Petty Cash

For departments with a large number of ongoing minor expenses, if there is a need for cash payments, then establishing and using a petty cash fund is reasonable.

Alternative methods to petty cash listed below should be considered first:

  • Using UBC VISA Card
  • Paying expense first, then requesting reimbursement through the Workday expense module. 
  • Using parking coupons: UBC departments may purchase Digital Visitor Parking Coupons in advance to pay for the parking of departmental guests. Parking coupons are pre-sold and are valid at the North, Rose Garden, Fraser, West, Thunderbird and Health Sciences Parkades. Request parking coupons or contact UBC Parking for more information at parking.support@ubc.ca

If, after considering these alternatives, it is determined that a new Petty Cash Fund is indeed required, proceed to the instructions below.

A petty cash fund may be used for:

Petty cash funds cannot be used for honorarium or other expenses including subject payments require the issuance of a tax form (e.g., T4, T4A, T4ANR or T5).

Establishing a New Petty Cash Fund

Custodian Sign Off is required to request a new Petty Cash Balance or request an increase to an existing Petty Cash Balance.

  1. Please refer to the "how-to" resource in the Self-Service Knowledge Base: How do I create an expense report for petty cash setup or replenishment?
  2. Please ensure you complete and upload the New Petty Cash Request Form into the Workday transaction to evidence Sign Off.

Cashing Petty Cash

Cashing petty cash up to $500 - UBC Vancouver and UBC Okanagan:

  • One time setup is required at one of three designated Scotiabank branches in person over bank counter
  • Provide your name, department and phone number by email to Otto Wong, 48 hours prior to cashing your cheque at the bank.
  • Requires two pieces of identification (1 photo identification (driver's license or passport) and your UBC Faculty/Staff card).

Scotia Bank Branch addresses:

  • 5960 University Boulevard, Vancouver, BC V6T 1Z3
  • 999 West Broadway, Vancouver, BC, V5Z 1K5
  • 940 Kane Rd - Unit 108, Kelowna, BC, V1V 2J9

Increasing the Petty Cash Amount

  1. Follow the "Establishing a New Petty Cash" procedure.
  2. Enter the amount you want the petty cash increased by.
  3. Explain in the memo field that this is a petty cash increase.
  4. Please refer to the "how-to" resource in the Self-Service Knowledge Base: How do I create an expense report for petty cash setup or replenishment?
  5. Provide an explanation in the memo field if the total of the initial petty cash and the purposed increase amount exceeds $200. You may also attach your explanation on a separate memorandum signed by a departmental authorized signatory.

Decreasing the Petty Cash Amount or Closing Petty Cash

  1. Deposit the excess amount into the bank using the Cash Sale function in Workday. 
  2. Please ensure the ‘Petty Cash’ revenue category is selected and add the custodian’s name as an employee "Worktags".  Submit.
  3. For more details refer to the "how-to" resourcein the Self-Service Knowledge Base: Decreasing Petty Cash Amount/Closing Petty Cash.

Replenishing Petty Cash

To replenish the Petty Cash, the custodian needs to go through the same Expense Report business process in Workday for establishing or increasing the Petty Cash Fund. The key difference is that the custodian will be required to select the actual expense item specific to the transaction (instead of ‘petty cash’ expense category). Also the custodian should ensure ‘petty cash’ is added in the memo line for reporting purposes.

For further details, refer to the "how-to" resource in the Self-Service Knowledge Base: How do I create an expense report for petty cash setup or replenishment?

Replenish Petty Cash

To replenish the Petty Cash, the custodian needs to go through the same Expense Report business process in Workday for establishing or increasing the Petty Cash Fund. The key difference is that the custodian will be required to select the actual expense item specific to the transaction (instead of ‘petty cash’ expense category). Also the custodian should ensure ‘petty cash’ is added in the memo line for reporting purposes. Further details can be found at FIN 101.04

Changing the Petty Cash Custodian

Departments should periodically run reports of their petty cash balances by employee worktag to ensure all employees are current. 

When a custodian passes responsibility to another, the original petty cash balance must now be recorded under the new employee worktag.  There are two options:

  1. The department may close the existing Petty Cash and open a new Petty Cash balance under the new Custodian.
  2. The department may use an Accounting Journal. When creating the accounting journal:
    • Select Petty Cash as Spend Category and Revenue Category
    • Select the employee "Worktag" for new custodian and custodian to be replaced

In addition, if the original custodian was on the Scotiabank list, the department must notify Otto Wong at Treasury so that the original custodian's name can be removed from the Scotiabank list.

Reporting Stolen or Lost Petty Cash

  1. Report the incident to Safety & Risk Services, Assistant Manager
  2. Report the incident to your Department Finance Director.
  3. To replace the Petty Cash, refer to the "how-to" resource in the Self-Service Knowledge Base: How do I create an expense report for petty cash setup or replenishment? 

Annual Verification of Petty Cash

  • A local petty cash count and reconciliation must be executed at least once annually and a record of the reconciliation retained to evidence the count.
  • The manager and the custodian should both sign the reconciliation to confirm the balance is correct.
  • Each unit must complete the Annual Finance Certification Questionnaire in which units are asked "If your unit has a Petty Cash balance, has there been a 'petty cash count' at least once during the year together with confirmation that the custodian is actively managing the security of the cash?"
  • If a count is not performed annually, or appropriate records are found to be lacking, the petty cash balance will be closed immediately.