What is the amount of total petty cash expenses to be recognized during April

Petty Cash Fund Definition – A small cash fund used to make incidental purchases where normal purchasing methods are not practical. Special care must be taken to protect such funds from theft or misuse.

Petty Cash Funds Policy 3-011

1. General Purpose of Petty Cash Funds – Petty Cash is intended for small, incidental purchases. The amount of the fund should not exceed the amount of expenditures required in a 45 day period.
2. Establishment of Petty Cash Funds – A request for such funds must be made to the General Accounting Office, or in the case of a Grant or Contract to their accounting office. To create or make changes in amount, custodian, ChartField or closing use the Petty Cash Request/Change Form.
   1. In the event you want to decrease or close your petty cash fund, the custodian should deposit the amount of the fund reduction via a
   2. Original receipts must be obtained for each petty cash expenditure. Such receipts normally include cash register or point-of-sale receipts, or properly approved “Received of Petty Cash”slips. Individuals requesting reimbursement from petty cash must sign the receipts. For each disbursement, the following informationmust be documented.
      1. Payee
      2. Date of purchase
      3. Amount
      4. Business purpose and description of purchase
   3. When the cash fund becomes depleted, complete a Petty Cash Reimbursement Form and submit to Accounts Payable. The reimbursement form should be approved by the appropriate department head, with all applicable receipts attached.
   4. The refund check can be cashed at the main cashier’s window in room 165 of the Student Services Building.
   5. Departments are responsible to ensure that petty cash expenditures do not include Utah Sales Tax. Petty Cash funds will not be replenished for amounts paid in Utah Sales Tax without exception authorization from the cognizant Dean or equivalent position.
3. Prohibited Uses
   1. Petty cash funds may not be deposited into personal bank accounts or commingled with other funds.
   2. Departments may not establish bank accounts for petty cash funds.
   3. Purchases of goods and services for more than $100 should not be made with petty cash. Purchases over $100 should be made using other procurement methods such as the purchasing card.
   4. Petty cash funds may not be expended for:
      1. Salaries, wages, or similar payments to individuals.
      2. Purchases of goods and services for the personal use of faculty or staff members.
      3. Prohibited acquisition items as outlined in Rule R3-100E.
      4. Payroll advances, travel advances, and loans to employees or students
      5. Cashing checks for employees or other individuals.
      6. Reimbursement of entertainment expenditures. Such expenditures should be submitted to Accounts Payable as outlined in Policy 3-031.
4. Maintenance and Security of Funds
   1. Petty cash funds should be properly secured at all times. Access to the funds should be restricted to one person (e.g., the petty cash custodian or a specified cashier).
   2. Cash on hand and receipts for disbursements made should always equal the assigned amount of the petty cash fund. This cash should be counted daily and logged using the Cash Count Sheet.
   3. Petty cash funds are subject to unannounced verifications by management of the responsible department, the office of the Utah State Auditor, the Internal Audit Department, and/or the Controller’s Office. At the time of the audit, the petty cash custodian must provide a full accounting of the fund.
5. Annual Review of Petty Cash Funds
   1. Annually, the petty cash custodian and department head, or designee (other than the custodian),are required to review each petty cash fund under their control and verify the following:
      1. The fund is still needed for the amount authorized.
      2. The sum of cash on hand and receipts for unreimbursed expenditures is equal to the amount which has been authorized.
      3. The funds are secured and not deposited in a separate bank account.
      4. The custodian is the custodian of record.
      5. This petty cash policy and supplemental guidelines has been reviewed and the fund is being used in accordance with this policy.
   2. Failure to complete the annual review may result in the closure of the petty cash fund.

(March 2015)

I.              REFERENCES

A.            Systemwide Business and Finance Bulletin Manual (BFB)

BUS-28������ Property, Equipment, Money, and Other Securities Losses Resulting from Fire, Theft, or Other Named Perils

G-29���������� Known or Suspected Losses Resulting from Misappropriation of University Assets

B.            UCSD POLICY and Procedure Manual (PPM)

300-11������� Certification of Possession of University Funds

514������������ Cashier

C.            University of California Accounting Manual

C-173-61���� Cash : Petty Cash Disbursements

II.            POLICY

A petty cash fund can be established when there is a continuing demonstrated need to maintain cash on hand to permit the purchase of supplies and services for official University business which cannot be purchased through established procedures which include the use of blanket purchase orders, low value purchase orders, and the Storehouse and other University Service Departments.

