Petty Cash Policy

Effective Date: July 1, 2003

Last Reviewed: July 1, 2015

Interim Date: July 21, 2015

Purpose

To set forth policy and procedure to be used in making direct purchases utilizing employee’s personal funds and the reimbursement for those funds.

Policy Statement

It is necessary to make small infrequent purchases on behalf of the institution when it would be inefficient to prepare a purchase order.  The Petty Cash fund was established to expedite such infrequent or emergency expenditures, and should not exceed $100.00.  Petty cash amounts greater than $50.00 must be approved by the Senior Vice President of Finance.

Tax

In making purchases with personal funds, the purchaser should advise the vendor that Meharry Medical College is sales tax exempt, a tax exempt form may be obtained from the Purchasing Department.

Repetitive Purchases

Repetitive purchases from the same vendor on the same day that exceed $50.00 are not acceptable.

Limitations

The following type goods may not be purchased using the Petty Cash method

  1. Personal use items such as coffee pots, radios, flowers, uniform
  2.  Holiday or special occasion gifts for other employees
  3. Gratuities or handouts to be given away to individuals, groups Organizations.
  4.  Firearms and ammunition
  5.  Radioactive material or research chemicals
  6.  Services for professionals
  7.  Temporary employee agencies
  8.  Registration & membership dues
  9. Any item requiring special approval; telephones
  10. Contract items

This policy is currently awaiting approval. You can view the interim policy to the right or by clicking here.