Most organizations have situations in which they need to manage costs in multiple currencies, whether it be as simple as needing to account for travel expenses, or as complicated as a multinational team working all over the world.
No matter what your situation, Tempo Budgets can help. Here’s how you do it:
Setting up centralized exchange rates
In order to be able to add expenses or cost rates in different currencies, you first need to set up centralized exchange rates. This allows you to dictate on which date expenses and costs are exchanged and the exact rate that you will be using.
You can add the exchange rates you’d like to use in the global settings. From there, choose exchange rates from the left sidebar. Here you choose the currency you’d like to change from and to.
If you press the arrows button next to the rate box, the exchange rate from that day will be automatically pushed, but you can also add the rate manually.
Simply click "add" once you've entered the rate and the effective date. If you click on "manage rates", a list of all added exchange rates from that currency will show, and if you click it again, they will be hidden.
Adding expenses in multiple currencies
Sometimes expenses occur in different currencies when your team members are travelling for work, for example. It’s now easy to add those expenses in any currency.
Simply plan or book an expense in the costs section of the folio just like before and change the currency to the original currency of the expense. The amount will be automatically exchanged according to the exchange rates you added in the global settings and on the date that you added.
Once the expense has been added, there will be a star next to the amount indicating that it was exchanged from a different currency. If you click on the expense, the information in the sidebar will give you the original amount and currency.
Adding cost rates in multiple currencies
You can only add expenses in currencies other than the folio’s currency, not positions. You can, however, change the cost rates to any currency in the centralized cost rates section.
If one of your staff members is getting paid in a different currency, their cost rate will be exchanged on the date you’ve added in the centralized exchange rates section. It's important to be able to control this, so that it doesn't look like salaries are changing every day.
To add and edit cost rates, you need to go into the global settings and choose cost rates in the left sidebar. From here you can easily edit or add new cost rates and change the currency as needed by clicking "manage rates" in blue on the top right of the page. From here you can easily add or edit existing cost rates, as shown below.
Cost rates will show up in the costs section in the currency of the folio and do not have a star next to them like the expenses added in different currencies, since this is managed on the global level, not on the folio level.
So go ahead and play around with the centralized exchange rates and make your cost management just a little more accurate.
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