Cash Handling & Till Reconciliation: the full procedure

Keep cash accurate and protected from drawer to deposit through fixed floats, recorded drops, blind counts, and two-person controls.

• Applies to: All cashiers handling cash; manager/key-holder for drops and deposits.
• Frequency: Per shift, plus mid-day drops and end-of-day reconciliation.
• Scope: Covers float, drops, count-down, over/short logging, and bank deposit. High-risk steps require dual control.

What you need

• Cash drawer / till
• Safe
• Count & over/short sheet
• Deposit slips
• POS sales report

The procedure, step by step

1. Set the float — Start each drawer with the same fixed float in mixed small bills and coin, and record it before the first sale.
2. Drop cash mid-day — When the drawer exceeds the set cash limit, drop the excess to the safe, record it, and keep large bills out of the till.
3. Use dual control — Have two authorized people present for safe counts, cash drops, closing counts, and deposits so no one handles cash unwitnessed.
4. Count down blind — At shift end, count the drawer without first seeing the expected total, so true discrepancies surface honestly.
5. Reconcile to sales — Compare the counted cash (less float and drops) to the POS sales report and identify any variance.
6. Log over/short — Record every over or short on the log with cashier, drawer, amount, and date, and report large variances to the manager.
7. Prepare the deposit — Pull the deposit, complete and retain the deposit slip, and confirm physical cash matches the recorded total.
8. Bank it safely — Deposit within 1–3 business days, vary times and routes, and use two people to transport cash where possible.

Quality check before you finish

• Drawer started and recorded at the fixed float amount.
• Mid-day drops recorded whenever the cash limit is exceeded.
• Two authorized people present for drops, safe counts, and deposits.
• Count-down done blind, then reconciled to POS sales.
• Every over/short logged with cashier, amount, and date.
• Deposit slip completed and retained; cash matches recorded total.
• Deposits made within 1–3 business days; times/routes varied.

This is a free, source-anchored standard operating procedure (SOP) you can print and hand to staff. It documents the work sequence for a Small Retail Store business — not safety or regulatory rulings, which defer to the cited authorities, the applicable code, and your own health-and-safety plan. Open the tool above to print it, toggle ink-saver, or (with a free ToolFluency Business account) edit it to match your own workflow.

Sources

• apg — Cash Handling Best Practices (apgsolutions.com)
• Integrated Cash Logistics — Cash Handling Controls (integratedcashlogistics.com)
• Xenia — Retail Cash Handling Procedures (xenia.team)