing, maybe would be useful to have this be a dashboard of sorts that pulls the CC transactions from your team and presents them in order to get better categorization.
We definitely have an issue now where it's hard to identify charges from the laundry list transaction report.
Great idea, right now we only support manually entered expenses but next up on our roadmap the ability to link in your credit card to do this exact thing.
Good to hear — we're also working on auto-categorizing expenses (i.e. jetblue == travel, starbucks == meals, etc.). We're going to map the foursquare category field to our Abacus categories for local expenses, as well as building a database of online vendors.
Hey we're Omar Josh & Ted, the founders of Abacus — let us know if you have any questions! Happy to discuss payment processing, ACH, why expense reports suck, etc.
I really like the pricing model. I wouldn't hesitate to put in anyone who might even plausibly have to expense something, because if they don't then they're free. It feels good not to have to worry about this.
Thanks! Yea it was important to us that our pricing be 'pay only for what you use' because there's greater utility when companies add everybody on their team.
Looks good specially the part "payouts are tied to approval and go out nightly". So I am assuming that once it is approved, it auto pays ? If that is the case, how would/did you deal with the bureaucracy of Accounts Payable at companies ? Departments such as Accounts Payable exist to ensure that they have the power to send you paper checks (yes even in 2014) and are not willing to budge from that specially for larger amounts.
Thanks! Yup - we batch up all approved expenses nightly and do 1 aggregated debit out of the company's bank account to kick off the payout. You know, we were also initially expecting to face more resistance, but it turns out finance departments actually really did mean well, but the tools (or lack thereof) that they had didn't allow for them to efficiently do a nightly payout. When you're doing things manually, it's more efficient to do things once every 2 weeks or once a month. By putting all of that on autopilot, we actually found the finance departments jumped on it because it's less work for them and the employees are not only happier, but also incented to submit in real time, meaning finance departments finally get real time visibility into expenses rather than having employees shoebox for a month!
So, I'm currently (for roundabout 3 to 4 weeks) unable to submit my expense report. The reason? The regulation/laws changed in 2014 and the software my employer is using is not only notoriously annoying, unstable and crappier than anything you would get if you'd hit a random freshmeat/tucows link, it's also 'not yet compliant' and is now down for the time mentioned above (it's operating by mounting a cifs/smb share, launching a windows application from there and 'submitting' files to that filesystem again. If it doesn't crash and burn).
The company in question is 'eagerly trying to fix the problems' as a mail to all German employees stated a couple of hours earlier today.
I would love to move to a better solution.
Unfortunately it seems the service here, as so often the case, is US only - or US centric. Are there any comparable services that I could submit to my superiors with a smile, while I point at the rotten mess that is our current system? Fellow Europeans, how are you doing your expenses?
Unfortunately Abacus is US-only for now, because the ACH network we use for payments is US only, and there's a lot of variation in payments country to country.
Sorry to hear about the trouble you're having with your current solution!
As the poor soul who covers finances at our startup I positively love Abacus - and I've craved a solution like this for years... expense reports, receipts, etc are a never ending stream of wasted time.
We used Abacus last week for a few travel expenses - it worked flawlessly. What took time and organizational hassle was now done in about 15 seconds.
"BY REGISTERING FOR AND/OR USING THE SERVICES IN ANY MANNER, INCLUDING BUT NOT LIMITED TO VISITING OR BROWSING THE SITE, YOU AGREE TO THESE TERMS OF SERVICE AND ALL OTHER OPERATING RULES, POLICIES AND PROCEDURES THAT MAY BE PUBLISHED FROM TIME TO TIME ON THE SITE BY US, EACH OF WHICH IS INCORPORATED BY REFERENCE AND EACH OF WHICH MAY BE UPDATED FROM TIME TO TIME WITHOUT NOTICE TO YOU."
"VISITING OR BROWSING THE SITE"? Is this typical and is it actually enforceable?
protomyth we totally hear you on this, it sounds very lawery but it is standard language used in most Terms of Service. If you look around the internet you will see similar sentences on most web services.
Well if you think about it, how is it "bad" at all? I am guessing the "visiting" the site clause means that when you are on the site, don't do anything against out ToS, (like don't hack in to the database! blah blah). So it make's sense no? If a site says that the ToS applies only to account holders (or once you login) does that mean you can legally violate the ToS pre-login/pre-signup?
Yes yes, this whole scenario sounds kinda dumb, but I honestly don't see anything inherently wrong with applying the ToS upon visiting the page. Puts the creator in the legal safe-zone.
