Manual of Procedures and

Instructions for Cashiers

(Cashiers Manual)

Department of the Treasury

Financial Management Service
www.fms.treas.gov/imprest

April 2001

TABLE OF CONTENTS
Introduction.........................................................................................................

Purpose of Manual...............................................................................................

Reason for the Update ........................................................................................

Revision of 1 TFM, Part 4-3000 ..........................................................................

1
1
2

II.

Authority to Disburse Public Money................................................................

III.

The Role of the Approving Official ..................................................................

Who is the Approving Official?.............................................................................

Appointing Cashiers .............................................................................................

Determining Cash Requirements.........................................................................

Reporting Losses ..................................................................................................

3
3
3
4

The Role of the Cashier.....................................................................................

What is a Cashier?................................................................................................

Types and General Responsibilities

Class A Cashier.............................................................................

Class B Cashier.............................................................................

Class D Cashier.............................................................................

Foreign Cashiers...................................................................................................

Establishing an Imprest Fund...............................................................................

Maintaining an Imprest Fund................................................................................

I.

IV.

4
4
4
5
5
5

Advancing Cash for Purchases...............................................................

Replenishing the Fund.............................................................................

Check Cashing Fees...............................................................................

Accountability Reports.............................................................................

Cashier Liability........................................................................................

Reporting Losses.....................................................................................

Requesting Relief.....................................................................................

5
6
7
8
8
8
9

Transferring Cash to a New Principle Cashier...................................................

Imprest Fund Accounts Held at Financial Institutions........................................

10

10

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Liquidating an Imprest Fund....................................................................................

Year End Reporting..................................................................................................

11

11

The Roles of the Alternate Cashier and Subcashiers...................................

12

Alternate Cashiers....................................................................................................
Subcashiers..............................................................................................................

12

12

Internal Controls and Fund Security...............................................................

13

Separation of Duties..............................................................................................
Spot Checks...........................................................................................................
Securing Cash at an Agency Location................................................................

13

14

14

Contact Information........................................................................................................

15

Appendices.......................................................................................................................

16

V.

VI.

Definitions..............................................................................................................
Forms List..............................................................................................................

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16

18

I. INTRODUCTION
PURPOSE
This updated Cashiers Manual is intended to be used by cashiers--and officials
designated to appoint cashiers (approving officials )--seeking procedural guidance for
operating imprest funds. Federal agencies should issue internal policies and procedures
consistent with the principles of this guide and Government Accounting Office Standards
governing internal controls for the safekeeping of assets, including separation of duties,
monitoring and other activities.
The Manual is effective for imprest funds which are allowed to operate until October 1,
2001 when Federal agencies are required to eliminate imprest funds in accordance with
the Imprest Fund Policy Directive, issued on the imprest fund website at
www.fms.treas.gov/imprest, on November 9, 1999. The Manual will remain effective
beyond that time for all imprest funds which operate under a waiver from the requirements
of the Policy Directive.

