Petty Cash Template

Every business has minor day-to-day expenses, and not every purchase justifies issuing a company check or corporate card. Petty cash is a convenient way of handling these purchases. For instance, buying office supplies, refreshments, parking, or emergency purchases.

This Excel-based petty cash template from WordLayouts helps you keep proper records of these small cash transactions. From managing cash in, cash out, and approval status to recipient, receipt, and reconciliation, this editable template gives you one organized place to manage everything.

Download this free template to simplify petty cash tracking.

What Is Petty Cash?

Petty cash is a small amount of money that businesses keep to handle minor expenses and incidental purchases without disrupting the accounting process. This cash is generally kept in a locked box or a safe at work and is used for things like office supplies, postage, courier services, parking fees, tolls, refreshments, cleaning supplies, minor repairs, etc. It is not suitable for expenses such as payroll, vendor invoices, and large purchases and is typically managed by a designated employee, often called the petty cash custodian. Custodian duties include safeguarding the cash, recording transactions, and making sure that the fund is properly reconciled.

Even though these funds are used for small amounts, it is still important to keep thorough records of all transactions. This helps maintain accountability, improve transparency, and support accurate financial records. Understanding this approach enables firms to handle small expenses while maintaining internal controls efficiently.

How does this petty cash template help?

Since petty cash involves physical cash handling, businesses usually follow strict internal controls to manage it properly. Businesses typically require authorization before petty cash can be used. Only designated supervisors are typically authorized to approve petty cash disbursements. This template helps keep track of:

• Requested amount
• Voucher info
• Purpose of demand
• Employee name (who received the funds)
• Status of approval
• Date
• Reconciliation (to compare the remaining cash with recorded expenses to identify any discrepancies)

It further records every transaction and tracks money received, money spent, and the remaining balance. Maintaining a complete record of petty cash activity helps prevent unauthorized spending, simplifies reconciliation, and creates a clear audit trail. Moreover, categorizing expenses makes reimbursement processing and budget monitoring easier.

What is a petty cash voucher?

Many people assume that a petty cash log is the same as a petty cash voucher, but that isn’t the case. A voucher is a document used to authorize a petty cash payment before cash is released. It records details such as the date, amount, purpose of the expense, recipient, and approval/disapproval. It also serves as evidence in case payment was authorized, and the requesting party receives a receipt after the purchase is made.

On the other hand, a petty cash log is a record of all petty cash transactions. While the voucher documents an individual payment, the log records every transaction made from the petty cash fund and tracks the remaining cash balance over time. For example, an employee requested $20 to purchase office supplies. Before receiving the cash, they have to complete a petty cash voucher describing the expense, and a supervisor approves it. After the purchase, the employee submits the receipt to the custodian, and the custodian then records the $20 payment in the petty cash log.

Inside This Petty Cash Log Template

Upon opening the Excel file of this template, you will find 4 worksheets: the configuration sheet, petty cash, petty cash expenses, and petty cash-in:

• The configuration sheet sets the defaults of the entire template.
• Petty cash is the main worksheet where you enter all the fund-related information. To make it more helpful, the template further contains visual charts for a quick overview.
• The petty cash expenses sheet keeps track of all the petty cash outflows during the whole process.
• The Petty Cash In sheet keeps track of all money added to the petty cash fund during the whole process.

Features of this Petty Cash Template

The sheet includes built-in features to make the whole process easy to manage. Rather than juggling multiple sheets, you can handle everything with ease in one place.

Here are some helpful built-in features:

• To keep everything in sync, the template reflects data across all worksheets.
• Contains simple drop-downs and checkboxes to alter details faster and easier.
• A basic color-coding scheme for quickly identifying items.
• Built-in charts and visual summaries to help you get a clear picture of your spending.
• Provides separate sheets for cash in and out.

How to Use this Petty Cash Template

Here is how you can use this petty cash log template.

Quick overview of the main petty cash sheet

The main petty cash sheet is split into 2 parts:

• Visual summaries through a pie chart, bar chart, and graph
• Petty cash transactions table

You will mainly work on the petty cash transactions table, and the rest will update itself based on it.

Start with the basics

Before moving on to complex stuff, start by filling out the company name, address, phone number, and email in the relevant fields.

Right below these fields, we have a table to record reporting period details. Here we have four entries:

• Remaining balance: The field shows the amount of petty cash currently available in funds after all cash inflows and outflows have been accounted for. The values update automatically as new transactions are entered.
• Department: This field records the department to which the petty cash fund belongs for reporting purposes.
• Journal no.: This field records the journal number or journal entry reference associated with the petty cash transactions.
• Custodian name: The person responsible for managing the petty cash fund.

Set up configuration sheet

Before the main petty cash sheet, set up the configuration sheet. It includes values used in the dropdown menus that appear in the main sheet. The configuration sheet of this template contains 2 lists by default, i.e., status and expense type. Here, the status list contains 3 entries: approved, pending, and rejected. The expense type includes office supplies, postage & courier charges, local transport/travel, refreshment/hospitality, and cleaning supplies.

Here you can add or remove entries to match your workflow.

Once the configuration sheet is set up, return to the main Petty Cash worksheet to start recording transactions. This is where you will enter all cash-in and cash-out details, while the other worksheets will update automatically based on the entered data.

