What is Approval Policy?
Approval policies on Volopay allows admins to delegate approvers based on specific payment range. The admins can add multiple range limits inside each policy and set different approvers based on these limits.
Approval policies help businesses to ensure each expense is routed through the correct approver flow as per their company policies making the process transparent. After which the payment can be verified by the finance team and entered into their accounting system.
What is Approval policy on Volopay?
Approval policies on Volopay are subdivided into two parts:
Cards - For any employee who seeks to get some fund loaded into their physical or Virtual card, the fund request will go through a specific approval matrix that you will create in the system.
Bill Pay - Whenever any payment is raised in the system it has to go through an approval matrix as set by you in the policy before the payment is processed in the system.
Approval policies for cards?
To apply various approval policies for Cards, multi level card approval features need to be activated. Please contact your account manager to activate it.
Who can create policies?
Only admins can create, edit or delete a policy.
You can add upto a maximum of 5 range limits inside each policy.
How to create an approval policy?
Approval policies can be created for both Card and Bill payments. Users can create other multiple approval policies as per their requirements. The option to set the policy will be available in the Settings Tab as shown below.
Once you click on create approval policy, it will redirect you to the page which will allow you to create the policies. You need to enter values in the required fields, based on which your policies will be triggered.
Policy name - Policy name can be the name of the budget that you are willing to create the policy for.
Amount - The amount field determines the value for which you want the policy to trigger. For instance, if you put the value as $0, it means that all the expenses from 0 to infinity within that budget will be sent out for approval.
Now let's take another example where the policy’s amount starts with 200, now this will mean that any payment/fund requests below $200, will not be triggered to any approvers and will be auto approved.
Note: Approval policy will be triggered for the base currency equivalent of the payment you are making. For example, if your base currency is SGD and you are making a payment of USD750, the approval flow will be triggered according to SGD1000 (assuming the exchange rate at that time to be 1SGD=0.75USD)
Tips: If you require approvals for each and every transaction made in the budget, then while creating the approval policy the first limit should start from Zero to get all payments through the approvers.
First level Approver : The first level approver will have the authority to approve any transaction or any fund request at the first stage.
Tips: The budget owner is by default 1st level approver for any policy, you as an admin can change the same as per your convenience.
Second level Approver : Once a transaction or fund request is approved by the first level approver, it will move ahead to the second level approver for approval.
Tips: Anyone can be a first level or a second level approver but for the same limit range first level approver and second level approver cant be the same.
Creating multiple limits in a policy: Admins can create a multiple limit range inside the approval policy by clicking on create limit inside the approval policy.
Tips: It's essential to have one approver in a limit (By default it will show budget owner but the admin can override this)
A default policy will be applied to all the transactions with approval limit as 0 to infinity, so all the transactions will be routed through the budget owner by default, in case you want to make any changes in the approvers, you can create an approval policy and make the changes as per your convenience.
Enable Policy in Global Settings>Bill Pay
Enabling the approval policy in the global settings will enable the same policies for all the budgets.
Tips: The approval policies selected in the global setting for cards and bill pay will be the selected policies for creating new budgets. However, you could also create individual approval policies and attach those policies to cards and bill pay budgets separately.
What happens to my approvers set currently for different budgets?
What will be the impact of the new Approval policy on it?
If you already have set approvers in their budget, a respective new policy will be created with budget name, as per your cards and bill pay approvers in the budgets.
The policy will start from Zero and will have the first level approvers of cards (if multilevel card approver is enabled) or bill pay as the first level approver of the new approval policy and second level approvers as the second level approvers for the new approval policy.
Tips: Any payment which was not fully approved will reset during migration and you will receive alerts and notifications for the same.
What can an Admin do?
As the admins are considered the only authorised person to make changes in the account, they will have the below mentioned rights:
All admins can access approval policy easily in the settings and make any changes to the approval policies.
Admins can create, edit or delete the approval policy from the settings
Admins can also create, edit and delete the approval limits
Tips: First level approvers and second level approves can't be the same in a limit, but the same approver can be there in the other limits of the budget.
Eg: If you have created the first limit as 0 to 100, and you have person A as the first level approver, you cannot make person A as the second level approver as well in the same limit. But for instance there is another limit that you have created within the same policy which ranges from 101-500, in that case person A can be the first level or second level approver for that limit range in the same policy.
How to edit an approval policy?
Admins can easily edit an approval policy by clicking on the pencil icon over the policy.
An admin can delete the second approver from a limit range by clicking on the delete option against the approver’s name. In that case the transaction only goes through the first level approver only. One needs to click on the update policy button in order to save any changes in the policy.
Tips: First level approver is mandatory, the other approvers are optional.
Tips: If a transaction is pending for approval at a certain approver and the approvers are changed in the policy in the meantime, the remaining approval flow for the payment goes through as per the new approvers selected in the approval policy.
What happens when a policy is deleted?
Admins can delete an approval policy from the approval policy screen. When deleting an approval policy the budget assigned to this policy will have the “Default policy” as the new policy for the respective budget.
Tips: All pending approval payments or expenses will go through the default policy approvers if the respective policy is deleted.
How to tag the policies to the budgets?
For Bill pay, once the policies are created, the admins can go to the respective budget and click on settings, an additional option will show at the bottom as “choose the payment approval policy”. Here,you can select the policy that you would like to attach to Bill Payments from that budget.
Note: If the budget currently has no bill pay approvers, after migration it will have default policy attached to it.
If the budget currently has no bill pay approvers, after migration it will have default policy attached to it.
Budget settings for fund approvals and payment approvals will override the global settings.
What if I have no budgets?
In case you have a no budget account, you will have a default policy which cannot be edited.
The default policy will mean that all approval requests will go directly to the Admins for both Card fund requests and Bill payments.
In addition, you can create new policies and attach them in the Cards and Bill Pay tabs in settings for card fund approvals and payment approvals respectively.