Good cash management is essential for every business — whether you’re just starting out, running a busy shop, or managing multiple locations. From tills and tips to deposits and reserves, small mistakes can throw off your books and create unnecessary stress.

With a consistent process in place, handling cash becomes straightforward, accurate, and secure. Here are proven practices to help you strengthen your bookkeeping, safeguard your operations, and protect your bottom line.

1. Keep a Consistent Base in Your Till

Start each day with the same base amount (many businesses use around $150, but this depends on your volume of cash sales). At closing, remove all revenue above that base to deposit into the bank. This way, your till always opens and closes at the same amount — making discrepancies easier to spot.

💡 Tip: Assign one employee per till per shift to limit confusion and make accountability clear.

2. Don’t Skip the Coins

It might be tempting to skip coin counting, but accuracy matters. Count every bill and coin at each close. A coin counter (available for under $100) is a small investment that saves time and improves accuracy. 

3. Protect Against Loss and Theft

• • • Always open the till before the first sale — if you don’t, your POS reports may not match the actual cash.

    • Inspect bills over $20 for counterfeits.

    • Store larger bills underneath the drawer to keep them out of sight.

    • Be alert for scams like “quick change” tricks.

4. Handle Tips the Right Way

Cash tips often create confusion — but improper handling can lead to big penalties.

• • • Keep them separate until recorded.

    • If your POS doesn’t track tips, run a “free item” transaction to log them at the end of the pay period.

    • Maintain a simple spreadsheet with date and amount to stay compliant in case of an audit.

    • Always pay out all tips to employees — never use them for staff snacks or expenses.

5. Maintain a Reserve and Exchange Smartly

Keep a reserve fund in your safe (many businesses use around $250) with balanced denominations. When tills run low on a bill type, exchange with your safe — not from another till.

When you’re short on a denomination, exchange excess bills at the bank instead of withdrawing new funds. This prevents overstating deposits and keeps your records clean.

6. Standardize Your Deposit Process

A consistent deposit process reduces errors and minimizes theft risk:

• • • One employee prepares the deposit, another takes it to the bank.

    • Always count in private, ideally with two people present.

    • Count twice, in order (lowest to highest bills).

    • Review the deposit slip carefully — even tellers make mistakes.

    • Make daily deposits if possible; if not, deposit at least once a week.

The Bottom Line

Good cash management isn’t just about keeping tills balanced — it protects your business, ensures compliance, and builds trust with your team. By putting consistent processes in place, you’ll save time, reduce stress, and keep your books audit-ready.

👉 Need help strengthening your bookkeeping processes? Our team can provide training and hands-on support — Schedule a consultation today!