CEX Store Petty Cash Procedure

This procedure is designed to standardise petty cash security procedures across the company. The processes are to be used in all stores. This procedure is to be read by anyone responsible for store petty cash. The procedure is not intended to cover what you can and cannot spend. Clarification on this can be obtained from your Zone manager. Zone managers are not expected to know everything and may need to seek clarification from Head Office on your behalf. Following these procedures is an easy way to ensure that your stores petty cash reconciles each period. By the time you get to the end of the period, your petty cash should be ready for submission without you having to spend hours sorting through it. If you do not adhere to this procedure there is a chance you will loose receipts. You may have already paid out those expenses and your petty cash sheet may show a negative balance. Failure to adhere to this procedure will be regarded as misconduct. If the consequences of failing to adhere to the procedure result in missing money or receipts it may be treated as gross misconduct. Amendments may be made from time to time in the Employee Handbook and when they are, the Employee Handbook shall have precedence at all times. Petty Cash tin You should treat the petty cash tin as a safe. The tin should be locked and must be kept in the safe or other secure area. Person Responsible Only one person should be responsible for the tin at anyone time. ALL expense receipts should go through this person. If the store manager has delegated responsibility to someone else, even the store manager should go through this person for expense claims. If you have an expense claim you will need to wait for this person to be on duty. If the person responsible is going on holiday then a formal handover should happen. The person responsible should count the tin and the person temporarily should count the tin in each others presence. If there is a discrepancy in the sheet balance with the money in the tin, notify the Zone manager. File Location The electronic version of the petty cash sheet and any bonus sheet should be kept in the store admin folder only.

Version 2, March 2009

CEX Store Petty Cash Procedure

Making top-ups Top-Ups are now restricted to level 4 Tags only (zone manager level). Before you make a top-up you must reconcile any previous sheets (including bonus sheets) and send these off to accounts by registered post. The store manager is not to make bonus top-ups under any circumstances, these must by done by a zone manager. Lost Receipts As a general rule lost receipts and hand written receipts cannot be claimed for. There may be circumstances in which alternative proof of expense can be obtained. Further clarification can be obtained from your Zone manager. Spending Limits The period spending limit for day-to-day expenses is 300 per month. Your Zone manager may set a lower limit for smaller stores. If a Zone manager wishes a store to exceed this limit for his store they must get authorisation in writing from accounts. Wage subs Occasionally it may be necessary to give wage payments from petty cash. These must be authorised by accounts before they are given out and copy of the confirmation should be attached to the claim. If the amount exceeds the available petty cash amount, the Zone manager will need to attend the store to release the funds. The person receiving the sub must sign a receipt to say they have received the sub and the person issuing must counter-sign. The amount issued will automatically be deducted from next salary payment. Received receipts Keep these in an envelope or bull dog clip. As a receipt is received it is given a sequential number and must be added to the sheet by the person receiving it. Every receipt claimed must be signed by the person receiving the money. Receipts are kept in the order in which they are received. Enter the date on the receipt in column A. You should put through any items you intend to claim back for separately at the checkout. If you forget, you must initial each item on the receipt and write to total claim on the bottom of the receipt. 1% Bonus/ Subsistence Top-Ups When money is transferred from EPOS it cannot distinguish between petty cash and bonus top-ups. Although the bonus money is kept separately, to ensure that all top-ups reconcile, bonus top-ups need to be added to the petty cash sheet. Transfer the authorised amount on EPOS to petty cash and

Version 2, March 2009

CEX Store Petty Cash Procedure

select the expense category bonus/1% Top-Up. Enter the order number in the description as with other top-ups The bonus money should then be added to a separate petty cash sheet recording the bonus expenditure (with receipts). This should be audited and sent to accounts by registered post before any further bonus top-ups are made. Please note that this also needs a level 4 tag to move the money

Your petty cash sheet explained

Your petty cash sheet contains formula. These should not be altered. Column N auto-calculates and no data should be manually entered. Detailed Description This must always be completed. The name of the person given the cash and what it was for. The person is asked to sign each receipt they are claiming back. For top-ups put the order number. Expense Category This is a drop down list and should always be completed. Use the quick procedure on the petty cash sheet to help you. Receipt Amount Enter the amount of the receipt or top-up Store Manager signature The store manager should sign each sheet. Zone manager Signature The Zone manager should reconcile each sheet before making any further top-ups. The electronic version is kept in the store admin folder. The completed version is sent to accounts via both email and recorded delivery post. Balance brought forward (Excel Cell C9)
Balance Brought Forward

255.34

This should show equal the amount of money in the tin at the start of the period. This should also be the same as the actual balance carried forward from the previous period. You should not be carrying over large amounts, the expenses should be accountable in the period the top-ups are made.

Version 2, March 2009

CEX Store Petty Cash Procedure

Expected Balance This cell calculates the expected balance of your sheet. It is also an indicator as to how much money you should have in the petty cash sheet. It takes into account the balance at the start of the period, adds any top-ups and takes away any expense payments. Actual Balance You need to physically count how much money is in the tin and type it in this cell. This should be done regularly and whenever a handover of responsibility occurs. An error will flag if the actual balance differs from the expected balance by more than a certain amount. The golden rule is if you are in doubt ASK!! Zone Manager responsibilities Your responsibility is to make all top-ups to petty cash. You are also responsible for reconciling and signing off each sheet and ensuring it is sent to accounts by both email and registered post. You should not make a top-up without reconciling any previous sheets and sending them off to accounts. You must not submit any expense payments on store petty cash unless authorised in writing by your Superzone manager and copy email attached to claim. All salaried staff must submit expenses centrally not through P/C If you authorised to do so, you must ask the staff member responsible in the store for petty cash to process the payment for you. Do not under any circumstances process the payment yourself. The closing balance is generally allowed a leeway of up to 5 per period. If this happens on a regular basis or the limit is exceeded, you must formally investigate the matter and notify Loss Prevention without delay. From time to time you may be instructed to conduct a full audit of petty cash by Loss Prevention or your Superzone manager. Instructions will be given at the time of the audit. Finance team responsibilities Its responsibility for the Finance team to ensure that the transfer petty cash claims to Finance system , to follow the Tax regulation rules for the claims, advise if the closing balance does not match against store Petty cash and accounting and to sign & dated the form confirming all this checks had been performed

Version 2, March 2009

CEX Store Petty Cash Procedure

Loss prevention responsibilities Loss prevention will audit Stores Petty cash ensuring compliance of procedure and will investigate any discrepancies in a timely manner SuperZone manager responsibilities Its SuperZone manager responsibilities to audit Zone Mangers checks and to liaise with Lost prevention if any regular discrepancies arise.

Version 2, March 2009