REASONS FOR THE UPDATE

The Federal government is increasingly relying on electronic payment mechanisms to
streamline the payment process and reduce administrative and transaction costs.
Legislation requiring the Federal government to make payments electronically has spurred
the use of electronic alternatives to cash, particularly government purchase cards and,
increasingly, debit cards, to eliminate cash payments from imprest funds. Many forms of
payments historically made by cash have been converted to Direct Deposit to an
individuals bank account, including travel advances and travel reimbursement. This
changing payment environment has resulted in the formulation of new policy requiring, with
some exceptions, that agencies eliminate their imprest funds.
On November 9, 1999, the Financial Management Service published the Imprest Fund
Policy Directive (Policy Directive) and other supporting documentation on the Internet at
www.fms.treas.gov/imprest. The Policy Directive requires that all Federal agencies
eliminate agency use of imprest funds by October 1, 2001, except where waived.
The Policy Directive was issued based on the recommendations of the National
Performance Review, Report on the Elimination of Imprest Funds in the Federal
Government Through the Use of Electronic Commerce, January 1996 (Report), as well as
the requirements of the Debt Collection Improvement Act of 1996, and the implementing
regulation at 31 CFR Part 208, Management of Federal Agency Disbursements; Final
Rule(Treasury EFT Rule).
The National Performance Review Report concluded that due to advances in electronic
technology, most imprest funds in the Federal Government could be closed and in doing
so would save the government millions of dollars in operating costs by increasing
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operational efficiency and reducing the amount of funds held outside the Treasury. The
Report concluded that it is feasible and appropriate for Federal government agencies to
replace their imprest funds with a form of electronic funds transfer (EFT) or third party
drafts.
Shortly after the Report was issued, Congress passed the Debt Collection Improvement
Act of 1996 (DCIA), which requires that, subject to the authority of the Secretary of the
Treasury to grant waivers, most Federal payments made after January 1, 1999, be made
by EFT. In 1998, the Financial Management Service implemented the provisions of the
DCIA by publishing the Treasury EFT Rule.
In accordance with the Presidential Memorandum on Plain Language issued June 1, 1998,
the Cashiers Manual has been rewritten and reorganized in order to make it easier to
reference.
REVISION OF 1 TFM, PART 4-3000
This Cashiers Manual contains procedural guidance on the operation of imprest funds,
including guidance once contained in the Treasury Financial Manual (TFM), I TFM Part 4,
Chapter 3000, Imprest Fund Cash Held at Personal Risk by Disbursing Officers and
Cashiers. The manual has been updated to reflect other changes that have taken place
since the manual was last updated in June 1993. For example, the old manual makes
reference to the submission of payment vouchers using optical character readers. This
technology is no longer used by Treasury and reference to it has been deleted.

II. AUTHORITY TO DISBURSE PUBLIC MONEY

Imprest fund cashiers are allowed to disburse public money under the authority of 31
U.S.C. 3321, Disbursing Authority in the Executive Branch, which provides that
only officers and employees of the Department of the Treasury
designated by the Secretary of the Treasury as disbursing officials may
disburse public money available for expenditure by an executive agency.
For reasons of economy and efficiency, it was also provided that The Secretary [of the Treasury] may delegate the authority to disburse
public money to officers and employees of other executive agencies.
Treasurys Chief Disbursing Officer has delegated the authority to disburse public money
to Federal agency heads or their designees, for purposes of imprest fund management.

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III. THE ROLE OF THE APPROVING OFFICIAL

WHO IS THE APPROVING OFFICIAL?

All agency heads or designees have the authority to delegate cashier appointment
and revocation responsibility to an individually named approving official within the
agency without the approval of the Financial Management Service (FMS). These
individuals are typically fianance or accounting officials.
HOW ARE APPROVING OFFICIALS SELECTED?
Approving officials are selected by Federal agency heads or their designees by
completing FMS Form 2958, Delegation of Authority. Approving officials are not
permitted to redelegate their authority. FMS recommends that Federal agency
heads and their designees be guided by the Federal Managers' Financial Integrity
Act (FMFIA) when designating approving officials.
FMS reserves the right to review delegations periodically and reserves the right to
revoke this authority if it is deemed that there is any misuse or abuse by Federal
agency approving officials
APPOINTING CASHIERS
HOW DO I APPOINT A CASHIER?
As an approving official, you appoint a cashier by completing OF 211, Request for
Change or Establishment of Imprest Fund (Request for Change form), or a
comparable agency approved form. Cashiers must be employees of your agency.
The Request for Change form no longer requires the signature of the servicing FMS
Regional Financial Center.

