Departmental Cash Collection Procedures
Office of the Controller
1. Purpose and Scope
These procedures have been established to provide a comprehensive framework for departmental cash
collections and to document minimum control standards for cash handling at Florida International
University (the “University”).
These procedures are intended to supplement the University’s “Cash Control Policy Statement”. Each chair
or department head, office or laboratory that accepts cash for any purpose is responsible for ensuring that
adequate control procedures have been implemented and maintained to secure University collections and
for ensuring that documented procedures for handling and accounting for cash are followed.
2. Definitions
Cash – For purposes of these procedures, cash is defined as coin, currency, personal checks, credit/debit
cards, money orders, and travelers’ checks.
Cash Collection Point – A cash collection point is defined as a department, event, club or other entity that
handles cash. All cash collection points must be authorized by the Office of the Controller before
collections begin.
Restrictive Endorsement - an endorsement signed on the back of a check or money order which limits
their negotiability in the event of loss or theft.
3. Process for Cash Collection
3.1a Authority to Accept Cash
Specific approval to accept cash by a department (“cash collection point”) must be requested in
advance and approved by the Office of the Controller through completion of the “Cash Collection
Application”
3.1b Requirements for Employees
The employee(s) designated to accept cash must undergo a background check. It is the responsibility
of the department to notify Recruitment Services in the Division of Human Resources. The number of
employees having access to money stored in a department should be limited. Employees handling
cash will be required to read these “Departmental Cash Collection Procedures”.
3.2 Cash Collection
Each department shall establish a central cash processing area, which will be secure from entry by
unauthorized individuals. The chair or department head should make certain that proper safekeeping
facilities are available to protect University funds until they are deposited with the Cashier’s Office (see
“Preparation of Deposits” below). Cash, checks and money orders shall be stored in a safe or in a
register, locked drawer, or lockbox.
Funds collected should not be kept in the following manner:
a. on one's person,
b. in a personal bank account
c. in one's home or car
If a unique circumstance exists regarding securing the funds, the custodian should contact the Office of
the Controller immediately
Departmental Cash Collection Procedures
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Departmental Cash Collection Procedures
Office of the Controller
Cash – Best practice is for each employee to operate out of an assigned cash drawer. Whenever funds
are transferred among employees, transfer of responsibility should be documented by use of a log to
indicate that the possession of the funds has changed.
Personal and Travelers’ Checks/Money Orders - Whenever a check or money order is presented as
payment, the Panther ID or driver’s license number of the payer will be recorded on the check or money
order. A manual pre-numbered receipt will be provided for every payment received. In the absence of
pre-numbered receipts (i.e. for checks received through the mail), all payment instruments received
must be recorded in a check log, which will include the check date, check number, amount and payer.
Once the funds are deposited to the Cashier’s Office, the receipt number must be recorded in the log
for use in reconciling. All checks or money orders must be made out to Florida International University
and must be restrictively endorsed immediately upon receipt. All checks are to be deposited within 48
hours of receipt. Any check or money order received after the daily deposit is done will be given to the
person processing the payments the next day, and are to be stored in a locked drawer.
Credit Cards – All payment card collections must adhere to the University’s “Payment Card Processing
Policy”.
3.3 Deposits
All cash, checks and money orders are deposited within 48 hours at the University Cashier’s Office.
Individuals in the Department that are responsible for deposit preparation must create a “Departmental
Deposit Form” and take it to the Cashier’s Office for all collections. Deposits including cash in excess of
$5,000 must have an FIU police escort. The Cashiers’ Office will issue a receipt for the deposit which
will be returned immediately to the department for use in the reconciliation process. Cashier’s office
receipts must be reconciled to the cash receipts and check logs. The reconciliation will be performed by
someone separate from the individual who collects and maintains the monies.
3.4 Daily Reconciliation of Deposits to Receipts
It is an internal control requirement to compare cash receipts to actual collections to validate their
accuracy. The responsible party not involved in the collections will maintain an accurate and complete
reconciliation verifying that actual cash, checks and money orders collected equals the total receipts
issued and check log. In addition, cashier’s office receipts must be reconciled to the cash receipts and
check logs. All reconciliation documents must be kept on file for review by internal as well as external
auditors.
3.5 Internal Controls
Strong internal controls for cash collection are necessary to prevent mishandling of University funds
and are designed to safeguard and protect employees carrying out this important function.

Proper separation of duties – To prevent misappropriation of funds, an individual should not have
responsibility for more than one of the cash handling components, which include collection of
money, maintaining records, depositing of funds and reconciliation of accounts. The ideal
separation of duties has three distinct employees performing the tasks of collections, deposits and
reconciliations. The three-way separation is the safest and most accepted internal control measure.
If there are insufficient personnel, a two-way separation can be used. In the two-way separation the
same individual can perform the tasks of both collections and deposits; however, the reconciliation
task must be completed by a separate individual.
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Departmental Cash Collection Procedures
Office of the Controller

Adequate safeguards for handling, transporting, and storing cash – To prevent theft, all cash
and cash equivalents must be safeguarded. All cash must be protected immediately by using a
cash drawer, safe or other secure place until they are deposited.

Reconciliation – Reconciliation of cash deposited to the issued cash receipts and check log is
important to ensure all cash is deposited.
4. Annual Review
Annually the Office of the Controller will require each cash collection point to complete and sign the
“Annual Verification of Departmental Cash Collections”.
The Office of the Controller will conduct periodic reviews of the cash collection points and request annual
verification of departmental cash collection procedures. Any significant changes within a cash collection
point relating to personnel duties or procedures should be brought to the attention of the Office of the
Controller in a timely manner.
CONTACTS:
Accounting and Reporting Services - Office of the Controller
Phone: (305) 348-2161
Departmental Cash Collection Procedures
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