Observations on expenses flowing through Petty Cash Advances

Date: October 26, 2011

To: Faculty Financial Officers and Administrative Officers

Cc: A. Caponi, Assistant Vice-Principal (Financial Services)

Subject: Observations on expenses flowing through Petty Cash Advances

“Petty cash” disbursements of expenses continue to be available via advances and are proving to be effective and efficient, especially during the current labour disruptions.

We remind you that expenses incurred should represent eligible business expenses where cash is the only method of transacting.  From our observations thus far, we have noticed that certain expenses are flowing through petty cash which are not always deemed to be eligible, including office social events, etc.  In some cases, we’ve observed that certain expenses should have been paid for using alternate methods (i.e. MMP for office supplies and catering).

As you know, PCards, MMP (McGill MarketPlace); Expense Reports and Payment Requests, still exist as alternate options to petty cash.  Procurement Services should be contacted in instances where alternate measures can be implemented for such expenses – purchase of bulk taxi chits, standing orders for caterers, etc….

Further information on requesting an advance for petty cash funds is available on the Financial Services Knowledge Base by referring to the following links:

http://knowledgebase.mcgill.ca/fskb/easylink/article.html?id=6373
http://knowledgebase.mcgill.ca/fskb/easylink/article.html?id=9304

Thank you for your continued co-operation and understanding.

Best regards.

Cris Tinmouth, Controller
Financial Services

[A copy of the Memorandum sent out on the FIS listserv is attached to this announcement.]