Expenses Management

Under UNDP’s expense policy, expenses are recognized and recorded when goods and services are received by UNDP. A corresponding liability to pay is created at the time of recognition. The following categories of transactions are classified as expense:

• Goods (e.g., supplies)
• Services (e.g. utilities, consultants)
• Payments for Operating Leases
• Employee benefits (e.g., salaries, ASHI, leave)
• Use of plant, property and equipment (e.g. buildings, vehicles, computers depreciation)
• Finance costs (e.g., bank charges, fees)
• Transfers/grants (e.g., microfinance grants)

Refer to UNDP Programme and Operations Policies and Procedures (POPP) Expense Management for detailed policies and procedures, including the following subject areas:

• Raising E-requisitions 
• Creating and Approving Vendors
• Purchase Orders/Commitments
• Receipt of Goods/Services 
• Accounts Payable
• Disbursing Funds (Making Payments)
• Regular Maintenance and Closure of Purchase Orders (POs)
• Regular Maintenance of Accounts Payable
• Petty Cash (PC)
• Prepayments
• Hospitality Expense

Additional guidance to support this area of work are also available through resources listed below:

• UNDP POPP on Expense management