620 Associate Travel Expense Revised: 6/1/2016 I. General II. Definitions A. This policy establishes parameters and procedures for Kohl s business travel and the payment/reimbursement of Kohl s Associates business related travel Expenses. This policy applies to all Associates, Executive Vice President and below. B. This policy operates in conjunction with Policy 621 Corporate & Store Expenses. Expenditures are to be incurred and approved consistently with both policies by all Associates. C. Kohl s information should be protected at all times while traveling. When traveling internationally, Associates should use devices deployed from Kohl s Information Technology specifically for the international travel period. D. This policy also operates in conjunction with guidance from individual departments within Kohl s. When a particular department hosts an event involving travel, the department may issue instructional guidance that Associates must follow as long as the guidance does not contradict other company policies including but not limited to this policy and policy 621. A. Business Travel/Business Related Travel Trips to or from a destination other than an Associate s regular work location for business related purposes. B. Cash Advance Funds provided to Associates in advance of his/her business trip to be used for Expenses incurred during international business travel. C. Concur Travel & Expense (Concur) The system used to make business travel arrangements and submit business Expenses. D. Corporate Card Credit card provided to eligible Associates to be used for business Expenses, primarily business travel Expenses for Kohl s. The primary credit card provided to Associates is a US Bank Visa card. E. Expense Dollars spent to conduct business. These are subject to the Associate Travel Expense (620) and Expenses (621) policies. F. Expense Approver The manager of an Associate engaging in business travel responsible for reviewing and confirming the validity of Expenses submitted for reimbursement from a business trip. G. Per Diem A pre-established Expense limit allowed to be incurred for meals during business travel. H. Trip Settlement Submitting Expenses and supporting receipts, generally to Concur, for business travel including for example, Expenses incurred for meals within Per Diem guidelines. III. Parameters A. The primary responsibility for determining the appropriateness and validity of Expenses lies with the Associate incurring the Expenses and the approver of the Expenses. Associates and Expense Approvers are expected to be diligent in his/her review. B. For any travel reimbursement, the following procedures are required to be followed by all Associates.
1. Kohl s funds are to be treated with the same discretion and prudence as an Associate s own funds. 2. Expense travel reimbursements must be submitted through Concur. 3. Business Expenses are to be charged to the Corporate Card assigned to the Associate responsible for the Expenses. If multiple Associates are responsible for the Expense, for example a business dinner while traveling, the most senior Associate for the department(s) present should Expense it to his/her Corporate Card. 4. No one can approve his/her own Expenses. 5. Unless required for his/her own travel reimbursements, Nonexempt Associates are not typically issued Corporate Cards. SVP HR approval must be obtained for all nonexempt Corporate Cards. 6. The Expense Approver should ensure that expenditures are in compliance with and are documented as required by Kohl s policies and procedures. 7. Any member of management who has responsibility for approving Expenses must review the expenditures and make certain all charges are in compliance with Kohl s Ethical Standards and Responsibilities, and appropriate for business needs. C. Expenses found not to be in compliance with Kohl s policies may be the responsibility of the Associate incurring the Expense, at the discretion of Kohl s. D. All Associates are required to comply with this as well as all Kohl s policies. Failure to do so may result in termination of a Corporate Card account and/or corrective action up to and including termination. IV. Travel Arrangements A. Reservation Procedures Air, Car, and Hotel B. Air Travel 1. All Kohl s business travel arrangements, including air, hotel, and car rental are to be booked through Concur, Kohl s approved online travel booking tool or to be made through the Travel Department. These arrangements should not be made by individual locations/districts/regions or corporate departments without partnering with the Travel Department, with the exception of the meeting planners in the Office of Store Administration corporate. Whenever possible, travel is to be booked using the traveling Associate s Corporate Card. 2. Travel should be booked 21 days prior to departure for best pricing. Travel booked less than 14 days in advance must get SVP or above approval. 3. If an Associate makes a change to his/her travel plans outside of the Travel Department or the Kohl s online booking tool, he/she must contact the Travel Department with these changes. 4. Travelers can call 262-703-1667 during or after hours to speak with an agent. 1. Associates will be booked in coach class for all domestic flights. If an Associate requests to fly in a premium class, he/she will be responsible for the difference in the fares between coach and the upgraded premium class. Any upgrades including but not limited to seat selection, early boarding, or other amenities are considered a personal Expense and should not be submitted for reimbursement. 2. Associates are allowed to expense up to two (2) bags, unless traveling with Kohl s merchandise that requires additional baggage (e.g.: samples). Expenses incurred for other personal baggage such as recreational (e.g.: golf clubs, skies) are the Associate s responsibility and should not be submitted for reimbursement. 3. If multiple options for a direct flight are available, the Associate must choose the lowest price option. 4. TSA Pre-check enrollment fees are a reimbursable Expense for Associates who take five or more business trips per year. 5. Global Entry enrollment fees are a reimbursable Expense for Associates who take two or more international business trips per year.
