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these internal controls are necessary to prevent mishandling of money and to safeguard assets against loss or theft. one of the most common causes of shrinkage or loss in your store is through the mishandling of cash. this cash management system can be created at the same time store policies are established. this is extremely useful: balancing a cash register usually takes place at the end of the day or at the end of a cashier’s shift. for many salespeople, they get in a hurry and tend to start closing before the store is actually closed. however, if you have multiple employees in the store, it’s possible to close one of the registers during open hours.
by this we mean simple miscounts of change is common when processing a transaction. the starting cash-on-hand is put back into the cash drawer and stored for the evening, while the deposit is prepared for the bank. one person will count the drawer and create the daily cash report, while the other person prepares a bank deposit. have the cashier recount the cash in the drawer to verify the beginning balance. if you are a small store with only one register, the cash most likely stays in the drawer overnight. this is another way you can audit and manage the loss.
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