• From: Addis Ababa, Ethiopia
  • Registered: 11/28/2019
  • Posts: 109

Topic: How to Add Petty Cash Account in the DropDown Payment/Deposit process

Hello there,

I was wondering if there is a possibility to add an account in the dropdown list when processing a payment or deposit from an account which is not necessarily a Bank account?

Reason being when You use journal entry , there is no field for counterPart/Person.

Scenario:  The organization write a check to Petty Cashier to withdraw cash from Bank account, which will be used for administrative expenses like fuel, Employee per diem, transport, Hotel etc.

Transaction 1 :  Credit Bank - Debit Petty Cash

Transaction 2 : Credit Petty cash  - Debit Employee acct

With Regards

  • From: USA
  • Registered: 07/16/2017
  • Posts: 276

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

Could you use Bank Account Transfer for this purpose?

Transaction 1 :  Bank Account Transfer -> From Bank to Petty Cash

Transaction 2 : Payment ->  From Petty cash  against Employee acct

  • From: Addis Ababa, Ethiopia
  • Registered: 11/28/2019
  • Posts: 109

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

Petty cash is a current asset and should be listed as a debit on the company balance sheet. To initially fund a petty cash account, the accountant should write a check made out to "Petty Cash" for the desired amount of cash to keep on hand and then cash the check at the company's bank.

So, is it possible to add it in the drop-down list when processing payment/deposit. Without necessarily setting it as a bank account?

In FA Petty Cash is by default set as bank account, so when you print bank statements, petty cash transactions are also showing.

Any help!!!

Regards to all

  • From: USA
  • Registered: 07/16/2017
  • Posts: 276

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

Could you create a "Petty Cashier" supplier and set its A/P account to "Petty Cash"?

Write a check to the Petty Cashier from the bank account against the Petty Cash g/l account.  Use journal entry to enter the distributions from the petty cash account.  The Petty Cashier should pop up as the counterparty.

  • From: Pakistan, Karachi
  • Registered: 03/03/2015
  • Posts: 650

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

I have written a module for Cash Transactions. This creates a new Transaction Type Cash Payment and Cash Deposit.

I don't remember if for this I made some core changes. Just give a try. May be this solves your problem.

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  • From: Addis Ababa, Ethiopia
  • Registered: 11/28/2019
  • Posts: 109

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

@Braath Waate I think the solution you give  is like running away from the actual problem, you are giving a sort of detour.

Sorry but how do you make a petty cashier(Who is an Employee) to become a supplier? Now when I need to get reports, data about my suppliers,     i will have it all mixed up right?

I mean, I am not a software engineer but I think our senior software developers can come up with a script that will make it possible to add atleast one GL Account in the dropdown list when you process payment or deposit.

I know, it can be tricky having PAYMENT/DEPOSIT AND JOURNAL ENTRY not to do the same thing. Maybe a counterpart field can be inserted in the journal entry to solve this. (By the way it's just my own views, maybe not correct)

  • From: USA
  • Registered: 07/16/2017
  • Posts: 276

Re: How to Add Petty Cash Account in the DropDown Payment/Deposit process

FA only supports Suppliers and Customers as counterparties.  Indeed these are the only searchable persons in vanilla FA.

So even if you were able to change bank payments to use a G/L account instead of a bank transaction, if you wanted a counterparty, you would have to create a Supplier or a Customer to make the payment to.

While you can write a check to a Miscellaneous or Quickentry person, there is no support to search for those transactions by person.  An employee is not a supported person.

Therefore, if you were hoping on writing the check to either of those types using Bank->Payments (but to a G/L account), there really is no difference to using GJ and just memoing the name of the person who writes the checks.