SAP Concur Canada has pinpointed five persistent gray areas in business travel and expense claims that introduce inconsistencies for Canadian businesses. The analysis shows how poorly defined policies and fragmented approval workflows contribute to disputes, delayed reimbursements, and weaker financial oversight.
Brian Veloso, the managing director at SAP Concur Canada, states that outdated policy documents and decentralized processes make it difficult for finance departments to evaluate claims consistently. Companies now face increased pressure to justify travel spending as financial leaders demand greater accountability.
Data from the 8th Annual Global Business Travel Survey by SAP Concur indicates that 89% of Canadian chief financial officers believe travel managers must improve their ability to demonstrate the business value of travel programs. At the same time, 82% anticipate travel budgets will climb in 2026, compelling organizations to reconcile cost efficiency with employee satisfaction.
Food delivery expenses present a recurring problem. When delivery fees exceed meal allowances, employers must determine whether the total cost justifies the per diem rate or if alternative arrangements would be more appropriate. The report suggests permitting employees to explain delivery charges when they represent the most practical option.
Airport lounge access during lengthy layovers creates another area of uncertainty. Companies should confirm whether corporate cards already cover such access and assess whether the need for a quiet workspace outweighs the cost. Without clear guidelines, these decisions often rely on individual judgment rather than standardized criteria.
Tipping poses compliance challenges because receipts are frequently absent. Employers are advised to establish percentage limits or spending thresholds for unreceipted gratuities while accounting for local customs, trip objectives, and the amount given. Some organizations require employees to document details such as the recipient, purpose, and total tipped.
Requests for premium seating introduce further inconsistency, particularly when employees who don’t typically qualify for upgrades seek better fares. Approval decisions should consider factors like flight duration, trip purpose, health-related accommodations, and the cost difference between cabin classes. Without uniform standards, approvals can vary significantly across departments.
Alcohol purchased during business meals adds complexity to expense management. Companies must ensure spending adheres to company policies and tax regulations, including the Canada Revenue Agency’s 50% deductibility limit for meals, beverages, and entertainment. Some businesses use automated receipt analysis to separate alcohol costs from other charges.
Instead of enforcing rigid rules for every possible expense, SAP Concur advises implementing flexible controls backed by automated systems. These platforms can capture additional context—such as the purpose of the expense, the recipient, and the amount—while applying uniform review standards. For instance, AI-driven expense tools can automatically flag unusual claims or prompt employees to provide justification for high-value transactions.
The survey also highlights evolving employee expectations. Additionally, 70% express reluctance to undertake business trips this year, indicating employers must balance cost controls with flexibility to retain talent.