Enter basic transaction details

Add transaction details. This sheet is easily customizable so that you can update most details as you go.

From columns B to D, add the cash-in amount, date, and voucher number manually. “Cash In” refers to money added to the petty cash fund by the company. For example, in dummy data, we can see an entry of $945, which means the company allocated this much money initially for petty expenses. The Date column also includes a built-in year filter that allows you to quickly review and organize transactions for a specific year.

Add expense details

In the Expense Type column, use the drop-down menu to select the appropriate category. If the entry is only for adding money to the petty cash fund (Cash In), you can leave the expense-related fields blank.

In the adjacent columns F and G, describe the expense. For instance, if the expense type is cleaning supplies, you can describe the specific items purchased.

Record cash out & recipient

In case you have a cash out entry, then write down the amount of petty cash being disbursed and the person who requested it in columns H and I. If multiple petty cash payments are made on the same date, record each transaction in a separate row while using the same transaction date.

Column J is named Receipt URL. This field supports documentation while allowing users to attach a digital copy of the vendor’s receipts for reconciliation or audits.

Update status and balance

Following that, update the status column using the drop-down menu; the options include approved, rejected, and pending. This is an important step because the balance column will update itself based on the status. If the status is approved, it will show the remaining balance after deduction; similarly, if it’s pending or rejected, the remaining balance will stay the same. Moreover, the remaining balance is treated as the available petty cash balance unless a new cash entry is added by the organization.

Reconcile the transaction

Lastly, we have a reconciliation column. Reconciliation is the process of checking that the petty cash records are accurate and that the remaining cash matches what the records say should be available. The template includes checkboxes and two options: yes and no. Simply select what best fits your case.

Petty cash expenses sheet

This sheet gives a complete overview of approved petty cash outflows and is entirely formula-driven, which means it updates automatically based on data entered on the main petty cash sheet. You don’t have to enter data manually here.

The report displays the date, voucher number, expense type, description, amount, and recipient for each approved petty cash transaction, giving users a centralized view of cash outflows.

One useful feature is the “Year” and “Month” fields at the top. These use drop-down options. Simply select a year or month, or both, to filter the report. The table will automatically display all petty cash expenses that match your selected period. This makes it easier to review monthly or yearly spending without manually sorting the data.

Petty cash in sheet

Similarly, the template also includes a separate sheet to make cash-in tracking easier. This sheet works exactly like the petty cash expenses sheet and automatically updates data based on the main sheet data. However, unlike the Petty Cash Expenses sheet, this report is not affected by the transaction status and displays all Cash In entries recorded in the main worksheet.

The sheet records the date, voucher number, expense type, description, amount, and recipient. It also includes the same year and month filters to make the review process easier for the user.

Quick Data Visuals

The template also gives a visual overview of everything you have set up so far. It can help you scan the entire sheet of data in one place. The main sheet includes a pie chart, a bar chart, and a line graph to reflect the data from all 3 sheets.

Cash out by expense type

This bar chart gives a quick look at cash out by expense type. It shows the expense type on the x-axis and the cash-out amount on the y-axis. Through this, you can easily get an idea of which expense type is consuming the largest portion of the petty cash budget.

Monthly cash in vs. cash out

The graph gives a visual comparison between the money added to the petty cash fund and the money spent over different months.

In this chart, the light blue bars represent “cash-in” while the dark blue line represents “cash out”. On the x-axis, we have the months, and on the y-axis, the amount of money. This can help users quickly identify periods with high cash deposits, increased spending activity, and whether expenses are balanced with incoming funds.

Status breakdown

This pie chart simply summarizes the approval status of petty cash transactions. It uses different colors that represent different statuses: dark blue for approved, medium blue for pending, and light blue for rejected transactions. The numbers inside each section show how many transactions fall into each category. For instance, the dummy data shows 6 transactions as approved, 3 pending, and 7 rejected.

Best Practices for Managing Petty Cash

Handling petty cash as a custodian is a responsible job. It means you are accountable to management in case of any mishandling. Here are a few tips that can make managing petty cash easier:

• Keep a strict “no receipt, no reimbursement” policy. It helps you collect receipts for every transaction to prove that the money was used for a valid business expense.
• Set spending limits to avoid unnecessary or excessive spending. It makes it easier to manage funds responsibly.
• In rare cases when receipts are not available, use vouchers with important details like date, amount, purpose of spending, and the recipient’s signature.
• Do routine reconciliation to ensure funds are balanced.
• Do unannounced spot checks of the cash box to detect any mishandling and errors.

Who Can Use This Template?

A petty cash template can be used by businesses, organizations, and individuals who need to track small day-to-day expenses. It is commonly used by:

• Petty cash custodians
• Accountants
• Office administrators
• Finance departments

It is equally helpful for small businesses and large companies to manage office supplies, transportation costs, and minor operational expenses and maintain organized records for auditing and financial control. Moreover, nonprofit organizations, schools, shops, medical offices, and freelancers can also use this petty cash template to monitor small cash transactions and maintain transparency in spending.

Related Templates

Looking for more useful templates? Here are some related options you might also find helpful:

• Free Excel Budget Template for Non-Profits to monitor spending limits and compare actual expenses with planned budgets.
• Employee Check Request Form if you need a proper system for employees requesting and tracking petty cash payments.

Frequently Asked Questions