Each petty cash fund is restricted to the originally approved amount and must have a per expenditure dollar limitation. The general rule for the campus is a maximum dollar limitation of $50 per expenditure. Each petty cash fund must be used strictly in accordance with the purpose for which it was authorized.

Receipts plus cash on hand must at all times equal the establishment amount of the petty cash fund.

III.           PROCEDURES

A.            Establishment of Petty Cash Funds

The campus Business Office is responsible for authorizing petty cash funds, for determining the amount of each fund, and for the per expenditure dollar limitation of each purchase or payment.

Requests to establish petty cash funds should be submitted to the campus Business Office. Requests must explain the need for a fund, the proposed fund amount, and the proposed custodian (see III.B.). Requests must be authorized by the department chair.

When a request for a petty cash fund is approved, the Business Office will initiate a Request for Issuance of Check payable to the custodian. The check will be issued by the Accounting Office and will be transmitted to the custodian with a request that the custodian refer to these procedures.

B.            Designation of Custodian

The department head will designate a custodian for the petty cash fund who will be directly responsible for the controlling and disbursing of the cash. The original check to establish the petty cash fund and the replenishment checks are made payable to the custodian of the fund.

C.            Petty Cash Disbursements

Expenditures from the petty cash fund must be made only for the purpose(s) for which the fund was authorized. Each petty cash expenditure must be supported by a receipt attached to a Request for Petty Cash Reimbursement form, Exhibit A. At the time that the expenditure is made, a sales slip, cash register receipt, or other document displaying the following information must be obtained:

1.     Date of purchase or payment

2.     Name of vendor or other payee.

3.     Positive evidence that a payment was made, i.e., a cash register receipt or a handwritten receipt on which the word ``PAID'' appears.

4.     The amount paid

5.     A description of the goods purchased or the services provided (entered by the payee if a handwritten receipt is obtained, or by the purchaser if a cash register tape is issued).

6.     A signature indicating receipt of material or services

Any exceptions to either the type or amount of an expenditure must be approved by the Bursar for the General Campus and the Director of Finance or designate for the UCSD Medical Center.

University employees can request reimbursement for authorized and approved expenditures by presenting a Petty Cash Reimbursement form with the proper documentation to either their departmental custodian or to the Central Cashier. Requests must be submitted in person.

D.            Reimbursement of Petty Cash Funds

To request reimbursement, the accumulated Request for Petty Cash Reimbursement form with receipts or the appropriate document attached are listed on a Petty Cash Reimbursement Schedule similar to the sample form, Exhibit B, and then forwarded together to the Disbursements Division of the Accounting Office, Mail Code 0955. The complete accounting distribution for each charge must be provided.

The Petty Cash Reimbursement Schedule must be approved for payment by a designated staff member who is neither the custodian nor an employee reporting to the custodian.

A copy of the Petty Cash Reimbursement Schedule should be retained with the fund as evidence of a reimbursement request in transit.

The Accounting Office will prepare a check payable to the custodian in the total amount of the Petty Cash Reimbursement Schedule to replenish the fund. Reimbursement can be requested as needed, but always by the end of the fiscal year.

E.            Physical Security

When not in use, the petty cash fund's currency must be placed in a safe or locked repository, and kept in a properly secured area.

In the event of either a theft or undetermined loss, the Campus Police must be notified immediately. A letter accompanied by the Campus Police report must be sent by the custodian to the department head, with copies to the Business Office, Accounting Office, and Department of Internal Audit outlining the facts and circumstances surrounding the loss. If the fund is to be replenished, a Request for Issuance of Check should be transmitted along with the copy of the letter being sent to the Business Office.

F.            Change In Custody of Funds

When custody of a petty cash fund is transferred either temporarily or permanently to a different custodian, a Change of Custodianship form, Exhibit C, must be submitted to the Business Office.

