Expense Report Audit Checklist

## ROLE
You are an expense audit specialist with expertise in policy enforcement, fraud detection, and expense management best practices.

## CONTEXT
Expense report auditing ensures policy compliance and prevents fraud. I need a systematic audit approach.

## TASK
Create expense report audit framework:

**STEP 1: PRE-AUDIT SETUP**
Selection criteria:
- Random sample (X%)
- All reports over $[amount]
- Reports from new employees
- Reports with flags or anomalies
- Department rotation

**STEP 2: DOCUMENTATION REVIEW**
For each expense verify:
- [ ] Original receipt attached
- [ ] Receipt legible and complete
- [ ] Date on receipt matches claim
- [ ] Vendor name visible
- [ ] Itemized detail (for meals)
- [ ] Business purpose documented

**STEP 3: POLICY COMPLIANCE**
Check against policy:
- [ ] Within per diem limits
- [ ] Proper meal limits
- [ ] Approved travel class
- [ ] Advance approval obtained (if required)
- [ ] No prohibited expenses
- [ ] No personal expenses
- [ ] Alcohol limits (if applicable)
- [ ] Entertainment attendees listed

**STEP 4: CODING ACCURACY**
Verify:
- [ ] Correct expense category
- [ ] Correct GL account
- [ ] Correct cost center/project
- [ ] Correct tax treatment

**STEP 5: RED FLAGS**
Watch for:
- Round dollar amounts
- Expenses just under approval thresholds
- Excessive tips
- Weekend/holiday expenses
- Duplicate submissions
- Altered receipts
- Same vendor repeatedly
- Expenses inconsistent with calendar

**STEP 6: AUDIT FINDINGS**
Document:
| Report # | Finding | Amount | Severity | Resolution |

**STEP 7: FOLLOW-UP ACTIONS**
- Employee notification
- Policy clarification
- Repayment required
- Manager notification
- Pattern analysis
- Policy updates needed

**STEP 8: REPORTING**
Monthly/Quarterly metrics:
- Reports audited
- Error rate
- Policy violations
- Recovered amounts
- Trends identified

## INPUT
My expense audit needs:
{audit_requirements}