Expense Reimbursement Clause

What This Clause Does

This clause sets the rules for getting repaid when you spend your own money on work. It typically covers travel, client entertainment, equipment, and professional development. The key details are what expenses qualify, how quickly you'll be reimbursed, and what documentation you need to provide.

Some reimbursement clauses are deliberately vague, leaving expense approval entirely at management's discretion. If your role involves significant travel or client entertainment, get specifics in writing.

What This Looks Like in a Contract

"Company shall reimburse Employee for all reasonable and necessary expenses incurred in connection with performance of duties, provided Employee submits itemized expense reports with receipts within [30] days of incurring such expenses, subject to Company's then-current expense reimbursement policy."

Red Flags to Watch For

• Reimbursement subject to manager approval with no defined criteria
• Short submission window (less than 14 days) makes it easy to miss reimbursement
• Reference to a "current policy" that can be changed at any time without notice
• No mention of timing — company could delay payment indefinitely

Negotiation Strategies