Hi Jane,
Thank you for reaching out to use about this.
Proper tracking and reconciliation is essential to managing the petty cash balance and when the report does not match your actual petty cash balance we suggest to go through the following to make sure what you recorded matches your actual cash on hand. Go to Accounting > Petty Cash Account > Account History to review the transactions entered in line with the suggested guidelines below. Hope this helps.
- Calculate withdrawn cash. Count the cash remaining in the petty cash fund and subtract it from the stated balance for the fund. The result is the amount of cash withdrawn from the fund.
- Summarize vouchers. Add up the total expenditure listed on each petty cash voucher in the petty cash fund (the information can also come from the petty cash book). Subtract this amount from the calculated amount of cash withdrawn. The result should be zero. If there is a residual balance, then there is a cash overage in the fund. If there is a negative balance, there is a cash shortage in the fund.
- Investigate variances. Investigate any differences between the stated amount of the petty cash fund and the actual total of cash and vouchers.
Let us know if you need further assistance. Hope you'll get your Petty Cash Balances sorted soon.
Have a lovely weekend!