6. Associates are allowed to keep his/her frequent flyer points earned. 7. Associates are permitted to extend his/her trip for personal reasons if desired, however, the Associate will be responsible for any additional or incremental cost in airfare, hotel, and rental car. Also, no Per Diem will be permitted for personal travel days. 8. Associates are not permitted to accept vendor sponsored flights whether commercial or private. C. Ground Travel, Car Rentals, and Rail Travel 1. Kohl s reserves mid-sized cars. Exceptions to this would be if three (3) or more Associates are traveling together, or if the Associate is carrying equipment. Associates are responsible for the cost of any unauthorized upgrades. 2. No insurance should be purchased when renting a car. Loss Damage Waiver (LDW), Supplemental Liability Insurance (SLI), Personal Accident Insurance (PAI), and Personal Effects Coverage (PEC) should be declined. 3. Associates are to return cars with a full tank of gas and are not to buy a pre-fill option or return the car without re-filling the gas tank. 4. Associates will be reimbursed for parking or transportation via taxi or shuttle to/from the airport, or to/from the train station. A car service can be used to/from the airport if traveling outside of the US or Canada. 5. To accommodate the transit layout of New York City and for the safety of our Associates, a car service may be used when booked with one of our preferred carriers under the following circumstances: a. Intra-city, Multi stops Two or more destinations within one city for business related purposes b. Shared rides More than one Associate sharing a car for business related purposes c. After hours meetings Business dinners or vendor meetings scheduled after 5pm 6. If an Associate is asked to use his/her own vehicle, he/she will be reimbursed at the current rate (as of January 2016) of 54 cents per mile plus tolls for the miles driven greater than the normal distance to and from the worksite. Mileage reimbursement is intended to cover the Associate s usual and customary car related Expenses including but not limited to, gas, insurance, wear and tear and other miscellaneous Expenses. A personal automobile cannot be used on Company business unless the Associate has insurance coverage of at least the required minimum of the Associate s state of residence. At no time is gas to be Expensed in addition to mileage. A rental car should be used when renting is more practical and economical than mileage. The mileage rate for reimbursement is subject to change at Kohl s discretion. 7. Expenses incurred for the rental of a Global Positioning System (GPS) may be reimbursed, if considered necessary for the traveling Associate. 8. Associates operating a motor vehicle must do so in compliance with Kohl s Motor Vehicle Safety Policy. D. Non-exempt/Hourly Paid Associates and management supervising them must comply with Policy 317 Non-exempt Compensation While Traveling for compensation guidelines and operate motor vehicles in compliance with Kohl s Motor Vehicle Safety Policy. V. Domestic Per Diems by Location A. Meals 1. Any Expenses over the daily Per Diems will be the responsibility of the Associate. 2. The following schedule outlines full-day Per Diems related to an Associate s meal and meal tips.