DETERMINING CASH REQUIREMENTS

HOW DOES AN APPROVING OFFICIAL DETERMINE CASH
REQUIREMENTS?
As an approving official, you should review cash requirements based on actual
usage at least every 6 months. The review may consist of analysis of the types of
payments the fund is used for and the frequency of those payments. A cash review
may reveal, for example, that because of a reduction in a certain type of cash
payment, the funds are disbursed for that payment less often, which may indicate a
need to reduce the fund balance. Analysis of cash requirements should also
consider to what extent cash payments may be converted to EFT.
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REPORTING LOSSES
HOW DO I REPORT A LOSS
As an approving official, you should submit a written report to the finance office
detailing your knowledge of any reportable loss after you receive a copy of the
cashiers report indicating the loss. Depending on the amount of the loss, the
agency inspector generals office should also be notified of the loss. See Section
IV, Role of the Cashier for more information about requesting relief from liability for
losses.
HOW DO I ACCOUNT FOR LOSSES
You should remove losses from the "Cash Held Outside Treasury" appropriation
account and charge any losses to the Federal agency general appropriation. An
accounts receivable should be simultaneously set-up for the amount of the loss. See
your agencys accounting office for more information about accounting for losses on
financial statements.

IV. THE ROLE OF THE CASHIER

WHAT IS A CASHIER?

A cashier is an officer or employee of the Federal government who is 1) designated

as a cashier by an approving official, and is 2) authorized to disburse cash or carryout other cash operations. There are three types of cashiers:
CLASS A CASHIER
A Class A Cashier is a cashier who is authorized to make disbursements but may
not advance an imprest fund to another cashier, except to an alternate cashier.
CLASS B CASHIER
A Class B Cashier is a cashier who is authorized to make disbursements and may
also advance funds to an alternate cashier or subcashier.
CLASS D CASHIER
A Class D Cashier is designated solely for change-making purposes.

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FOREIGN CASHIERS
Cashiers operating overseas should follow the guidance of Volume 4 of the Foreign
Affairs Manual and cashier handbooks published by their servicing disbursing
officers.

WHAT ARE MY RESPONSIBILITIES AS AN IMPREST FUND CASHIER?

As a cashier, you are responsible for keeping all funds safe and separate from
other funds. You should not comingle your own money, or any other money, with the
Governments funds. Also, as a cashier, you should not, at any time and for any
length of time, loan cash from imprest funds; use the funds for your own purposes or
benefit; or deposit public money in financial institutions, unless you are authorized to
do so.

ESTABLISHING AN IMPREST FUND

HOW IS AN IMPREST FUND ESTABLISHED?
Imprest Funds are established by completing the Request for Change form. This
form will also serve to designate the cashier responsible for the fund and the
amount of the fund.
HOW ARE ADVANCES MADE?
For funds not held in a financial institution, advances may be made by check which
may be cashed at a financial institution. Advances to an imprest fund held in a
financial institution should be made by EFT through the Automated Clearning
House. Same-day EFT payments via Fedwire are also acceptable, however
agencies should weigh the benefit of the same-day deposit of funds against the
cost of the Fedwire transaction.

MAINTAINING AN IMPREST FUND

ADVANCING CASH FOR PURCHASES
WHEN SHOULD AN AGENCY MAKE AN IMPREST FUND PAYMENT?
You may make payments from an imprest fund subject to the requirements of the
Imprest Fund Policy Directive. The Imprest Fund Policy Directive requires agencies
to eliminate imprest funds by October 1, 2001. The Policy Directive is available at
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Cashier's Manual - Page 5

www.fms.treas.gov/imprest/policy.html or by calling the Cash Management Policy

and Planning Division at (202) 874-6590.
WHAT DOCUMENTATION IS REQUIRED TO SUPPORT EACH
DISBURSEMENT?
Each disbursement you make should be supported by at least one of the following:
S
S
S
S
S

a form SF 1164, Claim for Reimbursement for Expenditures on

Official Business or comparable agency approved form;
a paid receipt;
an original bill;

a sales slip;

a cash register ticket, an invoice, a form SF 1165, Receipt for

Cash-Subvoucher (Subvoucher) or comparable agency approved

form, or an equivalent receipt form that itemizes supplies or services
purchased and their amounts. Signed cash receipts are not required.

WHAT SHOULD I DO WITH SUPPORTING DOCUMENTS/SUBVOUCHERS?

