How To: Reimburse an Employee with Petty Cash
Who does this? Certified petty cash custodians
When? Employees present the custodian with expense receipts authorized up to $100
How? Reimbursement of petty cash requires authorized, validated receipts
Reimburse an Employee with Petty Cash (3 steps)
Employee presents original expense receipts attached to a completed Received of Petty Cash Form:
Note: If the original receipts are lost, they must be indicated when requesting replenishment in the Expense Requests system.
Petty cash custodian reviews request, and:
- Ensures all required information is included
- Evaluates compliance to reimbursement policy, and
- Verifies proper authorization.
Petty cash custodian uses the cash in the petty cash fund to reimburse employee for exact amount of expenses shown on receipts:
- Enter the amount of the reimbursement on the Received of Petty Cash Form.
- Reimbursement for petty cash must be the exact amount of the expense. Splitting one transaction valued over $100.00 into lesser parts is not permitted.
- Custodian numbers the Received of Petty Cash receipt, per department numbering system (each department must create its own system for numbering receipts AND recording the numbers and receipts).
- Disburse cash to employee.
- Direct employee to sign Received of Petty Cash form, indicating monies were received.
- Retain Received of Petty Cash form and original receipts.
What Happens Next?
- The Petty Cash fund must be reconciled and replenished on a monthly basis. See How To: Reconcile Petty Cash Without Replenishment and How To: Replenish Petty Cash for details on how to replenish the petty cash fund.
- Financial Support Center (3-2772)