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PETTY CASH CONTROLS 25/01/2011

1. Introduction

1.1 The purpose of a petty cash Imprest is to defray minor items of expenditure which are
required as a matter of urgency or for which the normal purchasing procedures are
inappropriate. It is not intended for reimbursement of travel and subsistence claims or payment
of wages. The upper limit for a petty cash transaction is 250.00 GHC.

2. Imprest Holder

2.1 To request a float or petty cash contact the Management Accountant who will forward a
form for the Imprest holder and their Head of Department to sign. The form should then be
passed to the Financial Controller for agreement.

3. Security

Cash and vouchers must be held in a locked petty cash box to which the Imprest Holder has sole
access. The key to the cash box must be held on the person at all times. When not in use, the
cash box must be stored in a locked receptacle. These conditions are required by the company
and its insurers.

4. Disbursements

4.1 Every person claiming petty cash must take the receipt attached to a petty cash claim form
to his/her nominated petty cash holder.

4.2 Each receipt will bear the signature of the Imprest Holder and the signature of the person to
whom the cash is being paid.

4.3 The recipient of the cash payment must sign the petty cash claim form to confirm receipt of
payment.

4.4 Loans from the Imprest and IOU’s are not permitted.

4.5 Encashment of personal cheques is not permitted.

4.6 Cash payments to third parties is not permitted i.e. the person to whom cash is paid should
be the person who has incurred the expense.

Petty Cash Controls Page 1

Temporary Advances 7.1 The amount of the Imprest held should be adequate to meet the payment demands of the Department and require reimbursement at not more than monthly intervals. 6.g. Postage Stamps 8. The amount of the Imprest is thereupon represented by stamps and cash together. 5. 5. it requires reimbursement more frequently than once a month. Petty Cash Controls Page 2 . it should be supported by the paid petty cash vouchers.1 If exceptionally. 5.4 When the Imprest reconciliation is presented to the authorised signatory for certification. Use of stamps must be recorded in the Petty Cash book as expenditure when used. 5. which will replace the “advance voucher”.1 If the Department requires a small stock of postage stamps for emergency use then small supplies may be purchased from petty cash. a signed Petty Cash Voucher for the amount advanced should be placed in the Petty Cash box. 8. The signatory must be someone other than the Imprest Holder. On return the purchaser will submit a receipt for the amount expended.3 The Imprest reconciliation must be authorised by the Head of Department or such authorised signatory to whom he/she has delegated his task. 7. Increase in Imprest 6.1 If the amount of the Imprest is no longer sufficient to meet the needs of the Department e.2 When reimbursement of the Imprest is required the holder shall reconcile the cash held and supporting receipts.5 The Imprest reconciliation together with supporting vouchers should be passed to the Management Accountant for reimbursement. Reimbursement 5. a request by the Head of Department should be sent to the Financial Controller for approval. the latter being destroyed by the Imprest Holder in the presence of the purchaser. it is necessary to provide cash prior to expenditure.5. The certifying officer shall satisfy him/herself that the vouchers agree in total with the Imprest reconciliation and that the payments made are in accordance with these procedures and are appropriate to the official business of the department.

At year end a form will be sent to all Imprest Holders who must reconcile their petty cash and have their Head of Department confirm the amount remaining in their float. Income 9.1 Under no circumstances should any income other than the reimbursement and increase in Imprest be paid into the Petty Cash Imprest. 11. Contact Management Accountant Financial Controller Petty Cash Controls Page 3 . Internal Control 10.1 Imprest Holders are advised that their petty cash holding and petty cash book may be checked by the Head of Department who will sign and date the book to evidence their check. 10.9.