Unit 4 – Medical Office Procedures – Assignment

INSTRUCTIONS
Research a common amount of money kept for petty cash funds in in a small medical office with 40 employees.

A petty cash fund is a modest amount of money kept to provide company cash for small incidental purchases and emergencies. The amount varies from office to office depending on need but can range from under $100 to $1,000 or more. A small company might have only one petty cash fund while a large company might have the separate petty cash for each department.

“If there is a viable reason for petty cash to be kept in the office (office supplies, employee lunches, meetings, etc.), then have a set amount of $500 or whatever you deem necessary. Get the rest of the cash collections into …show more content…
(2017). Retrieved from http://www.physicianspractice.com/blog/managing-cash-handling-your-medical-practice)

Write a policy for the use of petty cash in this office. Include items you think might be paid from a petty cash fund.

• Petty cash are to be handles in a locked cash draw. A primary key to the drawer or box must be held by the custodian while a secondary key should be held by the department head or delegate for emergency purposes.
• The keys to the box and file cabinet, safe, or drawer should be kept in the possession of the custodian, not left in desks or in the office overnight.
• Typical allowable transaction types include office supplies, lab supplies, telephone reimbursements, local parking reimbursements, mailing services, copy and photo services.
• No single petty cash fund transaction should exceed $250.
• In the event the fund custodian has a scheduled absence, a temporary custodian can be assigned by the department head. The funds must be counted in the presence of the authorized custodian before the leave period begins and again once the custodian returns. This procedure is used when the petty cash fund is greater than