Keep all documents that support cash payments because they become
subvouchers to the account. You should serially number each of these subvouchers
in the order of payment. You should stamp all subvouchers, invoices, or receipts
and their copies "paid" immediately upon payment. Also, keep the number of
copies of subvouchers, invoices, and receipts to a minimum to avoid making
duplicate payments. For general information on document management, please
refer to the General Records Schedule 6, "Accountable Officers Accounts
Records," which is available at the National Archives and Records Administration
website at www.nara.gov.

REPLENISHING THE FUND

HOW DO REPLENISH THE FUND?
Imprest funds should be replenished by submitting an OF 1129, Cashier
Reimbursement Voucher and/or Accountability Report (Reimbursement Voucher) to
your agencys finance office for payment.
WHEN SHOULD I SUBMIT A REIMBURSEMENT VOUCHER?
A Reimbursement Voucher should be submitted as often as needed to maintain the
fund at operating levels. However, you should replenish the fund at least once a
month if any transactions took place. If there were no transactions during a month,
you dont need to submit a Reimbursement Voucher. At the end of each fiscal year
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Cashier's Manual - Page 6

(September 30), you should submit a Reimbursement Voucher if there are

disbursements that have not yet been reimbursed.
WHAT STEPS SHOULD I FOLLOW IN SUBMITTING A REIMBURSEMENT
VOUCHER?
Following are suggested guidelines for submitting a Reimbursement Voucher:
1.

After you make a payment you should retain an original copy of the
subvoucher (any document verifying the cash payment) and stamp or mark
each subvoucher
paid. You should also number each subvoucher, starting at one, at the
beginning of each fiscal year.

2.

When you submit a Reimbursement Voucher, collect the subvouchers for

that month (or since the last replenishment) and attach them to a
Reimbursement Voucher. You should attach any adding machine tape,
computer spreadsheets, or another electronic list of the amount of the
replenishment.

3.

You should keep a copy of the Reimbursement Voucher and send the
original, along with the subvouchers and additional documentation, to your
finance office. The finance office will certify the voucher and reimburse the
fund.

CHECK CASHING FEES

WHEN MAY I PAY FEES FROM AN IMPREST FUND?
If local financial institutions require you to pay a fee to cash a reimbursement check
and no other free or less expensive options are available, you may pay the fee from
an imprest fund. Any fees should be reasonable and customary for the area and are
the responsibility of your agency.
HOW DO I PAY FEES FROM AN IMPREST FUND?
Prepare a receipt on the subvoucher indicating the amount and purpose of the
disbursement.
WHAT DOCUMENTATION IS NECESSARY FOR PAYING FEES?
Your agency should require that a Reimbursement Voucher be submitted prior to
being reimbursed for check cashing fees. You should list the amount of the fee
separately under the "Status of Fund" block, and insert "check-cashing fees paid" in
the legend.

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ACCOUNTABILITY REPORTS
WHAT IS AN ACCOUNTABILITY REPORT?
An Accountability Report is an reconciliation document used for verifying the status
of an imprest fund at any given time. You should submit accountability reports at
least one designated day each month with an accounting of cash on hand and any
unpaid vouchers, receipts, and other information which indicate the status of the
fund. Reports should be submitted more frequently as needed to indicate a change
in the amount of the imprest fund or to indicate a change of cashiers. Class A and B
cashiers may use Optional Form 1129, Cashier Reimbursement Voucher and/or
Accountability Report, or agencies may use their own form. Class D cashiers may
use SF 1652, Division of Disbursement Form: Statement of Advance funds for
Changemaking Purposes to account for changemaking funds.

CASHIER LIABILITY
WHEN IS A CASHIER LIABLE?
As a cashier, you are liable for all funds advanced to you from the time you receive
the funds until an acceptable and correct accounting is made and/or your
designation as a cashier has been revoked or transferred.

REPORTING LOSSES
HOW SHOULD I REPORT IMPREST FUND SHORTAGES?
You should verbally report shortages to your supervisor immediately. Your verbal

report should be followed by a written report within 3 business days which should be

submitted to your supervisor. Your supervisor is then responsible for a written

follow-up report to the finance office.

