CENTER FOR TRANSFORMATIVE ACTION

Cash Advances Policy & Procedures

Policy
The Center for transformative Action prefers that organization and project expenses be paid
through direct billing/invoicing by vendors or via reimbursement to the employee. However,
it is recognized that under some circumstances expenses are incurred by employees without
recourse to billing by the vendor. Due to the size of such expenditures, the normal process of
reimbursing the employee for expenses after they are incurred is inadequate.
To handle expenditures in such circumstances, employees may file for a cash advance.
Cash advances will be approved for specific purposes. Open-ended purchasing will require
separate establishment of a petty cash account for the Project to be controlled by the Project
Coordinator.
Cash advances are granted on a prior approval basis. A request form for the advance must
be completed and signed by the employee responsible for the purchases and approved by the
Project Coordinator or other authorized person. Where the employee making the request is a
Project Coordinator, the CTA Executive Director shall approve.
Advances will be paid by check in the name of the employee responsible for the purchases.
Employees will not be permitted to have more than two outstanding cash advances at any
time.
After the purchases are made, receipts must be submitted and any remaining funds
returned. If the receipts document purchases in excess of the cash advance, an additional
check will be cut for the balance owed to the employee.
As with all requests for payments, expenditures will be subject to review. Funds which are
expended in a manner not in keeping with the express declaration in the cash advance form
as it was approved will require explanation and may be charged to the employee.
Procedure
The Cash Advance Form is comprised of a heading and 2 sections.
The heading must be completed with the date, Project name, and the name and address of the
employee. Signature required for approval should be sought after the first section (below) is
completed.
The first section is to be completed when requesting the advance. This section contains a
space for listing the project and the budgeted account for the expense and also has a space in
which the purpose of the expenditure can be described.
When the cash advance is processed for payment to the employee, a copy of the form will be
returned along with the advance.
The second section of the form is to be completed once the purchases have been made and
the form should be resubmitted along with all supporting receipts.
Tally the receipts and list the difference between the receipts and the advance. If the advance
exceeds the total amount enter the amount returned along with receipts on the form. If
purchases exceed the advance, enter the amount of additional cash requested.

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Detailed Instructions:
1.

To request an advance:

Enter the following information on the 1st Section of the form:

Date
Project Partner organization name
Employees name & address
Project number and account to be charged
Explanation of the purpose for which the advance will be used
Amount requested
Whether the check is to be mailed or picked up

The employee must sign the form indicating awareness of the cash advance policy.

The Project Coordinator must sign the form, indicating approval of the advance.

The completed form should be sent to the CRESP core office. A copy of the form will be
returned to the employee requesting the advance once the payment is approved.
The Executive Director must sign the form, indicating approval of the advance.

2.

Once the funds have been expended, the second half of the cash advance form on the copy
that was received with the advance must be completed. This portion of the form indicates
how the advance was spent, and must be completed and returned to the CRESP core office
within 60 days.

To complete this section, list the following:

Project number and accounts
Description of the expense
Amount listed on receipt

If the total amount of receipts exceeds the cash advance, you will receive a check for the
remainder.

If the total amount of receipts is less than the cash advance, the excess cash must be
returned with the form.

The original receipts should be attached to the form.

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For Business Services Use Only:

Check date: _______________________________
Check #:
_______________________________
Date Completed: __________________________

CASH ADVANCE
PETTY CASH VOUCHER
Date:

I have read and understood the cash advance policy.

Project Partner:

Employee signature: ____________________________

Name:
Address:

Account Code
Account

Explanation/Description (include date, purpose,

trip or event, products, etc.)

Cash Advance
Amount

COMPLETE FOR
CASH ADVANCE

Project

Authorization: ___________________________

Total Cash Advanced $

Description of expenses
(i.e., airfare, hotel, meals, etc.)

Invoice
Amount

$
$

COMPLETE WHEN SUBMITTING

SUPPORTING INVOICES**

Project

Account Code
Account

Total of invoices submitted

Amount of excess cash returned
or - additional cash requested
PLEASE SELECT ONE:
To be mailed
To be picked up
** Bottom portion of form must be completed and submitted within two weeks of completion of trip/event.