In his to promote governance reforms of the Nigerian Bar Association,
the Paul Usoro led administration shall be present to
the NBA NEC for approval a Petty Cash Policy for the NBA.

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The objectives of this
documented Petty Cash process include to;  provide funds for minor expenses 
ensure the cash is available when needed  accurately account for petty cash/
advances issued to staff

This objectives are
achieved by the various processes documented below.

Petty Cash Policy Statements

An amount not more than N250,000 shall be
dedicated as float for the purpose of petty cash administration. This amount
shall be reviewed periodically by the Head-Accounts with the approval of the
NBA President.

The float shall be kept by a petty cashier
for the purpose of funding. Only approved petty cash shall be disbursed.

Only officers with approval limits (i.e.
head of department) shall approve petty cash requisition.

The petty cash expenses will be limited to
amounts not exceeding N20,000 (twenty thousand naira) for expenses including
but not limited to:

Fuel expenses

Official entertainment expenses

Minor purchases and expenses

Minor repairs and maintenance

Local transportation

Other minor expenses that may be logical and relevant to operational needs.

This list of allowable
petty cash expenses shall be reviewed regularly and updated accordingly upon approval
by the NBA President.

There shall be segregation of duties
between the custodian of petty cash, the officer responsible for approval of
and replenishment of petty cash. The petty cash officer shall maintain a petty
cash register for the purpose maintaining petty cash records.

Petty Cash Requisition

A requesting department/individual raises
a petty cash requisition and forwards to the petty cashier.

The requisition must be approved by the
HOD of the requesting department.

The petty cashier reviews the requisition
and confirms the item required is an allowable petty cash item, otherwise,
redirect requisition to procurement or other appropriate process. List of petty
cash allowable expenses are documented in the policy statements for petty cash
above and is subject to amendments upon approval by the NBA president.

Subsequently, the petty cashier prepares a
petty cash voucher for approval by the Head of Accounts.

On approval, the petty cashier disburses
cash and the requesting individual signs for the cash received.

After incurring the expenses, the
requesting individual must ensure that the petty cash obtained is retired and
relevant support documents and balance (if any) are submitted to the petty

Support documents shall be filed
accordingly with appropriate documentation.

3.0  Petty Cash Disbursement

The maximum amount payable by the petty cashier
shall be N20, 000 per expense.

A duly completed and approved petty cash
request form shall be presented by the requesting officer to the petty cashier
for disbursement of petty cash.

Expenses paid from a petty cash fund can
only be made for the purpose for which the fund was authorized.

At every point in time, the total amount
of all receipts plus the cash on hand shall be equal to the total approved
petty cash float of N250,000.

Cash count shall be performed at the end
of each day by the petty cashier and reconciled to the book balance of the cash
on hand.

 4.0 Petty Cash Retirement

Petty cash advances/disbursements shall be
retired within 72hrs of completion of the transaction for which the request was

Retirement of petty cash shall be done
using the petty cash voucher

Any unexpended petty cash shall be
accounted for on the petty cash voucher and returned to the petty cashier.

Evidence of expenditure such as receipts,
tickets etc. shall be attached to the petty cash voucher or retirement form.

Petty cash advances not retired within the
stipulated timelines shall be recovered from the requesting staff’s salary.

Where no evidence of expenditure is
provided, the HOD of the requesting department shall sign off on the expense,
otherwise the amount of the un-receipted expense will be recovered from the
requesting staff’s salary.

Petty Cash Reimbursement / Replenishment

At the end of each month or when the petty
cash balance available reaches a reorder level of N60,000, the petty cashier
shall complete the petty cash replenishment form.

The amount that shall be requested for
reimbursement shall be equal to the summation of approved petty cash disbursed
during the month, bringing the total available petty cash float to the approved
monthly amount of N250,000.

The request shall be submitted with
supporting documents including: a. Petty cash register b. Petty cash support
documents i.e. request forms, receipts etc.

Such requests shall be reviewed by the
Head-Accounts and approved for payment by the NBA President.

All cheques for replenishment of petty
cash float shall be made payable to the petty cashier.

On no account shall the petty cashier have
the aggregate of cash and unpresented for reimbursement vouchers that will be
more than the float.

6.0  Physical security of petty cash

Petty cash shall be placed in a safe i.e.
fire – resistant box  Access shall be granted to only authorized

7.0  Cash counts

End of month cash count – At the end of
the month, a member of staff from a different team other than finance team e.g.
Internal Audit department or Administration department, will be appointed by
the Head of Finance, shall conduct a cash-count and reconcile the cash counted
to the book balance and the cash on hand. Any issues noted during the cash
count shall be documented in a Cash count report.

Surprise cash count – Management or the
internal auditor shall carry out unannounced cash counts at least once a month
or as deemed necessary. This aims at ensuring the cash on hand equals the book
balance at all times.