B. Hotel Stays a. New York City (Manhattan Only) $100 b. Major Markets $65. Major markets are defined as Boston, Chicago, DC, Houston, Los Angeles, Las Vegas, Miami, New York metropolitan area including counties in Long Island, Hudson Valley, and North and Central New Jersey, San Diego, San Francisco, San Jose and Seattle. c. All Other US Cities $50 3. Meal Per Diems are calculated on a per day basis and not a per trip basis. 4. Alcohol and mini bar purchases may be included as an Expense within the Per Diem. The Per Diem amount may not exceed the above limits regardless of the whether alcohol is included or excluded. 5. Group meals should be included in the daily Per Diem. Within Concur, each attendee must be listed to allow the Per Diem rate to be calculated for each attendee. 6. The most senior Associate at the table should charge the group meal to his/her Corporate Card. 7. Associates requesting reimbursement should consider any meals provided by Kohl s at group meetings or Kohl s locations to represent a portion of the Per Diem allowable. 1. Any Expenses over the daily Per Diems will be the responsibility of the Associate. 2. The following schedule outlines hotel rate maximums related to an Associate s hotel stay. a. New York City (Manhattan Only) $600 (see Kohl s preferred NYC hotel location below) b. San Francisco/ San Jose $325 c. Major Markets $300. Major markets are defined as Boston, Chicago, DC, Houston, Los Angeles, Las Vegas, Miami, New York metropolitan area including counties in Long Island, Hudson Valley, and North and Central New Jersey, San Diego, and Seattle d. All Other US Cities $200 3. All hotel reservations are guaranteed for late arrival. If an Associate needs to cancel or change a reservation, he/she should notify the Kohl s Travel Department immediately. Travelers can call 262-703-1667 during or after hours to speak with an agent. 4. Kohl s has preferred rates with properties near most stores and DC s. These properties must be used whenever possible to ensure Kohl s minimizes travel costs. 5. Associates traveling to New York City are to stay at the corporate negotiated hotel which is currently the Sofitel. The only exception is if the Sofitel is sold out or at the instruction by the Travel Department. 6. Associates are permitted to keep individual points for staying in a hotel room during Business Travel. Group awards or points for booking rooms for a meeting will belong to Kohl s. An Associate(s) arranging a block or rooms or meeting space should not appropriate such points or awards to personal accounts or credit cards. C. Miscellaneous Expenses 1. Personal phone calls of up to $7.00 dollars per day are allowed. When traveling, calls to Corporate should be made utilizing toll free numbers (800) 837-6663 for voicemail and (800) 837-6644 for Corporate Associates. 2. Those Associates who travel frequently should discuss the Kohl s technology resources program with his/her manager.
3. When traveling for seven (7) or more consecutive days, laundromat Expenses will be reimbursed at a maximum of $20.00 per week and dry cleaning Expenses for Dry Clean Only items will be reimbursed a maximum of $60.00 per week. 4. WiFi for conducting business on an airplane or in a hotel or an airport for Kohl s is an appropriate business Expense, if necessary. 5. Other Expenses involving purchases or services for personal reasons such as clothing, child care, pet care, and luggage are the responsibility of the Associate. VI. Additional Policies and Procedures for International Travel A. Travel plans should be completed and submitted at least 30days prior to departure date in order to obtain the best possible fares and itineraries. Individual travelers should use the Travel/Advance Requisition Form found in the Google Forms Kohl s Eforms. Groups traveling together should work with their respective Administrative Assistants to complete a Group International Travel Request form containing all travelers itineraries, as well as requested hotels. The final worksheet with all itineraries needs to be approved by the head of the pyramid before travel will be booked. B. Before final itineraries are provided by Travel, Associates must complete the International Travel Policy and Procedure Acknowledgement. A copy of the acknowledgement must be received by Information Technology (IT) and Human Resources. C. It is the traveler s responsibility to identify the correct paperwork needed for visas and passports. Travelers will be directed to the CIBT website which will assist travelers in completing the correct documents prior to traveling internationally. Obtaining a passport for international business travel is a reimbursable Expense. D. International travelers are entitled to fly business class on any international flight greater than 5 hours in length. If the traveler prefers to travel by train, he/she will be booked in Economy class. E. Associates are permitted to keep frequent flyer miles earned. Associate(s) arranging group transportation should consult the travel department and may not appropriate points or awards to personal accounts or credit cards. F. If an Associate chooses to fly round trip in coach class vs. business class on International flights, and the difference between the two (2) fares is at least $2000, the Associate will receive a bonus/incentive payment of $1500 for his/her inconvenience. The IRS requires that this payment be considered taxable income to the Associate. Payment will be made on the Payroll Check following the return date with applicable taxes deducted. G. International Per Diems 1. Meals - Europe and Asia $100, all others $75 2. Hotels will be determined by the senior executive traveling and the Travel Department on a case-by-case basis consistent with this policy. H. Cash Advance 1. A Cash Advance option is available on the Corporate Card for international travel related Expenses. This should occur infrequently and only in those situations where a Kohl s Corporate Card is unable to be used by the traveler. 2. The Cash Advance must be for business travel Expenses only. 3. Kohl s will reimburse for the exchange rate conversion charges or fees. 4. Cash Advances should be limited to one per trip and should be pre-approved by the traveler s Expense Approver (manager).