Both your oral and written reports should disclose all irregularities. In addition to

irregularities, your report should state whether all agency-prescribed procedures

and requirements were followed. If prescribed procedures and requirements were

not followed, a detailed explanation should be given as to why the procedures were

not followed. Also, your report should include any recommendations that you

consider necessary to strengthen administrative control over the fund or that should

prevent a recurrence of the irregularity or deficiency.

Where appropriate, losses should be reported to local law enforcement.

If an agency initially determines that source of the loss was due to a cashiers

impropriety, then the agency should impound and audit the funds. After the audit, the

fund should be transferred to a new or alternate cashier.

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REQUESTING RELIEF
WHAT IS GRANTING RELIEF?
Granting relief means relieving an approving official, cashier, or other individual
from liability for an imprest fund loss. A Federal agency may grant an approving
official or other individual relief if the agency determines that the approving official is
not responsible for the loss of funds. As an approving or certifying official, you may
be relieved of liability if the approval and certification of a payment was based on
official records and the official did not know, and by reasonable diligence and
inquiry could not have discovered the correct information; or the obligation was
incurred in good faith; no law specifically prohibited the payment; and the United
States Government received value for the payment. (See 31 USC 3527, General
Authority to Relieve Accountable Officials and Agents from Liability, and 31 USC
3528, Responsibilities and Relief from Liability of Certifying Officials.)
HOW DO I REQUEST RELIEF?
You request relief by submitting a signed statement requesting relief and detailing
the circumstances of the loss to your supervisor. Generally, relief may be granted by
the agency for losses under $3,000.
For individuals seeking relief from liability for losses over $3,000, those individuals
should obtain the advise of their component General Counsels office or the
Department of Justice, Justice Management Division if the there is no component
General Counsels office. This is a change from the previous cashiers manual which
indicated that relief for amounts over $3,000 must be referred to the General
Accounting Office (GAO) for relief. However, in a Department of Justice order dated
November 15, 1995, the Attorney General concluded that the statutory authority of
the GAO to grant relief is unconstitutional because the GAO, as an agent of
Congress, may not issue decisions that are binding on Executive branch agencies.
HOW ARE FUNDS RESTORED IF I AM NOT FOUND LIABLE?
If your agency determines that you are not liable for the loss, a cashier may prepare
a Reimbursement Voucher request reimbursement to the fund in the amount of the
loss.
HOW DO I PAY BACK LOST FUNDS IF I AM FOUND LIABLE?
If your agency determines that you are liable for the loss of funds, you should
replace the funds with cash. If your agency has already restored the lost amount, you
should reimburse your agencys finance office. The finance office should then use a
Deposit Ticket or comparable agency approved form to credit the amount to the
agencys 8-digit Account Location Code number.

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TRANSFERRING CASH TO ANOTHER CASHIER

HOW DO I TRANSFER FUNDS TO THE NEW CASHIER?
As the outgoing principal cashier, indicate the transfer of uncashed advances,
reimbursement checks, and cash to the incoming principal cashier by completing a
"Reimbursement Voucher and/or Accountability Report." In the certification section
of the form, you should also add "and has been transferred to (name of the
incoming cashier) as of (the date)." Incoming cashiers acknowledge the receipt of
funds by inserting into the certification section "Except as noted above, I hereby
accept accountability for this imprest fund of $(amount) (signature of incoming
cashier)."
A form SF 1166, Voucher and Schedule of Payments (Payment Voucher) or
comparable agency approved form is then prepared by the agency finance office
for reimbursement. The voucher should show as the payee the name of the
incoming cashier indicated on the Request for Change form.
WHAT PROCEDURES SHOULD BE USED TO COUNT AND VERIFY THE
FUND?
Both the incoming and outgoing cashiers (in the presence of two disinterested
witnesses) should count the fund to verify any discrepancies. All four participants
should sign a receipt as evidence of the amount and transaction.

