This guide is in English for now. The tool itself works in your language.
Petty cash › Imprest system of petty cash
The imprest system of petty cash
Under the imprest system the petty cash box starts every period with the same fixed amount, called the float or imprest. At the end of the period you put back exactly what was spent, so the box is full again.
How it works
- Fix the float. Choose an amount that covers about two to four weeks of small spending, for example ₹10,000.
- Hand it to the petty cashier. The main cash book or bank shows ₹10,000 given to petty cash.
- Spend against vouchers. Every payment is written in the petty cash book with its bill or voucher.
- Top up at the end of the period. The accountant checks the vouchers and gives back exactly the amount spent.
- Start again with the full float.
The beauty of the system is the check it gives: at any moment, cash in the box + vouchers for money spent = the float. If they do not add up, something is wrong, and you know it the same day.
A worked example
A trading office fixes a float of ₹10,000 on 1 Nov 2026. During November the petty cashier pays:
| Account head | Spent |
|---|---|
| Travel and conveyance | ₹2,140 |
| Postage and courier | ₹1,260 |
| Tea and refreshments | ₹1,980 |
| Printing and stationery | ₹1,575 |
| Repairs and maintenance | ₹900 |
| Cleaning | ₹495 |
| Total | ₹8,350 |
On 30 Nov the book shows a closing balance of ₹10,000 − ₹8,350 = ₹1,650. The cashier counts the box: ₹1,650. It matches.
The accountant checks the 41 vouchers, posts each head to its expense account, and gives the cashier ₹8,350 from the bank. The box is back to ₹10,000 for December.
In the maker: on the closed November book, press Copy for next period. The December book opens with ₹1,650 as opening cash. Write the top-up as the first entry: "Cash from bank to restore imprest", Received ₹8,350. The balance shows ₹10,000.
Entries in the main books
- When the float is first set up: Petty cash debit ₹10,000, Bank credit ₹10,000.
- At the top-up: each expense head debited with its total (Travel ₹2,140, Courier ₹1,260 and so on), Bank credit ₹8,350.
The petty cash account in the main books stays at ₹10,000 all the time, unless you decide to change the float.
Changing the float
If the box runs dry every two weeks, raise the float, say to ₹15,000, by giving an extra ₹5,000 along with the top-up. If a lot of cash sits unused, lower it. Too much cash in a box is a temptation and a risk; keep only what is really needed.
Without a fixed float
Some small shops simply give the cashier money whenever the box is low, in round amounts. That works too, but you lose the quick check above. If you do this, write every amount given as a Received line, and count the cash against the book balance at least once a week.