Looks like a great system. Two thoughts I had when I scrolled down to the bottom of your landing page were "oh there's only 3 of them, and they all look very casual." Sure you're going for the 5-100 employee segment, but small and casual aren't attributes I look for when buying accounting products.
I hate to be the conservative one here, but I thought I'd share my initial reaction. Might want to save those photos for the company profile page?
There may only be 3 of us right now, but we're proud of what 3 guys in a suburban townhouse in Mountain View can build when they work their asses off all day everyday to build a product for customers that want to buy from people that are allowed to smile on their splash page.
The expense reporting software industry direly needs innovation. My company's software requires Internet Explorer to upload receipt images and returns a standard ASP.net 500 error when Chrome is used. Why? I have no idea, because simply changing the user-agent in Chrome to IE makes the software work. I can only imagine the code behind this...
My company uses Concur and it works pretty well. They have an iPhone app I can take pics of my receipts with and auto upload them and attach them to expense reports. It is pretty easy and works fine here with Chrome on OSX.
Most of our early customers are ~5-100 employee companies. Right now most of our customers are other startups because that's who we know, but we're excited to expand to other organizations.
We're gradually adding features for larger organizations — we just introduced a 'groups' feature for splitting organizations into teams, and we're building out our bookkeeping sync (Quickbooks, Xero).
We're also working on the ability to pull in your card charges. For personal cards you'll be able to promote an expense as 'reimbursable'. For corporate cards all expenses will get automatically pulled in as 'non reimbursable' (because the company already pays the card bill).
Now if you could just get rid of the traditional timesheet too, it would be the perfect app! (I hate doing timesheets every week too. Over the years I've used more than a dozen different official timesheet-timetracking tools at various companies and all of them sucked.)
I've been using Abacus for the last ~2 months, and it's been amazing. Thank you guys so much for making it! I'm so happy to not have to deal with expensify (or worse) anymore. I'll be bringing it to wherever I work with in the future.
I'd be curious about doing an A/B test on the CTA at the bottom of the page. That thin grey box around the sign up doesn't really stand out. Try some color to make it pop. Optimizly makes that super easy to prototype.
The guys at Abacus are solid. I have full confidence in their scalability, as their core product feature - the ability to get reimbursed directly - is smooth and the customer support has been particularly awesome. Keep crushing it.
I think the best way to sum up Abacus is, "Expensify, but way easier to use." The UX is only what you need and nothing else. It's goof proof and just works, that I feel is the biggest value.
I use Abacus and dig it. Super quick way to submit expense reports and actually get the money transfer happening in one step. Makes managing a small business that much easier.
As a guy who has filed and approved hundreds of expense reports over the years, BRAVO! This looks very interesting and is definitely something I'll check out.
We're similar to Concur, but simpler! We don't have 'expense reports' — each expense is submitted on its own, and we bake reimbursements right in — you get paid out right to your bank account as soon as your expense is approved. Concur is targeted at 5,000 employee+ companies, our sweet spot is 5-100 employee companies.
Thanks! Haha, yah... that's a fun story. So, this really big bank bought a wealth management company back in 2005 named Abacus, but post-acquisition had the domain redirect to their corporate domain. Presumably, they'd invested a lot in their brand already :)
So, we LinkedIn stalked a junior IT guy, worked our way up to an IT manager, who then passed us off to someone in legal that after 4 months of continuous follow-up agreed to sell it to us.
This solves one of my major problems, after a week or two on the road, I invariably lose a receipt or two.
But I wonder if it solves my other problems?
- expenses that don't have receipts, like unattended exact change toll booths, or when I use my old MTA card (which still has money on it!) to get around NYC, so I don't have a receipt for buying or filling up a new card, or grumpy cab drivers that provide a receipt, etc.
- driving expenses, this is a big problem with expensify, which is geared to either use their embedded gps directions to calculate distance (which is never the route I use so it's always off by quite a few miles), or the honor system which is usually just a best estimate. The other night I went on google and actually laid out the exact route I took on a recent drive and found out that my honor system reported mileage was off by about 2 miles. I'd love to be able to get in my car and hit "expense driving" and have it track my path and use that as the submission.
- separating out expenses on a receipt. My company doesn't reimburse booze, so a dinner out while travelling, with a beer, means I have to manually remove the booze charge from my expense and recalculate the taxes etc. Or if I'm out with one of my friends who works for the government, and I pick up the tab via credit and he pays me back for his portion in cash (the ethics are pretty strong on this) how do I deal with this?
I've found that expense reporting systems get complicated for these reasons.
Also, I definitely do not want it connected to my bank account.