A member of the faculty or administrative department must send a request to establish a petty cash fund to their department head including the following information: a. Proposed use of the fund; b. Dollar amount required, and c. Name of the employee to be appointed custodian of the fund.
The department head will review and approve the request and forward it to the Director of Finance.
Finance will set up the petty cash fund and send a cheque to the custodian (payable to the custodian);
The custodian will cash the cheque and obtain whatever denominations of money best fit their needs to most effectively manage the fund.
Replenishing a Petty Cash Fund
The custodian completes a Petty Cash Replenishment form and submits it along with the approved invoices or receipts to the Accounts Payable Officer in Finance;
Finance will prepare a cheque requisition and forward that to the Administrator as required under the Administrative Services Contract for the preparation and return of a cheque payable to the custodian.
Verifying Petty Cash Funds at Year-End
On March 15th the custodian will forward all vouchers on hand to Finance to replenish the petty cash fund;
Finance will prepare a cheque requisition and forward that to the Administrator for the preparation and return of a cheque payable to the custodian to ensure that the entire fund is intact at year-end;
On March 31st the custodian will count the money in the fund and complete and sign a Year End Petty Cash Report Form;
The department head will verify the custodian’s count and initial the report;
The custodian will sign the report and forward it to the Accounts Payable Officer in Finance to ensure that all items paid from petty cash funds prior to year-end are recorded in the University’s financial records.
Terminating a Petty Cash Fund
The custodian or department head who approved the petty cash fund will complete a Petty Cash Replenishment form, attach all invoices and receipts and indicate on the form that the fund is to be closed;
The custodian or department head will deliver the remaining cash in the fund along with the Petty Cash Replenishment form and attachments to the Accounts Payable Officer in Finance ensuring that the amount of the invoices, receipts and cash equal the total amount established for the fund;
Finance will close the petty cash fund, credit the total value of the returned cash, invoices and receipts to the fund and issue a receipt for the cash to the department.