# Expense Review > Review and analyze expenses with categorization, trend analysis, anomaly detection, policy compliance checks, and cost reduction recommendations. TRIGGER when: user says /expense-review, "review expenses", "expense analysis", "spending review", "cost analysis", "expense audit". - Skill: `ashutoshsrivastava17/expense-review` (Agent Skill) - Install (CLI): `npx skillmds@latest add ashutoshsrivastava17/expense-review` - Raw SKILL.md: https://api.skillmd.com/api/skills/ashutoshsrivastava17/expense-review/raw - Safety review: pending - Works with: Claude Code, Claude.ai, OpenAI Codex - Category: Security - Author: ashutoshsrivastava17 (https://skillmd.com/u/ashutoshsrivastava17) - Updated: 2026-09-17 - Page: https://skillmd.com/skills/ashutoshsrivastava17/expense-review --- # Expense Review Perform a structured review of organizational expenses to identify trends, anomalies, policy violations, and cost reduction opportunities. This skill produces an actionable expense analysis with clear findings and recommendations. --- ## Step 1 — Scope the Review Define what is being reviewed and why. | Parameter | Description | Example | |------------------------|--------------------------------------------------|---------------------------------| | Review Scope | Department, cost center, project, or company-wide | Engineering department | | Time Period | Period under review | Q4 2025 | | Comparison Period | Benchmark for trend analysis | Q3 2025 and Q4 2024 | | Data Source | ERP, expense management tool, GL export | NetSuite GL extract | | Review Trigger | Routine, audit finding, budget overrun, ad hoc | Quarterly routine review | | Materiality Threshold | Minimum amount for detailed line-item review | Transactions > $1,000 | ### Checklist - [ ] Data extract is complete and reconciles to GL totals - [ ] Chart of accounts / category mapping is current - [ ] Expense policy document is available for reference - [ ] Prior period data is available for comparison - [ ] Any known one-time items are pre-flagged --- ## Step 2 — Categorize and Normalize Expenses Ensure every transaction is properly classified before analysis. ### Standard Category Taxonomy | L1 Category | L2 Sub-Category | GL Code Range | Policy Limit | |---------------------|----------------------------|---------------|---------------------| | People | Salaries & Wages | 6000–6099 | Per comp plan | | People | Benefits | 6100–6199 | Per benefits plan | | People | Contractors & Temps | 6200–6299 | SOW-based | | Technology | Cloud & Hosting | 6300–6349 | Budget-based | | Technology | Software Licenses | 6350–6399 | Per-seat approval | | Technology | Hardware & Equipment | 6400–6449 | $2,500/item limit | | Facilities | Rent & Utilities | 6500–6549 | Lease terms | | Facilities | Office Supplies | 6550–6599 | $500/month/dept | | Travel | Air & Ground Transport | 6600–6649 | Policy class limits | | Travel | Lodging | 6650–6699 | $250/night cap | | Travel | Meals & Entertainment | 6700–6749 | $75/person/meal | | Marketing | Advertising & Media | 6800–6849 | Campaign budget | | Marketing | Events & Sponsorships | 6850–6899 | Pre-approved only | | Professional Svcs | Legal | 6900–6929 | Engagement letter | | Professional Svcs | Accounting & Audit | 6930–6959 | Contract terms | | Professional Svcs | Consulting | 6960–6999 | SOW required > $10K | ### Normalization Steps 1. Reclassify any miscategorized transactions. 2. Exclude inter-company transfers and reclass entries. 3. Normalize for one-time or non-recurring items. 4. Convert foreign currency transactions to reporting currency. 5. Pro-rate partial-period items for like-for-like comparison. --- ## Step 3 — Trend Analysis Compare the review period against benchmarks to identify directional changes. ### Period-over-Period Comparison | Category | Prior Period | Current Period | $ Change | % Change | Annualized Run Rate | |---------------------|-------------|----------------|------------|-----------|---------------------| | People | | | | | | | Technology | | | | | | | Facilities | | | | | | | Travel | | | | | | | Marketing | | | | | | | Professional Svcs | | | | | | | Other | | | | | | | **Total** | | | | | | ### Key Trend Metrics - **Expense-to-Revenue Ratio**: Total expenses / total revenue (target: depends on stage and industry). - **Per-Capita Spending**: Total non-people expenses / headcount. - **Category Mix Shift**: How the percentage allocation across categories has changed. - **Growth Rate vs. Revenue Growth**: Are expenses growing faster or slower than revenue? --- ## Step 4 — Anomaly Detection Flag transactions and patterns that deviate from norms. ### Anomaly Detection Rules | Rule | Logic | Severity | |-----------------------------------|----------------------------------------------------------|----------| | Single