The post 21+ Free Printable Petty Cash Log Templates (Excel / Word / PDF) appeared first on Best Collections.
]]>You need to keep track of petty cash transactions in order to maintain accountability and ensure the proper management of financial resources. With the help of a template, you can maintain a clear and organized record of petty cash expenses. Additionally, the petty cash log should be updated and reviewed regularly for timely replenishment of the petty cash fund.
Here are the common uses of petty cash;
Petty cash is a small amount of cash that most businesses can keep on their premises in a locked box. It is used by sellers at markets and fairs. Moreover, it is generally operated on an imprest system. It should be appropriately controlled by a petty cash log. A petty cash log is taped to the envelope or stored with the cash. In this way, whoever removes or adds cash can use the form to record the date, payee, aim, and amount.
Here are the different types of petty cash logs;
This type of log is the most basic and almost same to a single cash log. For the amount and the date, you’d only have to make columns. On the debit side of the log, the amount which is received from the head cashier is written down. While, on the credit side of the log, the petty payments made by the cashier are written down. Then, you can compute the total funds you have left in your box at the end of the day.
In the credit part of your log, you’d have to create a separate column for each of the headings of expenses. Only one column is included in the debit part of your log. This would be the cash received from the cashier. In the log, you should only record small amounts. You’d have to specify if you have this type of log to the person you would put in charge of your funds.
This type of petty log would include a lot of columns for amounts of money. Thus, you can track daily expenses. Also, it should contain a credit and debit side. In a column, all the particulars like receipts and expenses are recorded together that you can name as ‘particulars.’ In another column, you would contain dates for debit and credit records.
The amount of money obtained from the head cashier is recorded in the debit side. The credit side would include more columns, as needed. In a classified method, expenses would be recorded and arranged as per the chronological dates of the transactions. To see the entire amount recorded for expenses, a total amount can also be added in the credit side.
This type of log is similar to a columnar log that have a lot of columns in the credit side and just one column in the debit side. Also, they have a particular column and a column for the date.
The head cashier would give a fixed amount of cash or funds to the petty cashier in advance while using this kind of system in order to be able to cover any expenditures for a specific period. The petty cashier would have to submit a statement of expenditures incurred to the head cashier when the period is over. Furthermore, it would be essential with this system to note down the total amount of expenditures should not exceed the provided amount by the head cashier.
Custodians are appointed to oversee the petty cash fund with the help of a petty cash sheet. It’s a duty of custodial to dispense funds and ask for replenishment as per rules and regulations set by the company. Petty cash custodians reconcile petty cash funds periodically to verify the balance fund is correct.
When the balance falls to a preset level, the custodian launches a request for replenishment. Custodian provides petty cash log, vouchers, and receipts at the time of replenishment of new funds. Simple petty cash templates used by custodians for keeping records and management of petty cash funds. You may also like the payroll template.
The petty cash custodian keeps a record of each transaction made through the petty cash fund. For this purpose, petty cash vouchers are used to record below information of each payment made,
Another voucher is used with a petty cash form template to request the replenishment of petty cash funds. This voucher carries information such as date, details, float, voucher number, cash in, cash out, and balance.
Below are the essential reasons that why it would be beneficial to have a petty cash log for your petty expenses;
Here are the tips and tricks for handling petty cash;
You should consider your daily expenses and for your fund, set an amount. In your business, you should cover all small expenses but not too big that the people who work for you can be tempted to steal it. Also, ensure that the amount you set won’t need replenishing too frequently.
Your employees may have the tendency to start spending for the office as this fund is readily available but not relevant to your business. It is essential to determine when the cash is to be utilized and demonstrate that if it’s not for those purposes, the cash must not be used. On your cash box, you can stick a list so that your employees won’t forget it as well as they won’t have any reason to spend the money in any other way.
Your employees might forget to record them or consciously neglect writing them down just because the transactions involved in this system are small, particularly if the amount is insignificant. However, in the long run, this may cause problems for you so stress the significance of recording everything to your employees and ensure they do it.
The systems of petty cash aren’t for everyone. You should ensure that to include only that people who have been in your business the longest. You can allocate the task to one or two of your employees to make sure that the log is neat.
Such types of funds are very liquid. This indicates that they are very much prone to theft. You should always make sure that your box is locked away whether you have an office full of trusted employees.
Here are some steps that will help you to keep the track of petty cash;
Consider the following steps to effectively maintain a petty cash log;
The most important element that constitutes maintaining a petty cash log is keeping track of cash withdrawals and deposits. You must list down on your petty cash log every penny that leaves your cash box to successfully keep an account of your money.
In case, you forget to record this then at the end of the month, you may find yourself with a couple of dollars of deficit. As a custodian of the petty cash account, if this happens to you then you have two options either to admit your mistake in front of your boss or replenish the deficit from your own pocket. Thus, you must keep a receipt for every transaction for accounting purposes.
State in your petty cash logs any transactions that have occurred and are connected to the petty cash. It’s up to you whether to update your log every week or after every transaction so that you don’t forget any detail. Also, it becomes easier for you to match up both documents at the end of every period.
There must be a serious computation that has to happen at least every month. It includes the remaining money in your cash box and all transactions mentioned in your cash log. Make sure both numbers should match the amount that was placed in the box.
Many people get confused about the amount of their petty cash float. So, you must top up your petty cash.
An imprest petty cash system is a procedure of accounting for petty cash expenses. Under this system, the petty cash fund always remains at a fixed amount decided on when the fund is first established. This system allows only the replenishment of the spending made.
There are the following uses of petty cash;
1- It is used to buy small items such as tea, coffee, sugar, and stationery.
2- Used to provide change to customers who are paying cash.
3- The cash that has been paid by customers is kept in it. There is no to deposit it in the bank account. However, the large amounts should be deposited in the bank.
The post 21+ Free Printable Petty Cash Log Templates (Excel / Word / PDF) appeared first on Best Collections.
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