Locally-funded reimbursements

Overview

Premium Enterprise When you have a team located in various countries, you may want their reimbursements to be paid in their local currency from their local bank accounts — to help eliminate foreign exchange conversions and streamline accounting. To do this, you can enable locally-funded reimbursements on your account. Your entity will need to have a local bank account funded in the location’s primary currency and you won’t have the option to switch the entity bank back to USD following setup. Based on the country, you may need to manually push funds from your local bank via the designated payment instructions, if autopay isn’t available. Note: Only employees with local bank accounts can be reimbursed in local currency.

Setup

To set up locally funded reimbursements, an account admin or card admin can follow these steps: Step 1: Navigate to Account in your Brex dashboard and click Reimbursements. Step 2: Under the balance, you can see the entities that are paid from the parent entity. Click Manage to separate billing for each individual entity. Step 3: On the side panel, click Set up individual payment for the specific entity. Step 4: Select your local currency (if available). This is the currency that you’ll be billed in, and the currency that’ll be used to fund your reimbursements. Step 5: Choose the frequency you’d like your statement, which shows all approved reimbursements to be funded. Step 6: After your configuration is complete, you might need to complete a KYC check of your local entity, depending on that country’s regulation, before submitting the application for approval. We’ll reach out regarding the status of your application if we have received any KYC requests from the local regulators. You’ll see a list of your entities in Accounts > Reimbursements. Your local entity configuration will wait until the KYC gets approved. Once approved, we’ll automatically start billing approved reimbursements to your local entity in local currency.

You can click Payment instructions to see the local payment instructions designated for your entity. Funds that are paid using those details will reflect on your reimbursement balance and will fund reimbursements. Always use local rails to fund this bank account. When funds are delivered, reimbursements will be initiated to your employees in a batch that includes all approved reimbursements since the last funding. For locally funded reimbursements with EU based entities, an account or card admin must authorize new employee accounts via Strong Customer Authentication (SCA) before funding the first reimbursement due to EU and UK regulations. You can see all the employee accounts that are waiting to be added by going to Accounts > Reimbursements > Make payment. Verify the one-time password and click Authorize to proceed. You’ll only be asked once for any new employee account that you’ll reimburse to in the EU and UK.

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