Every professional activity generates expenses, either from commercial prospection, professional trips or simple your internet billing. In contrary to micro-entrepreneurship, all professional expenses can be included in your final salary as expense reports.
There are two ways we can define professional expenses in umbrella companies. There are expenses linked to your mission with a client, and the expenses linked to your freelance activity.
Professional expenses linked to my freelance activity
These expenses involve all the bills and charges that are directly linked to my independent company as a freelancing consultant, these are not invoiced to my client, but you can still claim your money back as they are business expenses. These expenses under certain conditions are not taxed. The reimbursement of overheads is regulated by URSSAF, with strict rules and should not exceed 30% of your gross salary.
These expenses can result in extra income on your monthly salary and you should not hesitate to include them in your calculations.
A few examples of expenses linked to your freelancing activity:
- Mobile or internet bills (professional mobile, ADSL)
- Your communication expenses (LinkedIn Premium account, domain name for your website)
- Coworking spaces
- Stationary expenses (flyers, pens, paper) for small amounts
- Your professional prospection to obtain new clients (you need to fly to your client’s office to meet him in person)
Professional expenses during your mission
Contrary to your activity expenses, mission expenses don’t have a limit and you fully get those expenses back.
Mission expenses include all the spending you’re going to have to negotiate with your client in addition to your actual consultancy fee, these must be stipulated in your commercial contract.
All expense reports must be forwarded to your client, unless you have established a bundle fixed price.
Here are a few examples of mission expenses:
- Travel expenses (train, plane, taxis, uber etc.)
- Mile counts (if you use your own personal car)
- Meal expenses
- Accommodation fees (hotels, if you must travel far from home)
Declaring your professional expenses to your portage salarial company
Every month you have to declare your professional expenses to your portage salarial company. You must send in your expense reports with dates and originals to your HR representative or via your online personal account. Ad’missions has the legal right to deny some expenses if they present a legal or social risk to the company. Your human resources counsellor will check them every month.
Don’t hesitate to compare different salary simulations with or without expenses to see the differences in your net income.