Cash

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  • Topic: Petty cash, Imprest system, Cash
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  • Published : May 19, 2013
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2.4.3 CASH

2.4.3.1 POLICY

1. The amount of cash kept in the office must be kept to a minimum to reduce the risk of fraud or theft. This amount should be determined by the PO or CO Head of Finance on the basis of regular cash requirements. An imprest petty cash system should be implemente (see Annex 2.4.03 Petty Cash Book template, and below Guidelines).

2. The maximum imprest for a petty cash fund should not exceed the equivalent of CHF 2,000. The PO Representative or Country Office Director will also establish the maximum level for any single petty cash disbursement or receipt, but this should not exceed the equivalent of CHF 500.

3. The PO Representative may authorize the use of larger cash items where bank facilities are either inaccessible or inadequate, however this is only on an as-needed basis and should be kept separate from the petty cash fund. A maximum limit must be pre-set for each field office and approved in writing by the PO Representative, on the amount of cash that can be carried by one person at any one time; this limit must not exceed the equivalent of CHF 5,000 reflecting the business needs of the particular office.  Any one-off transactions that exceed the local limit must be approved by the PO Representative and informed to POM.

4. For POs who operate in areas with cash economies, and thus must routinely deal with cash movements above CHF 5,000, the cash limits for each field office must be approved by the PO Representative, AND WWF International Director Programme Office Management (POM) or Director, PO Performance/Development in writing (e-mail approvals are sufficient). Offices need to submit a written proposal for same, with rationale, frequency, and procedures to control these transactions; this proposal is to be reviewed and approved in writing by the PO Representative and the Director, POM. 

5. The following is required for all large cash transactions:

a. Only designated personnel may carry cash between the bank and the office using the WWF vehicle as the means of transportation.

b. Where possible, and depending on the amount of cash, at least two WWF staff, in addition to the driver, should accompany all cash carried between the bank and the field office.

c. Cash carried to a field site must be kept to a minimum. Where there is no bank close to the field site, alternatives such as sending money via a reputable company with a branch near the field site should be investigated.

d. For all instances, carrying of cash should not be routinely programmed, and the timing and people involved should be varied frequently.

e. Large cash items must without exception be stored in a safe (see also 4.4 “Office Security and Insurance” for related procedures).

The above information on large cash items is also reflected in FOM Chapter 4.4 “Office Security and Insurance” section 4.4.3.3 “Carrying of Cash” 

6. Petty cash should only be used for low-value payments. Examples include postage, taxi fares, refreshments for meetings, and miscellaneous small supplies. Petty cash should not generally be used for disbursement of staff travel advances.

7. The petty cash should be held only in the local currency. However, in cases where some petty cash transactions may occur in foreign currency, the exchange rate and the converted amount should be recorded for information in the petty cash book.

8. A separate foreign currency petty cash fund can be created in those exceptional circumstances where the Field Office cannot avoid making numerous petty cash transactions in foreign currency. (The amount is this petty cash fund forms a part of the maximum allowable equivalent of CHF 2000, as noted above)

9. The Country Director should report any losses or thefts to the PO Representative immediately. Likewise, the PO Representative must report any losses or thefts to WWF-I Director of Programme...
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