Cash Overage/Shortage Procedures

1. For Cash Register Operations

a. Verify work performed so far.

Re-add all figures on your reconciliation sheet using an adding machine.
Verify beginning and ending sales figures from the register.
Check the cash register tape or the cash drawer for any register over/under rings.
Re-count money, making sure that no bills or checks are stuck under the cash drawer, all denominations are together, and no bills are commingled in the wrong slot (i.e., $10 bill in $1 slot, etc.).
b. Check the office area (trash cans, behind the counter, the floor area around the register, under the register) to see if a check or cash was dropped or misplaced.

c. If any other employees were using the register, ask them if they had any over/under rings, or unusual transactions that could have resulted in the discrepancy.

d. If any unauthorized office employees may have had access to the receipts, check with them to see if they used the receipts in any way.

e. If the shortage still has not been reconciled, follow specific written and communicated office procedures that were established for reporting and recording shortages and overages.

Notify your supervisor immediately upon substantiating the shortage.

The supervisor should follow steps a (i- iv), b, c, and d above.
Follow the specific office procedures for recording and reporting the discrepancy. For overages or shortages of $25.00 or more, you must also notify the Office of Internal Audits immediately at ext. 7388.

Shortages or overages must be officially documented and recorded in the departmental accounting records.