How Clients Can Add Expenses and Manage Adjustments for Their Workers

This article explains how clients can enable expense submission, add, review, and manage payroll adjustments (including expenses) for employees and contractors. Adjustments follow standard cut-off dates and payment schedules aligned with your payroll cycle.

Before you begin

You must be:

• An Org Admin with permissions to enable expense features in settings
• Aware that expense submission requirements differ by worker type (Deel Employees, Direct Employees, Contractors)
• Aware that the expense feature is available immediately for Deel Employees (EOR) and PEO employees
• Aware that all expenses must include an invoice or receipt meeting local regulatory requirements
• Aware that adjustments above $1,000,000 USD are invoiced immediately and must be paid before employee payment
• Aware that adjustments submitted after the payroll cut-off date roll over to the next payroll cycle and cannot bypass cut-off dates

Workflow

Step 1: Understand adjustment types and requirements

• Invoice adjustments are payment items added each payroll cycle: expenses, allowances, bonuses, and commissions.
• Expenses are reimbursable business costs, usually not taxed (although local limits may apply).
• Allowances are one-time or recurring fixed amounts paid as employee benefits, usually taxable.
• Bonuses and commissions are performance-related payments, almost always taxable.

Note: Do not submit on-demand payroll if an adjustment has already been submitted for the employee's final pay. All pending adjustments are processed with the final payroll. Bonuses, expenses, and allowances can be entered in any currency but are always paid in the contract currency. FX rates displayed are real-time rates when the adjustment is created.

Step 2: Open Expenses & adjustments settings

• Select the Organization settings gear icon.
• Under Payroll, select Expenses & adjustments.

Step 3: Enable contractor expense submission

• On the Module activation tab, locate Contractor and select Edit.
• Enable the option that allows workers to submit expenses or adjustments.
• Select Update to save your changes.

Step 4: Enable expense submission for direct payroll employees

• On the Module activation tab, locate GP - Global Payroll and select Edit.
• Direct payroll employees are managed through GP - Global Payroll, not a separate "Expenses for Deel Payroll" tab.

Step 5: Configure Deel Payroll expense settings

• Select Allow workers to submit expenses.
• Expand Countries and entities and select the countries and entities where employees should submit expenses.
• Use Search entities to find an entity if needed, then select Update.

• A confirmation message, "GP - Global Payroll updated!", confirms the update was saved.

Step 6: Open the employee directory

• In the left sidebar, select People to expand the menu.
• Select Directory.

Step 7: Select the employee

• In the Directory, select the employee who needs the expense. Use search or filters if needed.

Step 8: Open Payments, expenses & work submissions

• In the employee profile's left-side navigation, select Payments, expenses & work submissions.

Step 9: Add an individual expense

• Select Add item in the upper-right corner.

• In the Add expenses dialog, select Individual items. Do not select Create grouped report unless you want a multi-expense report.
• Select Continue.

Step 10: Add individual expense details

• On Enter details manually, upload supporting files or enter details manually. Supported types: PDF, PNG, JPG (max 8 MB).
• Complete the required fields: Worker contract, Category, Transaction date, Description, Currency, and Amount.
• All expenses require a receipt and business purpose description. For allowances and bonuses, enable Make recurring under Other → Allowance.

Step 11: Submit the expense

• Select Submit. The adjustment is added and visible on the contract overview.

Step 12: Add expenses for multiple workers

• On the home page, select Add expenses or other adjustments.
• Choose Single worker or Multiple workers (available for Deel Employees and contractors).
• Select the adjustment category, enter a description and amount, download the CSV template, complete it, and upload it to Deel.

Step 13: Add a business-trip expense

• Use this workflow to add an individual business-trip expense for an eligible Deel Employee.
• You need permission to view the employee in People > Directory and add expenses from Payments, expenses & work submissions.
• In the left sidebar, select People to expand its submenu. Select Directory, then select the Deel Employee whose business-trip expense you want to add.
• Confirm that the worker has an available contract.

Step 14: Open Payments, expenses & work submissions for business trip

• In the employee profile's left-hand menu, select Payments, expenses & work submissions.

Step 15: Open the business-trip expense form

• Select Add item.

• In the Add expenses dialog, select Individual items, then select Continue.
• Do not select Create grouped report unless you intend to create a multi-expense report.

Step 16: Add business-trip details

• Select the relevant Worker contract.
• In Category, select the available business-trip category.
• Enter the transaction date, business purpose, currency, and amount. Upload receipts or required supporting documents.
• You can add individual trip expenses, including receipts, mileage, and per diems. Upload the required form if prompted before submitting.

Step 17: Edit or delete an adjustment

• Open the employee profile through People > Directory, then select Payments, expenses & work submissions.
• Select View expenses.
• Select Pending to view outstanding items.
• Select an item, then choose Edit to update it or Delete to remove it.
• Select Update or Yes, remove to confirm. Adjustments cannot be changed after the payroll cut-off date.

Step 18: Download adjustments for the current cycle

• In the left sidebar, select Analytics to expand the menu.
• Select Reports, then Approved and pending adjustments.
• Filter as needed, then download the report as CSV or PDF. The report covers only the current payroll cycle.

Frequently asked questions

[ACCORDION] What supporting documents are needed for expenses?

Receipts or invoices are recommended. Booking confirmations and tickets are acceptable where allowed. Requirements vary by country and adjustment type.

[ACCORDION] Can I calculate mileage expenses for employees?

Yes. In select countries, use the mileage calculator when adding an expense. Enter the vehicle type and start/end destination; the calculator applies the statutory rate.

[ACCORDION] How do I provide a per diem allowance?

Choose Per diem expense when adding an expense, then enter the trip-date details. Deel applies the statutory daily rate.

[ACCORDION] Can I set an expense limit for my workers?

Clients can create customized categories for contractors and set an expense limit. Custom categories appear in reports, invoices, and approvals. Contractors can submit expenses above the limit, but clients are notified when reviewing pending items.

[ACCORDION] Do I have to provide a reason for approving or denying requests?

You must provide an explanation when denying an expense or adjustment request.

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Troubleshooting