Finance > Petty Cash Procedure
Authorised by Chief Executive Officer
Revised Date: 26 August 2021
Review Date: 26 August 2022
This procedure supports Kyeema to apply the National Disability Services Standards, in particular Standard 6: Service Management
Procedure
Petty Cash Limit
The amount of the petty cash float shall be as determined by the CEO from time to time, but in general should not exceed $250. Any amount in the petty cash float over $250 shall be returned to general funds.
Petty Cash Use
Each Administration Officer shall ensure that petty cash is used only to cover expenses for which it is not feasible or is unreasonably inconvenient to use normal purchasing methods. Any expense that is predictable, regular, and significant should be dealt with through normal accounting procedures.
The limit of $250 shall not be evaded through splitting of items into smaller amounts.
Petty cash expenses incurred are to be supported by acceptable documentation (receipts, tax invoices, copies of staff travel diaries, etc.) and that the documentation relating to each payment shall be sufficient to establish the nature of the expenditure.
Acceptable supporting documentation of payments from the Petty Cash float shall be retained and submitted with their accounts to the Finance Manager each month.
Any Petty Cash loss must be reported to the Corporate Services Manager or Finance Manager as soon as the loss is discovered.
A tax invoice must be obtained for all petty cash purchases exceeding $55 (GST inclusive).
Petty cash should be kept in a secure (locked) location and the key held securely.
Petty Cash Replenishment
Total yearly petty cash requirements shall be estimated by the Petty Cash Officer and submitted to the budget process. The Administration Officer can draw on replenishments during the year up to this amount.
If there is a need for additional finance, or if it is desired to increase the amount of the float, a special request must be made to the CEO.
Replenishments should be sought when insufficient funds remain for five business days of expected use.
The petty cash float is to be reconciled monthly. This is the responsibility of the relevant Administration Officer. All petty cash expenditure must be entered into the financial system once the petty cash has been reconciled. The balance of monies and vouchers must equal the petty cash float amount before reimbursement can be made.