I. Associates traveling internationally should only bring and use a device deployed by Kohl s IT specifically for the international travel period arranged through the Kohl s Travel Department. The international mobile device should be returned after the period of international travel ends. J. All business related Telex and fax fees, Departure Taxes and E-mail services/internet fees are reimbursable. K. Personal telephone calls up to $100.00 per week or $20 per day are reimbursable. L. The company will reimburse the traveler for any required vaccines. M. Medical Emergencies While Oversees: Before traveling overseas, an Associate should obtain an International SOS wallet card from each one s respective administrative assistant or the Travel Department. If an emergency occurs while oversees, the Associate should contact ISOS for help and instructions on obtaining and paying for medical services. VII. Procedures for Trip Settlement A. Kohl s Corporate Card 1. All Associates who travel one or more times a year are required to use a Corporate Card. The Corporate Card is to be used for all business Expenses. The request for the card should be approved by the Associate s immediate supervisor (manager level or above). 2. The Corporate Card is to be used for business Expenses only. 3. Travel Expenses must be submitted for reimbursement within 10 business days after traveling. However, airfare needs to be Expensed immediately after it appears in Concur, prior to the travel date. 4. Late fees are the responsibility of the card holder to be paid directly to the bank. Any unpaid balances are the responsibility of the card holder. Any unpaid balance past 120 days due may result in termination of the corporate account in addition to corrective action up to and including termination. 5. U.S. Bank online access at https://access.usbank.com should be utilized for account reconciliation, personal payments, or statement copies. B. Reimbursement Procedures 1. All Expense reimbursements must be submitted through Concur. This includes but is not limited to air fare, ground transportation, rail travel, hotel stays, meals, and mileage. 2. For reimbursement purposes, Associates must ensure all Corporate Card, bank account, personal, department Expense accounts, and contact information is up to date in Concur. 3. All Corporate Card transactions will generally be uploaded into Concur Travel and Expense within four (4) days of posting. 4. Receipts will be required for all transactions greater than $10.00. Meal receipts must contain the itemized detail of the meal to be eligible for reimbursement. 5. Reimbursements due to the Associate will be paid directly to the Associate s personal bank account listed in his/her Concur Travel and Expense profile. Kohl s will pay the bank for business Expenses submitted and approved. 6. If an Associate incurs Expenses on his/her Corporate Card that are not Kohl s business Expenses, he/she must reimburse the bank directly for those charges.
7. Store Non-exempt (hourly) a. Concur Reimbursements b. Paid Outs i. Hourly/nonexempt Associates in Stores should use Concur to submit travel Expenses. ii. Store Admins may be selected as a delegate to process the Expense on behalf of the Associate. Reference the following sections of the Concur User Guide posted on KNet > Operations > Expense Management: Section 1-Log on to Concur Expense; Section 3-Update Your Expense Profile; Section 4-Create a New Expense Report. i. In Stores, paid outs are an acceptable form of travel reimbursement only when an hourly/nonexempt Associate does not have sufficient funds to cover Expenses that will be incurred on a business related trip. (See Expense Policy 621 and Cash Paid Out Procedure on KNet) ii. An Expense report must be completed for an Associate to receive a paid out. See Excel template. Select Microsoft Excel and then File>New>Expense Reports. If the template is not listed, search for Expense Reports in the search function. iii. Completed Expense reports must be approved/signed by a Store manager or multi-store leader, and the Associate receiving the Expense reimbursement must sign the form. iv. The form should be retained by the Store location for three (3) months. 8. Questions regarding Concur Travel and Expense are to be directed to ConcurSupport@kohls.com. VIII. Non-Reimbursable Travel Items include: health club facilities; movies, shows, or other non-business related entertainment; cash or property loss; damage to luggage; sundry purchases (books, magazines, newspapers, toiletries, personal items); speeding tickets, parking tickets, and any other Expenses related to violating a law, regulation or ordinance; any nonbusiness related items. IX. External Business Partner/Vendor Expenses: Any external business partner or vendor traveling for Kohl s business is minimally subject to Kohl s policies for Expense reimbursement. Expenses FAQ - Corp Expenses FAQ - Credit Expenses FAQ - DC/eFC Expenses FAQ - Stores