Expense Policy Change: 3% SG&A model

Starting October 1, 2025, in the United States, Pinkerton will be implementing a flat 3% Selling, General & Administrative Expense (SG&A) model to replace itemized submissions for certain everyday expenses. This applies to work performed on or after October 1, 2025.

This policy change applies to the follow expenses only on Short Term Protection USRs:

• Mileage
• Parking
• Tolls
• Meals
• Per Diem

 (*only certain high-volume short-term projects will be exempt from this policy)

This flat SG&A model will not apply to larger expenses like flights, lodging, rental vehicles, equipment rentals, and specialty expenses, which will continue to require itemization and preapproval as per our current guidelines.

Adding Expenses

When adding expenses in GAM, the expense categories shown will depend on the date. Expenses from 1^st October 2025 for Short Term Protection USRs will be:

• Lodging
• Other
• Flights
• Rental Vehicles
• Equipment Rentals

3% on Invoices

For the 3% to apply, no action is required from you. You do not need to manually add an expense to capture the 3%. The GAM will apply it automatically.

When creating your invoices, there are two places where you can see if the 3% expense is being applied to your service request. The 3% is only calculated on the total fees.

Under the Invoice Number field – 3% Applicable Yes

Under the Total Fees.

Note: In an upcoming update this 3% line will be displayed in the Expenses section. 

Benefits of Transitioning to the New SG&A Model

• Simplified Administration: Experience a more straightforward invoicing process, eliminating the need for itemizing smaller daily expenses.
  
  
• Quicker Invoice Submissions: Without waiting on receipts from agents for minor expenses, you can expedite the submission of full invoices, resulting in reduced lag time in your receivables.
  
  
• Enhanced Efficiency: Reducing complications in ordinary expense submissions.

Should you have any questions or require further clarification on this policy, our Vendor Management Team is more than happy to assist at Vendor.Management@pinkerton.com.

Thank you for your ongoing cooperation and partnership.

Best Regards,

Vendor Management Team

PINKERTON

www.pinkerton.com