transaction spike | Any single transaction > 3x category monthly average | High | | Category budget overrun | Category spend > 110% of budget | High | | Duplicate payments | Same vendor, same amount, within 7 days | High | | Round-number transactions | Exact round amounts ($5,000, $10,000) — possible estimate| Medium | | Weekend / holiday submissions | Expense submitted on non-business day | Low | | Split transactions | Multiple transactions just below approval threshold | High | | Vendor concentration | Single vendor > 30% of category spend | Medium | | Rapid growth vendor | Vendor spend up > 50% period-over-period | Medium | | Missing receipts | Transactions above receipt threshold lacking documentation| High | | Late submissions | Expense submitted > 60 days after incurrence | Medium | ### Anomaly Log Template | # | Date | Vendor | Amount | Category | Anomaly Type | Severity | Resolution | |---|------------|-------------|---------|------------|------------------------|----------|-------------| | 1 | | | | | | | | | 2 | | | | | | | | --- ## Step 5 — Policy Compliance Check Validate expenses against the organization's expense policy. ### Compliance Checklist | Policy Rule | Compliant? | Exceptions Found | Action Required | |----------------------------------------------|------------|-------------------|-------------------------| | All expenses have valid receipts | | | | | Travel booked through approved channel | | | | | Meals within per-diem limits | | | | | Hotel rates within policy cap | | | | | Manager approval obtained before spend | | | | | Vendor on approved vendor list | | | | | Contracts signed for engagements > $10K | | | | | No personal expenses reimbursed | | | | | Expense reports submitted within 30 days | | | | | Proper GL coding applied | | | | --- ## Step 6 — Cost Reduction Opportunities Identify actionable savings based on the review findings. ### Opportunity Assessment Template | # | Opportunity | Category | Est. Annual Savings | Effort | Timeline | Owner | |---|--------------------------------------|-------------|---------------------|----------|-----------|----------| | 1 | Renegotiate cloud hosting contract | Technology | $45,000 | Medium | 60 days | | | 2 | Consolidate software licenses | Technology | $22,000 | Low | 30 days | | | 3 | Enforce travel policy compliance | Travel | $18,000 | Low | Immediate | | | 4 | Eliminate unused SaaS subscriptions | Technology | $15,000 | Low | 30 days | | | 5 | Shift consulting to internal capacity| Prof. Svcs | $60,000 | High | 90 days | | ### Prioritization Framework - **Quick Wins**: Low effort, immediate savings (< 30 days). - **Medium-Term**: Moderate effort, requires negotiation or process change (30–90 days). - **Strategic**: High effort, structural change needed (90+ days), but large impact. --- ## Output Format ``` ## Expense Review — [Scope] — [Period] ### 1. Executive Summary - Total spend: $X (change vs. prior period) - Key findings (3-5 bullets) - Total identified savings opportunity: $X ### 2. Spend Overview [Category breakdown table with trends] ### 3. Trend Analysis [Period-over-period comparison; key ratios] ### 4. Anomalies & Exceptions [Anomaly log with severity and resolution status] ### 5. Policy Compliance [Compliance checklist with exception details] ### 6. Cost Reduction Recommendations [Prioritized opportunity list with savings estimates] ### 7. Action Items [Owner, deadline, expected outcome for each recommendation] ``` --- ## Quality Checklist - [ ] Data reconciles to GL totals within $1 tolerance - [ ] All categories are represented; no "uncategorized" bucket > 2% - [ ] Trend comparison uses like-for-like periods (normalized for one-time items) - [ ] Anomalies are documented with specific transaction detail - [ ] Policy compliance findings reference specific policy sections - [ ] Savings estimates are conservative and methodology is documented - [ ] Every finding has a clear owner and timeline for resolution --- ## Edge Cases | Scenario | Handling Approach | |-------------------------------------------|--------------------------------------------------------------------------------| | Incomplete data (missing months) | Flag data gaps; analyze available periods; note confidence limitation | | Chart of accounts changed mid-period | Map old codes to new taxonomy; document mapping logic | | Acquisition added new cost centers | Separate acquired entity expenses; analyze organic vs. inorganic trends | | Currency volatility skewing comparisons | Show constant-currency comparison alongside reported figures | | Shared services / cost allocations | Review allocation methodology; ensure drivers are current and fair | | COVID or force-majeure period in baseline | Exclude distorted periods or use 2019 as normalized baseline |