Fuel and business expense cards | moneyfacts.co.uk

Moneyfacts.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfacts.co.uk will always be from news@moneyfacts-news.co.uk. Be Scamsmart.

briefcase icon

Fuel cards and business expense cards

Advertisement

Michelle Monck

Michelle Monck

Consumer Finance Expert

What are business expense cards?

Business expense cards are used by employees to cover the costs incurred while doing their job, such as travel costs and marketing expenses. They’re typically prepaid cards that are paid for by the employer and can be topped up at any time. Some cards come with additional features, such as integration with bookkeeping and accounting software, offering a high level of functionality.

 

What are the advantages of an expense card?

The key advantage of an expense card, especially when compared to more traditional business credit cards for employee use, is that it gives the company more control over spending while still allowing employees to cover their work expenses. There’s no risk of misuse as the employee can only spend what’s been loaded onto the card, and because of their convenience, all employees can have their own card and their own individual accounts/spending limits.

 

This makes it easy to keep track of who’s spending what, but it also makes it simpler for the employee, with no need to request approval for each expense (though receipts will typically still need to be provided to accounts teams). It’s particularly beneficial for those who would otherwise not have access to a company card at all, and would instead use their own money and wait for reimbursement. It can dramatically cut down admin time for all involved, with a lot less paperwork floating around.

What is a fuel card?

A fuel card works in a similar way to a business expense card, in that employees can use the card to pay for fuel used for business purposes, with it being solely restricted to this use. However, these cards generally aren’t prepaid; instead, the company is invoiced for the fuel charged. Associated costs can be added to permitted usage, too, such as tolls and tyre repair.

What are the advantages of a fuel card?

Fuel cards can be used by businesses of all sizes, from the self-employed to large corporations, with a key benefit being reduced admin time. Rather than each employee having to fill out expense forms, all fuel spends will be collated and invoiced – and crucially, fuel card invoices are approved by HMRC, further adding to the benefits.

 

These cards can help cut costs, too, particularly if you restrict their use to certain oil brands or supermarket sites according to your wishes, while some can be used at discount fuel sites as well. Even in the wider network, a lot of fuel card providers are able to offer discounts on standard fuel prices. Plus, because you can see what each employee is spending, it’s easy to keep track of fuel costs to see where potential savings can be made, while also reducing the potential for fuel fraud.

Featured Fuel and Expenses Card Providers

    • Save time and money with the expenses management tool and the low fees
    • Full visibility over what the team is spending.
    • Cards can be used in over 190 countries and topped-up anytime.
    • Expert account manager that understands your business' needs and arrange demos for your users
    • Earn at least 3.5% cashback at a number of top high street brands simply by doing business as usual.
    • Give staff as many smart company cards as you want cards with budgets and rules.
    • Real-time tracking allows you to see all spending in real time and filter for granular detail.
    • Export data to any accounting system in a couple of clicks.
    • Capture receipts on the spot with both an app and a web interface.
    • Smart company cards that could work right away with virtual cards
    • Simplified bookkeeping through integrations with Xero and other systems
    • Automated expense reports, receipts matched up to purchases automatically.
    • Instant spending notifications, flexibility and control: See when cards are used – right away, enable or freeze cards with one tap.
    • Order as many smart company cards as you want
Note

Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. Moneyfacts.co.uk will receive a small payment either if you click the links or if you use their services after you click through to their site. All information is subject is subject to change without notice. Please check all terms before making any decisions.

Disclaimer

The list of fuel and expense management card providers on this page is a selection of services available and gives you an idea of the kind of options available. You can find out more about the individual products by visiting any of the providers listed. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts.co.uk will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts.co.uk recommends you obtain independent financial advice.

What are the alternatives to a fuel or expense card?

Alternatives to fuel or expense cards will typically be business credit or debit cards, which can still be used for applicable expenses, but without the same level of control or convenience. That said, they can be useful in certain situations, perhaps where employees may need to make more expensive purchases or have highly variable expense requirements. 

Are there any downsides to a fuel or expense card?

The potential downside to fuel cards is that their use can sometimes be restricted to certain networks, while most providers charge some form of fee and there may be a minimum spend requirement on the account, too. Similarly, expense cards can charge high fees, while it could prove difficult for employees if they hit the limit but still have expenses to cover.

 

Yet one of the best ways to counteract some of these downsides is to choose your fuel and expense card provider wisely, making sure to compare the options by looking closely at their features, functionality and cost, leaving with you the perfect cards that can benefit both your employees and your business. Start the process by looking at our chart.

Related business guides
guides icon
How much can I give as a cash gift and how is tax affected?

There many reasons you may want to give a cash gift to your loved ones. We explain the implications from a tax perspective.

There many reasons you may want to give a cash gift to your loved ones. We explain the implications from a tax perspective.

Read More
guides icon
How are my savings taxed?

Every basic rate taxpayer in the UK currently has a Personal Savings Allowance (PSA) of £1,000.

How are my savings taxed?

Read More
guides icon
What is the best home insurance in 2021?

What is the best home insurance in 2021?

What is the best home insurance in 2021?

Read More
guides icon
What is the best pet insurance in 2021?

The Moneyfacts Annual pet insurance Ratings are out now. We've reviewed hundreds of products to find those that deserve the top marks of five-stars.

The Moneyfacts Annual pet insurance Ratings are out now. We've reviewed hundreds of products to find those that deserve the top marks of five-stars.

Read More

Cookies

Moneyfacts.co.uk will, like most other websites, place cookies onto your device. This includes tracking cookies.

I accept. Read our Cookie Policy