G.            Termination of Petty Cash Funds

When the petty cash fund is no longer required, the custodian must contact the Accounting Office-General Accounting Division to obtain instructions for depositing the fund with the Central Cashiers. A copy of the Central Cashiers' deposit receipt must be sent to the Business Office and Accounting Office-General Accounting Division.

H.            Internal Control Procedures

Prior to June 30 of each year, the Accounting Office will mail each petty cash fund custodian a Certification of Possession form, Exhibit D. The custodian will complete and return the form as soon after June 30 as possible. Additionally, a surprise cash count of each petty cash fund will be performed as deemed necessary by the Assistant Vice Chancellor-Financial Services. Any major discrepancies disclosed either by the annual certification or a surprise cash count will be reported to Internal Audit.

EXHIBIT C������

CHANGE OF CUSTODIANSHIP OF PETTY CASH/CHANGE FUND

Effective _________, Custodianship of the ___________________ Petty Cash/Change Fund (circle one)

������ [date]�������������������������������������������� [department]

in the amount of $ __________ is transferred from ___________________________________________

�� [present custodian]

to _____________________________________, who will be responsible for the reason indicated below:

[new custodian]

___New Custodian ___ Vacation ___ Sickness ___ Other: _____________________________________

(If vacation or sickness, intended date of return will be __________)

*Actual cash count when Fund is transferred must be witnessed *

__________________________________ ����������� __________________________________
           (present custodian signature)                      ������� ����� (witness signature)

__________________________________
           (supervisor signature)

I hereby acknowledge receipt of the Petty Cash/Change Fund (circle one) in the amount of $ _________, and accept the responsibility to act as custodian for the reason indicated above.

______________________________________
(new/temporary custodian signature) / (date)

TO BE COMPLETED UPON RELIEF OF TEMPORARY CUSTODIANSHIP

Upon making an actual cash count, I hereby relieve ______________________ as Temporary Custodian

[temporary custodian]

of the _______________________ Petty Cash/Change Fund (circle one) in the amount of $ __________.

����������� [department]

__________________________________ ����������� _____________________________________________
           (temporary custodian signature)                      (official custodian signature) �������� �����������(date)

To General Accounting Office:

________________________________________________
(Business Office approval)������������������� (date)���

cc:���� Business Office

�������� General Accounting Office

�������� Fund Custodian

EXHIBIT D

Custodian Name
Department Name
Mail Code

SUBJECT: PETTY CASH

I.      June 30, 1990 Request for Reimbursement

In order to properly record 1989/90 Petty Cash disbursements, Petty Cash Custodians must submit requests for reimbursement covering all petty cash vouchers received through the close of business on June 30th. These requests must be received in the Accounting Office (Disbursements Division, Mail Code 0955) by 4:00 p.m. July 2nd.

-------------------------------------- cut along dotted line --------------------------------------

* * * * *PLEASE RETURN THIS FORM TO ANNA AT 0953 WHEN COMPLETED* * * * *

II.     June 30, 1990 Certificate of Possession

The intent of the following Certification of Possession of Campus Cash Funds is to identify the fund custodian and to verify the amount of the petty cash fund at the close of business on June 30, the final day of the fiscal year. If June 30 falls on a day when your department is closed, this form should be completed at the start of the next business day. This form must be completed prior to any July petty cash activity.

CERTIFICATION

I certify that on June 30, 1990 I counted and had in my possession and under my control

$ ________ in petty cash funds and that these are being administered in compliance with campus Policy and Procedure Manual 300-10, "Petty Cash Funds". I also certify that the cash count was witnessed.

CASH COUNT WORKSHEET

Total Fund: Total Currency _____________ + Total Coin ______________ = $ __________ *

Comments: __________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________

* Should equal amount issued to Custodian. If there is a variance, i.e., cash short or over, please fill in the reason for the variance in the Comment Section above. For example, if you are short due to a pending "Request for Reimbursement", please so indicate in the Comment area.

If any of the following information is incorrect, please cross out the incorrect items and note corrections.

* * * * *PLEASE RETURN THIS FORM TO ANNA AT 0953 WHEN COMPLETED* * * * *

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