Best practices for managing cash handling in your clinic
Do you have a policy for managing cash handling in your practice? Whether a patient pays for services in cash or whether you have cash set aside in the office for incidentals, a cash handling policy for managing cash in your clinic will help to keep that money protected and accounted for.
No one ever wants to think that a member of your team would be tempted to take or “borrow” cash from your clinic, but without a cash handling management policy, you’ll never be certain that is not the case. Here are best practices for managing cash handling in your clinic:
1. Store cash in a safe place, preferably in a combination safe. If you do not have a safe in your clinic, a locked drawer in an interior office can be used. Cash storage should never be in an open area such as a break room or front desk area.
2. Cash drawers or safes should be opened only when two people are present.
3. Assign two team members to manage and count the cash. Cash should never be managed by just one individual.
4. Keep a cash ledger. Record all cash transactions in a ledger or in your accounting software. It will make it easier for you to spot irregularities by balancing cash collected versus cash deposited.
5. Require a signed receipt for cash received and counted. If you rely on team members to receive cash and count it, require a signed receipt by those team members.
6. Develop a regular schedule for cash accounting. Set aside time each day or week to count, balance and deposit cash. This includes cash counting by two team members as well as depositing and balancing cash transactions.
7. Require a bank receipt for any cash deposited into your bank account. If you’re not making deposits yourself and are relying on team members to handle those transactions, make sure to require a bank receipt for the cash that was deposited into your business account. Be sure to compare it to the signed receipt for cash received and counted to be sure that both amounts are the same.
8. Regularly check your bank transactions online and investigate any discrepancies.
Write down your cash handling policies and be sure that all team members review and adhere to the policy.
By following these simple cash handling best practices, you’ll avoid possible temptations by team members to “borrow” cash, create transparency, and ensure that your funds are properly documented and deposited.
This article is brought to you by PREFERRED Therapy Providers Inc. PREFERRED is the nation’s leading payor management services network. Our expertise is working with physical, occupational and speech therapy practices – from single clinics to multiple clinic locations.