IMPREST FUND ACCOUNTS AT FINANCIAL INSTITUTIONS

MAY A DEPOSITARY ACCOUNT BE ESTABLISHED ON BEHALF OF MY
AGENCY?
Agencies may establish accounts at a depositary institution when placement of
imprest funds into an account is in the best interests of the agency. Agencies may
consider opening an account to avoid check cashing fees, to safeguard funds, or to
increase security for cash disbursements required for a law enforcement activity.
Depositary accounts used to deposit imprest funds should only be used for cash
withdrawals. Cashiers are not permitted to issue commercial checks payable to
either employees or vendors unless granted specific authority to do so by FMS or
by statute. Accounts may not have overdraft protection.
HOW SHOULD DEPOSITS BE MADE TO THE ACCOUNT?
All deposits to the accounts should be made via electronic funds transfer through
the ACH or through Fedwire, as appropriate. Replenishments should not be
deposited to the account until the funds are needed.

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MAY AN ACCOUNT BE INTEREST BEARING?

An account may be interest bearing, however any interest earned from the account
should be deposited to the Treasurys general fund. Interest earned cannot be used
to supplement Federal agency appropriations nor offset service charges or other
fees charged to the account.
WHERE MAY I ESTABLISH A DEPOSITARY ACCOUNT?
Depositary accounts should only be established with a Federally insured financial
institution. Each financial institution maintaining an imprest fund account should
meet the eligibility requirements contained in 31 CFR Part 202, Depositaries and
Financial Agents of the Government. The agencys name should be in the account
title.
WHAT ARE THE OPENING AND OPERATING REQUIREMENTS OF A
DEPOSITARY ACCOUNT?
When a depositary account is opened, the head of your agency or designee should
submit a letter to the financial institution authorizing you, the cashier, to withdraw
funds. The letter should also designate an alternate individual authorized to
withdraw funds in case of emergency or impropriety. Appropriate signature cards
obtained from the financial institution should accompany the letter. Cashiers should
also submit monthly reconciliations to the appropriate office a form SF 1149,
Statement of Designated Depositary Account form or comparable agency
approved form, together with an Accountability Report.

LIQUIDATING AN IMPREST FUND

HOW DO I LIQUIDATE AN IMPREST FUND?
You may liquidate an imprest fund by returning cash or uncashed checks to your
agencys financial office with a deposit ticket. This change should be indicated on
an accountability report or other agency report used to document changes to the
imprest fund. For reporting purposes, the (41) account symbol should be used.

YEAR-END REPORTING
You should report the status of the fund in accordance with your agencys
accounting procedures and information requirement of the FMS Form 2108,
Year-End Closing Statement.

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V. THE ROLES OF THE ALTERNATE CASHIER AND SUBCASHIER

ALTERNATE CASHIERS
WHEN SHOULD I ADVANCE FUNDS TO AN ALTERNATE?
You should only advance funds to an alternate to cover normal operating needs.
Advances should only be made to permit uninterrupted disbursing service during
short absences of the cashier, or when the volume of work requires the services of
the alternate.
HOW DO I ACCOUNT FOR FUNDS ADVANCED TO AN ALTERNATE?
Alternates should sign a subvoucher for the amount of the advance. You should
retain this receipt to account for the full amount of the fund. The alternates paid
vouchers and outstanding cash should equal the amount of the subvoucher issued.
HOW IS AN ALTERNATES FUND REPLENISHED?
An alternate's advance should be replenished for the amount of the paid receipts. If
an alternate continues in a disbursement role, then the alternate should return all
paid vouchers to the advancing official at the end of each business day.
Alternates should not submit a "Reimbursement Voucher and/or Accountability
Report" for paid vouchers unless an official transfer of funds has been completed.
When an alternates role discontinues, then a full accounting of cash and paid
vouchers should be made.
HOW ARE FUNDS ADVANCED WHEN A CASHIER IS ABSENT?
If a cashier is absent and a replenishment is required to maintain the imprest fund,
then an advance should be made in an alternate's name. The amount of the
advance should equal the amount needed to carry out normal disbursing activities.
When the primary cashier returns to work, the alternate should return all paid
vouchers to the fund and reduce the advance to the original amount.

