What is Cash on Hand?
Cash on Hand (Definition)
Cash on hand is money yet to be deposited to the bank or cash money kept on hand as change for customers. For example, the float you use in the cash register.
Cash on hand and petty cash are similar yet slightly different. Both are physical cash money that is kept for general use within the business. The money is used for small, immediate business expenses or purchases as it is more convenient than writing a cheque or using a credit card. On the other hand petty cash is used specifically for internal business incidentals like printer paper or even a cup of coffee for a client, with one person taking responsibility for it.