A petty cash voucher can be used for allowable and legal purchases of $50.00 or less. Petty cash vouchers eliminate the need to request purchase orders for small amounts. Use the petty cash system to purchase unusual and unforeseen items. If similar purchases are expected to be made frequently, use the purchase order system. Petty cash purchases are to be in compliance with Alabama Bid Law and other purchasing policies of the College. Office supplies, for example, is a item that is bid. Office supplies cannot be purchased with petty cash from a vendor other than the vendor that holds the College's current office supply bid, according to the Alabama Bid Law. Refer to the internal website for current bid items.
With the Budget Manager's approval, allowable and legal purchases can be made with an employee's own cash. $50.00 is the maximum amount of purchases from a vendor, which can be reimbursed by petty cash. Also, $50.00 is the maximum amount of petty cash purchases allowed for one event. Receipts will be reviewed to ensure no more than $50 is spent in one day. A justification form cannot be used to exceed the $50.00 limit. With the Budget Manager's and Financial Services approval, the employee can be reimbursed when an original, itemized receipt and completed petty cash voucher is submitted to the Business Office. Sales tax paid is not reimbursed. To avoid paying sales tax, you may request the College's sales tax exemption number from the Purchasing Agent. The College's sales tax exempt status is not to be used by an individual for personal gain.
Invoices submitted for reimbursement with petty cash vouchers are subject to the same policies as invoices submitted for payment by purchase orders--documentation is required in some situations.
Click here for more information concerning necessary documentation. A petty cash voucher may be approved for reimbursement when required documentation is provided.
PETTY CASH FORM
When an employee receives approval from the Budget Manager to use petty cash to purchase an item, the employee may purchase the item using their own cash. The employee must receive an original, itemized receipt for the purchase. The employee is reimbursed as follows:
- Staple the original, itemized receipt to the petty cash voucher.
- If the receipt does not itemize what was purchased, this should be written on the receipt.
- On the petty cash voucher, give a description of what was purchased.
- The Budget Manager writes the budget name, the budget number and the amount to be reimbursed. (Any sales tax paid is not reimbursed.)
- The Budget Manager confirms that there is money in the budget to cover the amount of reimbursement requested and signs the petty cash voucher. Petty cash vouchers to be paid from a fund two budget are also signed by the Dean of Institutional Advancement and Community Services.
- The petty cash voucher is to be approved by Financial Services. Take the petty cash voucher to one of the persons provided in the order that they are given: the Purchasing Agent, the Director of Financial Services, the Financial Manager or the Accounts Payable Accountant.
- Take the approved petty cash voucher to the Business Office for reimbursement.
- The Business Office reimburses the amount allowable and signs the petty cash voucher.
- The person receiving the money signs the petty cash voucher.
When writing the budget number on the petty cash voucher, please provide the correct object code. The following are some object codes commonly used on petty cash vouchers and their description:
|Maintenance and Repairs|
|Gas and Oil|
|Materials and Supplies -- this includes food|
|or supplies purchased for any meetings,|
|classes or events.|
Request reimbursement of personal travel expenses (object code 601) with travel reimbursement forms.