Incidental expenses, also known as contingencies, are tips and other minor fees or expenses incurred in addition to the main service, item or activity paid for in the course of business.
Unforeseen expenses in addition to transportation, food and lodging are common when an employee travels on business.
Unforeseen expenses and the policies and procedures governing them are often set out in a company employee handbook.
Company reimbursement procedures may require that incidental expenses be paid by employees out of pocket, with a company credit card, or in cash.
Incidental expenses paid out of personal funds of employees must be reimbursed by separate checks, so that it is clear that the payments are reimbursement and not income of employees.