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Receipting and Depositing (Cash/Check/Wire Handling)

  • Last Updated: 04/21/2017
  • Effective Date:

Policy Statement

There is no formal policy statement for this topic; however, procedures and other information are provided below.

Reason for policy

Standardization for preparation of departmental deposits across campus.

Procedures

RECORDING:  There should be a dated record of the original entry for each individual payment.  Any method is acceptable as long as an audit trail is maintained (ex. Pre numbered receipt, cash register, validating machine tape, cash journal, or computer prepared record).  The recording of the receipt of all payments should be prepared as soon as practicable after the payment is received.  It is not acceptable to wait several days to prepare a receipt.

DEPOSITING:  Departments with a high volume of cash typically should make deposits daily.  Smaller departments may deposit less frequently.  All departments should make deposits at least weekly.  All funds collected must be deposited (i.e. the exact amount collected must be deposited).  Departments may not establish a cash fund from cash collected or make cash refund from cash collected.  It is inappropriate for University personnel to cash personal checks or to make loans from cash receipts.  When preparing the deposit, the departments should deposit the exact amount collected since the last deposit.  The department should prepare a deposit transmittal form which should reflect receipt numbers and/or dates of the funds collected and it must specify the account(s) to be credited.  A copy of each transmittal should be retained by the department.  The deposit should be transported in a secure fashion.  Currency and coin should not be delivered by campus mail.  It is important to ensure that the credit was applied to the specified account, so the department should examine the monthly account status report to ensure that the credit was properly applied.

RECEIVING CHECKS:  Due to the Federal Reserve Bank requirements and the refusal by some banks to process counter checks and drafts, University of Georgia departments may not accept counter checks or drafts.  Payers must obtain encoded checks from their respective banks before making payments to the University by check. 

Any checks made payable to the University of Georgia or a department thereof must be deposited with the University Office in a University account.  A check made payable to the University of Georgia or a unit thereof cannot legally be deposited in a non-University of Georgia account.  Departments of the University include schools, colleges, divisions, departments, and other organizations identified in the University’s State budget.

Any funds which are received in accordance with the terms of a contract, grant, or other agreement for the performance of services or any other expenditure of funds by a University department must be deposited with the Bursar and Treasury Services to a University account.  Payment cannot be made to a non-university organization or individual for services or expenditures charged to a University account or under the terms of a University contract, grant, or other agreement.  Fees of other funds received in connection with a University workshop, or other program offering in which the costs are charged to a University account, must be deposited with the Bursar and Treasury Services to a University account. 

Unrestricted gifts not requiring the services of expenditure of state funds must nonetheless be deposited in a University account if the payee is the University of Georgia or a unit thereof.   If the maker or a check erroneously indicates the University of Georgia or a unit thereof as payee, the Bursar and Treasury Services will work with the organization or individual involved to either seek a reissuance of the check or to otherwise record the check for the benefit of the intended recipient.

All checks should be properly endorsed on the back before being deposited. 

Ex.: FOR DEPOSIT ONLY

The University of Georgia

The name of the depositing unit

If a check made to the order of someone other than the University is presented by the payee, the University may be named payee by endorsement.  Endorsement by a payee naming the University of Georgia as the new payee should include the following endorsement:

Ex.: Pay to the Order of

The University of Georgia

Signature of Original Payee 

If a check made to the order of someone other than the University is presented by someone other than the payee, and the check is endorsed by the payee, the University may be named by the endorsement of the presenter, as follows:

Ex.: Signature of Payee

Pay to the Order of

The University of Georgia

Signature of Presenter 

Checks may be transmitted for deposit with the Bursar and Treasury Services by campus mail.  In no case may currency or coins be transmitted by campus mail.

Forms/Instructions

Cash/Check Handling Instructions (http://www.bursar.uga.edu/cash_check.pdf)

Additional contacts
Marianne Christian, mbchris@uga.edu  706-542-6024
Responsibilities

Responsible University Senior Administrator: Vice President for Finance & Administration

Responsible University Administrator: Associate Vice President and Controller

Policy Owner:  Bursar and Treasury Services

Policy Contact: Amy Brown amybrown@uga.edu

Phone Number: 706-542-6825

Responsibilities: It is the responsibility of the department to properly handle cash/checks within the department for accuracy of deposits.

Record Retention

Description: This series documents the equality or inequality of cash receipts versus bank deposits on a daily basis. Records consist of weekly computer printouts that list the account numbers managed by the office with daily entries for cash receipts in each account and corresponding bank deposits in each account. The computer program flags those accounts where daily cash receipts do not equal bank deposits for that date and labels them "Out of Balance."

Record Copy: Bursar and Treasury Services; Departmental level

Retention: 5 years, BOR 0472-03-001