5.5: Preparing the Deposit Document

Banner forms could be used to create a deposit document to be posted as a financial transaction. A separate sequence within a document number should be completed for each payment type e.g.:

• Cheques.
• Debit card.
• Master card.
• Visa.
• American Express.
• Cash

Information in the description or document text of the deposit document should include:

Payer

The name of the individual/business from whom the funds were received.

Sales Reference Number

Source documents concerning all receipts (taxable or exempt) are required to be kept for audit purposes. The sales reference number requires that the business can relate it back to the source document(s). Typical examples of documents that support receipt of funds include: contracts, cash register tapes, and copies of receipts. It is the responsibility of the business to ensure that they maintain adequate records and retain these for seven years.

Purpose of Receipt

Indicate a descriptive purpose of the receipt e.g., room rental, research grant instalment, etc. To ensure proper identification, the back of each cheque linked to a deposit document number should indicate the deposit document number. This ensures easy identification of the originating business and lost or stolen cheques cannot be misused.

Security

Cash should not be forwarded through the mail due to the risk of loss or theft. For regular cash deposits a bank deposit slip should be completed so that deposits may be made through the normal banking processes.

Large amounts of cash should never be accumulated at a business. All funds should be deposited at the bank within 48 hours of receipt. If overnight storage is unavoidable, funds should be kept under lock and key in a safe.

Necessary precautions should be taken with respect to personal security. No person should walk to the bank with large sums of cash. Any business in these circumstances should have methods in place for safe transport.

To reduce cash handling, alternate methods of payment should be offered to the business’s customers e.g. debit and credit card payments. Businesses with a high volume of deposits that have local applications to generate deposit transactions should transmit the data electronically.