How to Replenish Petty Cash
A Petty Cash Fund allows you to make small payments without having to write checks for trivial amounts. The either/or dilemma is often between taking cash without tracking (non-compliant) and writing a formal check for every small expense (annoying).
When the cash runs low, you write another check to 'Petty Cash' for the exact total of your slips. This brings the cash in the fund back up to its original fixed amount. When you replenish the fund, you summarize the expenses from the slips and record them in the proper categories in your main business books. This Simple and Sound process ensures every expense is tracked compliantly.
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DISCLAIMER: This content is for educational purposes only and should not be considered personalized financial advice. Always consult with a qualified financial professional before making financial decisions.