A petty cash fund isn't necessary if you use a cash register and always have currency on hand, as long you keep track of these small purchases.Ī cash sheet is a daily reconciliation of cash received and cash paid out. Petty cash fund: If your customers normally pay by check, having a petty cash fund will provide you with cash on hand to pay miscellaneous small expenses.It could also enable you to detect (and remedy) irregularities such as employee theft. It will also help you find bookkeeping errors. Bank reconciliation: Reconciling your records with your monthly bank statement verifies the amount you have in your checking account.Cash disbursements journal: Your daily cash disbursements should be recorded here.

If you use a daily cash sheet, you can reconcile your cash receipts with your daily deposit into your bank account.

Daily cash sheet: If cash transactions are a significant part of your business, you should also prepare a daily cash sheet to reconcile your cash received and paid out for the day.

Sales and cash receipts journal: To simplify your recordkeeping, we recommend that you combine your sales and cash receipts in a single journal.

You'll want to record your cash transactions in a number of different ways, depending on the nature of your business.

Lumping all these transactions into one record may be tempting, but it's almost always a bad idea. If your company is a typical business, you deal with a variety of cash transactions. Find out the most efficient ways to keep your money and your records in line and updated appropriately. Keeping track of your cash, payables, and records can be challenging.

My checkbook never agrees with bank