Webexpenses ‘Angels vs. Devils’ – An Expense Fraud Study

Why is expense fraud so devilishly prevalent?

Exaggerated costs, falsified journeys and wildly off-policy claims – employee expense reports can be spine-chilling reading for finance professionals.

Expense fraud is a major problem, one that contributes to the $2.9 trillion annual business losses that are suffered globally each year as a result of fraudulent activities.

Our latest research shines a light on exactly what’s driving the problem – highlighting the workplace battle that’s taking place between employees’ inner expense ‘angels’ and ‘devils’.

It’s a battle that’s currently being won by the pitchfork wielders. Surveying more than 4,000 office workers across the globe, 47% admitted to having falsified or exaggerated their expense reimbursements.

The reasons they gave provide valuable insight into the root causes of expense fraud and some effective strategies that can be used to tackle the issue. The main ‘devils’ revealed were:

‘Everyone does it’

Just under a quarter of respondents (24%) used the fact that expense fraud was so commonplace within their workplace as a justification.

Poor management and monitoring of expenses

Nearly nine-out-ten employees (84%) said they had never had an expense report challenged or rejected. Over a third (37%) said a ‘sensible’ fraudulent claim would never be detected.

Unofficial ‘bonus’ system

Using dodgy reimbursement claims as a way to ‘right’ perceived wrongs – such as low pay and long hours – was given as a justification by 39% of expense fraudsters.

The research demonstrates the powerful impact that workplace culture has on employee decision making. For too many businesses, expense fraud has become dangerously normalized.

This is largely as a consequence of finance teams not having the tools they need to effectively manage and monitor reimbursement costs. It’s a task that’s typically still handled manually, with Excel spreadsheets and bundles of paper receipts.

The report looks at how switching to an automated system such as Webexpenses can transform attitudes towards expense fraud. With real-time policy checks and alerts, it allows a finance team to start effectively policing claims.

It provides an effective way to shield a company against ‘scary’ expenses and to start creating a workplace environment in which employees’ inner ‘devils’ are driven away.

Related articles

Two business partners in formal wear and with protective yellow helmets on heads walking and talking about business. Younger one holding folder with data while older one using tablet.

When Your Expense Process Stops Scaling, Everything Else Slows Down 

Most business owners don’t wake up one day and realise their expense process is broken. It happens gradually. A few late submissions. An approval that sits in someone’s inbox over a long weekend. A reconciliation that should take a day and takes weeks.  By the time it’s a real problem, it’s actually been a problem for a while. Slowly, slowly, then all […]

A line up of old receipts for a items bought in a store.

AI Expense Fraud Is a Real Problem. Here’s How to Get Ahead of It. 

For most people, AI image generation is still a bit of a novelty – something you use to turn a photo of yourself into a Studio Ghibli character, or age your face by 40 years for a laugh. But the same technology that puts your boss in a Pixar film can produce a convincing restaurant […]

5 G2 badges including Regional Leader for Expense Management on a springtime background

G2 Spring 2026: Webexpenses Named a Regional Leader – Again 

The G2 Spring 2026 results are in, and we’ve picked up another strong haul of new badges, including Regional Leader for the UK, Leader for Mid-Market, and High Performer for both Enterprise and Small Business.  ‘Big deal, you won some prizes’. Yes, yes – I’ll acknowledge an element of self-satisfaction here. But these G2 awards do matter. And if you’re considering us […]