Film Accounting Glossary
Petty cash
What is petty cash?
Also called PC, or petty cash advance.
Petty cash is money advanced to department heads and coordinators for small immediate purchases where a purchase order is impractical.
It runs on a float: the holder spends, submits receipts coded to accounts, and is reimbursed back up to the original amount. Petty cash is the highest-risk cash in a production because it is the least controlled, which is why productions cap the float and reconcile it weekly.
Example
Twelve department heads each hold a $2,000 float, so $24,000 of the show's cash is in envelopes at any moment. Cap the float, reconcile weekly, and it is controllable. Do neither, and it is the least controlled money on the production.
Figures are illustrative, chosen to show the mechanics rather than to quote market rates.
Where you'll see it
Advanced from the petty cash account and reconciled every week against receipts coded to accounts.
Common mistake
Issuing large floats and reconciling at wrap. It is the least controlled money on a production, and the gap between spend and evidence only grows.
Related questions
- How does petty cash work on a film set?
- Department heads hold a fixed float, spend it on small immediate purchases, submit coded receipts, and are reimbursed back up to the original amount.
- How much petty cash does a production carry?
- It varies, but floats are capped per holder and reconciled weekly, because uncontrolled petty cash is the most common source of unsupported cost.