SUBCASHIERS
WHEN SHOULD I ADVANCE FUNDS TO A SUBCASHIER?
Class B cashiers or Class D cashiers may advance funds to Class B and Class D
subcashier, respectively. Class A cashiers are not authorized to advance funds to a
subcashier.

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HOW ARE SUBCASHIERS HELD ACCOUNTABLE FOR FUNDS?

Class B subcashiers are held accountable by submitting subvouchers signed by the
subcashier to the Class B cashier for replenishment at least once each month or by
indicating to the Class B cashier that there was no activity for the month.
HOW SHOULD I REPORT SHORTAGES FOR SUBCASHIERS AND
ALTERNATES?
As the principal cashier, you should report shortages for subcashiers following the
same guidelines outlined in Section IV, page 8, "How Should I Report Imprest Fund
Shortages?". Alternates should report shortages using these same guidelines.

VI. INTERNAL CONTROLS AND FUND SECURITY

SEPARATION OF DUTIES
HOW SHOULD AN APPROVING OFFICIALS DUTIES BE SEPARATED?
Generally, an approving official should not be responsible for any activity which may
result in an inappropriate influence on another activity. For example, if you, as an
approving official, sign a Request for Change form to designate a cashier you
should not also audit the Reimbursement Voucher and/or Accountability Report for
the same cashier.

HOW SHOULD AN APPROVING OFFICIAL MANAGE THE SEPARATION OF

DUTIES BETWEEN ALTERNATES AND SUBCASHIERS?
The duties of alternate cashiers or subcashiers, should be separated following
these guidelines:
-

One class of cashier may not serve as an alternate to a principal of another

class. This rule should apply to subcashiers, as well.

A principal cashier may have more than one alternate or subcashier.

Alternate cashiers or subcashier should not work for more than one principal.

Where the volume of transactions requires both the principal and alternate to
act simultaneously, the principal cashier should advance the alternate funds
on a receipt basis.

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SPOT CHECKS

WHAT ARE SPOT CHECKS?

A spot check is an unannounced verification of the cash balance in your imprest
fund. Agencies should conduct periodic spot checks on imprest funds, the
frequency of which should determined by the agency.

SECURING CASH AT AN AGENCY LOCATION

WHAT IS MEANT BY SECURING CASH?
Securing cash refers to the steps taken by an agency to ensure that cash is
safeguarded. Agencies should not establish imprest funds held on the agency
premises unless adequate facilities for securing the cash are available. Agencies
should develop procedures for securing cash, including, for example, specifications
for security devices such as safes and protective glass for cashiers windows.
Generally, security measures should be commensurate with the size of the imprest
fund.
HOW DO I SAFEGUARD COMBINATIONS AND KEYS?
You should place the combination to a safe and a duplicate key to the cash box (if
applicable) in a sealed envelope which you sign and date. You should place this
envelope in a separate secure area.
WHEN SHOULD I CHANGE THE COMBINATION OF THE SAFE?
You should change the combination of the safe at least annually, or whenever there
is a change of cashier or when the combination has been compromised.
SHOULD I SEPARATE CASH BOXES?
You should provide separate cash boxes or safe drawers for alternates and
subcashiers. Cashiers of all classes should work from separate cash boxes or
drawers.
WHERE SHOULD I NOT STORE CASH?
You should not store cash in:
-

file cabinets with key locks,

desk drawers

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-
-

depositaries in the cashiers name only (such as corporate accounts

established by your agency, or
safe deposit boxes in the cashiers name only.

WHERE CAN I FIND MORE INFORMATION?

Questions about this manual or imprest fund policy may be directed to the Cash
Management Policy and Planning Division, Financial Management Service, at
202/874-6590. Inquiries may also be directed by electronic mail to
[email protected] or by filling out an inquiry form available at
www.fms.treas.gov/imprest. The Imprest Fund Policy Directive and other supporting
documents are available on the Internet at www.fms.treas.gov/imprest.

