Cash Management Information Session
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Transcript Cash Management Information Session
Cash Management:
Information Session
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Agenda
Introduction
5 minutes
Topic 1: Why is the University Implementing the Cash and Billing
Policy?
5 minutes
Topic 2: Cash Management Procedures/Key Points
30 minutes
Topic 3: Questions/Comments?
10 minutes
Next Steps
10 minutes
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1
Logistics
Participate
Ask questions
Turn off cell phones
Location of washrooms
Emergency procedures
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Session Objectives
At the completion of this session, you will be able to
– Explain why the University is implementing the new Cash and Billing
Policy
– Explain the key points within the Cash Management procedures
– Manage and process cash payments effectively and efficiently
– Explain where to go for assistance and help on the policy and
procedures
Accounts Receivable Can Help You!
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Information Session Format
Presentation
Review/Questions
/Answers
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Why is the University implementing
a new Cash and Billing Policy?
Auditor General’s Report
– Address potential fraud issues
– Provide clear guidelines and proper controls to
ensure employees are not placed in a harmful
position
Decentralized processes
– Receipt of cash is managed in a variety of
ways
– Results in lack of internal controls
– Creates risk for employees handling cash
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Why is the University implementing
a new Cash and Billing Policy?
Clarify accountability
Implement best practices
Improve internal controls
Ensure employees are equipped with
information to perform their job correctly
Ensure the University is compliant with
legislation
Create efficiency through standardization
of processes and procedures
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Topic 2: Cash Management Procedure:
Key Points
Receipting
Cash Register Compliance
Float Management
Cheque Handling/Acceptance Guidelines
Currency (Acceptable and Not Acceptable)
Dishonoured Cheques
Deposit Frequency
Reconciliation Expectations
Refund
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Receipting
A receipt must be issued for every cash transaction
made on behalf of the University of Calgary
– Every Receipt Must Meet this Criteria:
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•
•
University of Calgary clearly imprinted on receipt
Uniquely Numbered Receipt
University’s GST # is clearly displayed
Amount, GST Amount and Total are Displayed
Transaction Date
Description of good/service
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Cash Register Compliance
The cash register must produce 2 summarized totals
for each batch close out: X-tape and Z-tape
– There are several cash registers that are not compliant and these must
be changed
• Contact Financial Services if you are uncertain whether the cash register is
compliant
• Follow existing Disposal procedures to remove the non-compliant cash
register: www.ucalgary.ca/scm
• New Cash Register Cost is Department/Faculty Dependant
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Float Management
A float can only be used to provide change for the
purpose of concluding currency transactions
– The float should remain at the requested amount as approved by
Financial Services
• If you need to change the float amount, please complete the Cash Float
Request Form
• Do not add/include funds from another source to the float
• The float is not a substitution for Petty Cash
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Cheque Handling/Acceptance Guidelines
The cheque is made payable to ‘University of Calgary”
– Cheques must include payable to “University of Calgary” or they will be
sent back to the department or faculty
– Accounts Receivable will not deposit this cheque
– Acceptable: Payable to: University of Calgary
– Acceptable: Payable to: University of Calgary - Dr. John Smith
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Cheque Handling
Departments and faculties are responsible for ensuring
the acceptability of each cheque
– Please ensure that the information is accurate and current:
•
•
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Valid Date, avoid Stale Dated cheques older than 6 months
Payable “University of Calgary”
Body and Figure Match
Cheque is Signed
Appropriate Currency
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Acceptable Currency
Forms of Acceptable Canadian Currency Cheques
– Canadian currency cheques (with or without micro-encoding) drawn on
a Canadian Bank
– Canadian currency cheques (with or without micro-encoding) drawn on
a foreign bank and negotiated through an affiliated Canadian bank with
a Canadian Address
– Collection Item:
• Canadian currency cheques (with or without micro-encoding) drawn on a
foreign bank must be sent for collection through the Treasury Unit of
Financial Services
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Acceptable Currency
Three forms of Acceptable Foreign Currency Cheques
– US currency cheques drawn on a US bank with micro-encoding
– US currency cheques drawn on a Canadian bank with micro-encoding
– US currency cheques drawn on a foreign bank and negotiated through
an affiliated US bank with micro-encoding
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Not Accepted
The following forms of payment are NOT accepted
Travelers Cheques
Money Order and Bank Drafts from any Foreign Bank
– This type of documentation is not considered legal tender
– Cashiers will not accept this type of payment
– AR will return these types of payments to the customer
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Incoming Wire Payments
Banking Information
– Only AR are authorized to give out University banking information
– Against policy to forward University’s banking information to a
Department, Faculty or Customer
– Requests must be send to AR via Request for Banking Information
Form
Form
– Accounts Receivable sends out form to customer which outlines all
information AR requires to accept and allocate payments
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Dishonoured Cheques
– NSF invoice payments will be reversed from the customer account and
a $25 service charge will be added
– If a payment is received for a previous NSF invoice payment it must be
sent to AR for proper processing
– If a payment is received for a previous NSF cash payment (that was
originally deposited at the Cashiers’ Office), it must be deposited at the
Cashiers’ office again and coded to the department’s bad debt account.
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Deposit Frequency
All departments and faculties must make their deposits
based on the following guideline
– $100.00 or more must be deposited within 2 business days of receipt
– $99.00 or less may be held for a maximum of 5 business days
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Deposit Over / Short
Cash differences in excess of $10 must be
accompanied by a Cash Over / Short Form
– Overages and shortages should also be recorded in Section E of the
deposit sheet
– The form is posted on the website
Example:
$200 Receipted
$175 Cash (Actual)
$25 Shortage
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Reconciliation Expectations
When the deposit is accepted by the Cashier’s Office,
the Cashier will issue a receipt that will indicate the
amount and date of the deposit. This receipt must be
retained by the depositing department.
– You must remain at the Cashier’s Office until the receipt has been
obtained
– This receipt is your proof of deposit and protection against Fraud
– This receipt must be used by a manager in your department to reconcile
the receipts and deposit slips to the amount deposited. This
reconciliation must happen at least weekly
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Refund
Method of Recording Refunds
– Please use the same method to refund the transaction that was used
for the original transaction
– In-person refunds require a refund slip
– Store refund books in a secure location
– Refund slips or supporting documentation should remain in the original
form therefore
– Please do not use white-out or alter in any manner
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Topic 3: Any Additional Questions?
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Next Steps
Consult the Cash Management Procedures Manual:
www.ucalgary.ca/financial
Controller’s Office > Accounts Receivable > Cash Management
and Billing
Consult the Appropriate Cash Management Forms:
Accounts Receivable > Forms
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www.ucalgary.ca/financial
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Where to go for Help
Accounts Receivable Help Desk
220-3129
Hours: 8:30 – 4:30*
*(Excluding 12:00 – 1:00)
Email: [email protected]
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Session Evaluation
Please complete the session evaluation
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