Cash for change for cash box

@lumberjackhoops- 

Set up a bank account called 'Petty Cash'.  When you withdraw cash from your checking/savings account, make a Transfer (New > Transfer) from checking/savings to Petty Cash.  Record any changes to Petty Cash using sales receipts, etc. (if applicable).  Then, when you deposit the cash back into your checking/savings, make another Transfer from Petty Cash to checking/savings.   

Thank you @Rainflurry  Additionally, from all the sales, there were also some vendors that were paid in cash.  What's the best way to record that?  For example, let's say there's $3,000 total in cash at the end of the event.  $200 was paid in cash to Vendor A, $300 paid to Vendor B.  What's left to deposit in the bank is $2,500.  This is deposited; $1,600 goes back to petty cash, $900 is reported as income.  For the payments to Vendors A and B, is it best to record those as an expense, and then paid in cash from Petty Cash account?  Thank you.

@lumberjackhoops- 

"Additionally, from all the sales, there were also some vendors that were paid in cash. What's the best way to record that?"

You got it.  Use an Expense (New > Expense) transaction.  Select Petty Cash as the payment account.  

At the end of the event (before expenses paid to vendors A &B), you have $3,000, and I'm understanding your description correctly, these are the transactions you should have;

1) The original withdrawal of cash (Transfer from checking/savings to Petty Cash) for $1,600. 

Petty cash balance = $1,600

2) Revenue (QB calls it income) of $1,400.  The revenue should be recorded using sales receipts if possible and deposited to Petty Cash on the sales receipt(s). 

Petty cash balance = $3,000

Revenue = $1,400

3) Expenses paid to Vendor A ($200) and Vendor B ($300).  Use Expense transactions and select Petty Cash as the payment account. 

Petty Cash balance = $2,500

Revenue = $1,400

Expenses = $500

Net income = $900

4) Transfer $2,500 from Petty Cash back to checking/savings:

Petty Cash balance = $0

Revenue = $1,400

Expenses = $500

Net income = $900

Make sense?

@RainflurryMakes perfect sense, thank you!!!