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APPENDICES

1. DEFINITIONS
ALTERNATE TO CASHIER OR SUBCASHIER
An alternate is a cashier, officer, or employee who has been designated in the same
manner as a cashier or subcashier but who will function in such capacity only during the
absence of that cashier. Where the volume of transactions requires both principal and
alternate to act simultaneously, the principal will advance funds on the basis of a receipt
signed by the alternate. The provisions that apply to cashiers and subcashiers will apply to
their alternates.
APPROVING OFFICIAL
An approving official is a Federal agency head or designee who manages cashiers and
imprest fund operations. All agency heads or designees have the authority to delegate
cashier appointment and revocation responsibility to an individually named approving
official within the agency without the approval of the Financial Management Service (FMS).
These individuals are typically fianance or accounting officials.
CASHIER
A permanent officer or employee of a Federal department, agency, or Government
corporation who is 1) designated as a cashier by a delegated agency approving official
(See Section 2, "Designation"), and is 2) authorized to perform limited cash disbursing
functions or other cash operations.
CLASS A CASHIER
A cashier, officer, or employee who receives an advance from a Federal agency
appropriation for an imprest fund, is personally accountable to the head of a Federal
agency or designee, and has not been authorized to advance an imprest fund to another
cashier, except the alternate.
CLASS B CASHIER
A cashier, officer, or employee who receives an advance from a Federal agency
appropriation and is authorized to advance an imprest fund to his or her own alternate and
to a subcashier. The Class B cashier is personally accountable to the head of the Federal
agency or designee for the entire amount of the advance received.

CLASS D CASHIER
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A cashier, officer, or employee who receives an advance from a Federal agency

appropriation solely for change-making purposes. He or she may advance funds to
subcashiers for change-making purposes only upon authorization by the head of the
Federal agency from which he or she received the advance. The Class D cashier is
personally accountable, in his or her own name, to the head of the Federal agency for the
entire amount of the advance received.

IMPREST FUND
A fixed-cash or petty-cash fund in the form of currency or coin that has been advanced as
Funds Held Outside of Treasury. The funds are charged against a Government
appropriation account by a Federal Government agency official and advanced to a duly
authorized cashier. The designation should state the general purpose of the advance. This
fund may be of a revolving type, replenished to the level of a fixed amount as spent or
used, or of a stationary nature such as a change-making fund.

IMPREST FUND POLICY DIRECTIVE

The Imprest Fund Policy Directive replaces all of the existing policy guidance contained in
the TFM and the Cashiers Manual. The operational guidance contained in the TFM has
been merged into this updated Cashiers Manual. The TFM on imprest funds, Chapter
4-3000, Imprest Fund Cash Held at Personal Risk by Disbursing Officers, will be
withdrawn, except for Section 3040.70 covering Third Party Drafts. This section will remain
in effect until publication of a Treasury Policy Directive on the use of Third Party Drafts and
other draft instruments.

SUBCASHIER
A permanent officer or employee who has been designated in writing by the head of a
Federal department, agency, or Government corporation to receive an imprest fund from a
Class B or D cashier, is under the supervision of the head of the same local office as the
cashier from whom the advance is received, is accountable to such cashier for the funds
received, and is stationed within a reasonable distance to the advancing cashier. The
provisions for payment limitations and safekeeping that apply to cashiers also apply to
subcashiers.

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2. FORMS

EXHIBITS OF REFERENCED FORMS

FMS FORM 2958

Delegation of Authority

OPTIONAL FORM 211

Request for change or Establishment of an Imprest Fund

OPTIONAL FORM 1129

Cashier Reimbursement Voucher and/or Accountability Report

STANDARD FORM 215

Deposit Ticket

STANDARD FORM 1149 Statement of Designated Depositary Account

STANDARD FORM 1164 Claim for Reimbursement for Expenditures on Official
Business
STANDARD FORM 1165 Receipt for Cash - Subvoucher
STANDARD FORM 1166 Voucher and Schedule of Payments
STANDARD FORM 1652 Division of Disbursement Form: Statement of Advance Funds
for Changemaking Purposes

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