Payment of Travel Expenses

» Posted by on Sep 30, 2014 in Payment Methods | 0 comments

The primary way for paying for Government travel is through the GSA SmartPay 2 program.  GSA’s SmartPay 2 program provides Government agencies with commercial charge card procurement and payment solutions through master contracts established the program in 1998.  GSA issued contracts to four credit card companies to issue cards on behalf of the Government.  To date over 42 million cards have been issued and is the largest program of its kind in the world.

SmartPay program cards can be issued to either individuals or agencies.  Individual Billed Accounts or IBA’s are issued to individuals for use during official travel.  These credit cards are issued in the travelers name with the traveler having full responsibility for payment and reconciliation.  A Centrally Billed Account (CBA) is issued to organizations and is generally used when a traveler does not have an IBA.  The account is usually only an account number and not an actual card.  The responsibility for reconciliation lies with the agency, with payments paid directly from the Government to the bank.    Most agencies require prior approval for use of the CBA.

The GSA SmartPay 2 program offers many benefits and expanded services to the Government.  Among the services offered are: built-in credit evaluations and enhanced security options.  The cards are numbered for vendor recognition and look different with new anti-misuse features.  The cards are accepted worldwide and have improved tracking capabilities.  Another advantage of the SmartPay program is the reporting capabilities.  The improved reporting capabilities assist agencies with budget planning, projected travel activity, and better control over misuse of the card.

By:  Chanda Garrett

The contents of this message are mine personally and do not reflect any position of the Government or my agency.

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