Petty Cash Management
Petty cash, as the name implies, is for small expenditures that are most conveniently made using cash. This fund allows employees to be easily and quickly reimbursed for expenditures they make on behalf of the business. Most often this is for office supplies or other small expenses.
Managing your petty cash system ensures oversight and makes it easier to enter those business expenses in your company’s bookkeeping system. Even though the amounts passing through the petty cash fund are small, over time these small expenses can add up. Most companies don’t want to lose those deductions on their financial statements, or lose visibility into where resources are being spent.