Create an Expense Group

Expense groups are designed to group together related expenses that are interconnected or share a common theme. They are not intended for individual expenses or recurring fixed expenses. Instead, they are most effective when used for situations such as travel expenses, technology subscription fees (for example SFDC, Marketo), or printing and copying expenses. By creating expense groups, you can better organize and manage these types of expenses within your budgeting system or financial management processes.

Creating an Expense Group

There are multiple ways to create a new expense group:

The Create option on the menu bar:

Click Create drop-down on the menu bar and select New Expense Group.

The Create option on the Manage Page in Table View:

While viewing campaigns on the Manage page in Table View, click Create... and select Expense Group.

When viewing a Goal:

On the Goal detail page, you can easily add a campaign by clicking Add Exp. Group at the top of the expense group section. This action automatically connects the new expense group with the current goal, establishing a hierarchical relationship between them. It simplifies the process of organizing and managing related expenses within the goal structure.

The Expense Group details page

The Expense Group detail page, similar to the Campaign detail page, is divided into two primary functional areas. The left-side column contains expense group information and budgeting fields, while the right-side column displays a list related to the status of expenses and tasks associated with the expense group.

Essential Expense Group Information

To initiate the creation of an expense group, the following required information must be provided:

Expense Group Name

Expense group names should be unique and effectively describe the purpose of the expenses they contain. Here are a few examples:

• Sponsorships
• Promotional Items
• PR (Public Relations)
• Marketing Software
• Miscellaneous Expenses

These examples demonstrate how expense groups can be utilized to allocate a budget for groups of related expenses, even if they do not directly generate measurable performance outcomes. In many cases, these expenses are associated with marketing infrastructure, encompassing various aspects of marketing operations and support.

Expense Group Type

Expense groups can be categorized using predefined default types available in the dropdown list, or you can create custom types according to your specific needs. To create a custom type, scroll to the bottom of the dropdown list and select <Enter Custom Type>. Then, simply type the name of your new expense group type. This flexibility allows you to tailor the categorization of expense groups to align with your organization's unique requirements.

Segment

A segment in your marketing plan refers to a distinct portion that is owned by a single individual responsible for both the spending and the outcomes. Assigning the appropriate segment is crucial as it ensures accountability for staying within budget and achieving desired results. Planful for Marketing aims to offer visibility into campaign and expense group activities, along with planned budgets and expenses specific to each segment.

In cases where an expense group is intended for use across multiple segments, you have the option to define a shared cost rule. This rule allows for the allocation of expenses across multiple segments based on specified percentages. The shared cost rules can be found at the bottom of the segment list, providing a convenient way to attribute and split expenses accordingly.

Owner

By default, the owner of an expense group is the person who creates it in their account. However, if you need to create an expense group for another team member, you have the ability to change ownership. This can be done as long as the intended owner is either an Admin or has the appropriate Read-Write or Read-Only permissions for the assigned segment. This ensures that the right individual has ownership and the necessary access to manage the expense group effectively.

Optional Expense Group Information

In addition to the required information mentioned above for creating an expense group, there are optional fields available that enable you to provide additional details about the expense group. These optional fields can be utilized to share more information, offering a more comprehensive description of the expense group and its purpose.

Parent (Goal or Campaign)

Expense groups can be assigned to campaigns or goals as their parent, allowing for budget allocation for specific groups of expenses within them. For example, creating an expense group within a campaign can help organize and track expenses related to a particular aspect of the campaign, such as booth setup costs for a tradeshow. When a new expense group is created under a campaign or goal, the parent is automatically assigned, establishing a hierarchical relationship between them.

GL Code

If your expense group is associated with a specific GL (General Ledger) code, you have the option to indicate it by selecting the corresponding code from the drop-down list. The available GL codes in the list are determined by your Planful for Marketing administrator, as they define the set of codes used within the system. 

PO Number

You can optionally enter the purchase order (PO) number in the designated field for the expenses within your expense group. If there are multiple corresponding POs, you can list them in the field.

Allocated Budget

An allocation represents the designated allowance, budget, or target spend that you assign to an activity or set of activities for a specific purpose, such as a campaign, during a defined time period.

Monitoring allocations in relation to expenses is crucial to ensure that you stay within your budget and avoid overspending. Allocations reflect your planned spending, while expenses represent the actual amount spent during execution. Allocating the budget to your expense group is a key step in forecasting and planning your intended expenditure for those specific expenses. Expense group allocations can be distributed over multiple months, and you may have multiple expenses associated with a single allocation.

For instance, let's say you create an expense group for sponsorships for the entire year. Based on your estimation, you allocate $50,000 as the total budget for these sponsorships. This allocation doesn't immediately reduce your budget by $50,000; rather, it represents the planned amount. Only actual expenses incurred will be applied against your budget.

Tags

Tags in Planful for Marketing are used to classify objects that cannot be easily categorized using other fields. They provide a flexible way to organize and group items based on specific criteria. 

For example, if you have budget segments defined by marketing functions like product marketing, field marketing, and demand generation, you can group them together under a segment group called Global Marketing. To further refine your categorization, you can create geographic tags (e.g., UK, France, Germany, Italy) and apply them to expense groups. This allows you to easily filter, group, and analyze expense groups based on specific criteria, such as field marketing in France. Tags provide a versatile tool for organizing, filtering, and grouping objects within Planful for Marketing's budgeting system.

Attached Documents(s)

Planful for Marketing allows you to upload file attachments to expense groups, providing additional context for the associated expenses. Attachments can include purchase orders, invoices, and other relevant documents. You can download these attachments directly from the expense group.

Notes

This field is a text box where you can enter additional information and provide further context for your expense group.