Where to Keep Petty Cash

Where Should Petty Cash Be Stored?

Petty cash should be stored in a locked container with access limited to one designated custodian. The exact location — a desk drawer, office safe, or portable cash pouch — depends on your business type, but the security principles are always the same.

The Core Rule: Locked, Limited Access, Logged

Where you keep petty cash matters less than how you keep it. The three non-negotiable rules:

1. Locked — the cash is in a container that physically locks. Not a cigar box. Not an envelope taped under the counter.
2. Limited access — one person (the custodian) has the key or combination. If everyone can access it, no one is accountable.
3. Logged — every withdrawal is documented immediately. The physical location is only half the equation — the tracking system is the other half, whether you use a paper log or a digital petty cash book.

If you follow these three rules, your petty cash can live almost anywhere that makes sense for your workflow.

Physical Storage Options

Best Location by Business Type

Where the cash box physically sits depends on who needs access and how often:

• Office with a reception desk — keep it in the custodian’s locked drawer or filing cabinet. Not at the front desk where visitors can see it.
• Retail shop or café — separate from the till. The cash register and petty cash should never mix. A locked box in the back office or stockroom works best.
• Construction site or workshop — in a locked toolbox, site container, or foreman’s vehicle. Rotate the day’s cash out of the main fund each morning and reconcile at end of day.
• Co-working or shared office — never leave the box in a shared space. It stays with the custodian personally or in a private locker.
• Home office (sole proprietor) — a dedicated lockable box in a home office drawer, separate from personal cash. Do not mix it with household money.

Access Control: Who Gets the Key?

The short answer: as few people as possible.

The ideal setup is a single custodian with the only key and a backup key in a sealed envelope with the owner or manager. This is sometimes called the dual control approach — one person operates the box day to day, but a second person can access it in emergencies or for audits.

If your business has multiple shifts, you have two options:

• One box, one custodian — all disbursements happen through the morning custodian. Other shifts get pre-allocated cash at handover.
• Shift-specific boxes — each shift has its own smaller float with its own custodian. This is cleaner for accountability but requires reconciliation at every shift change.

What NOT to Do With Petty Cash Storage

These mistakes sound obvious, but they happen constantly:

• Do not keep it in an unlocked drawer — this is the number-one cause of petty cash shortages. If the drawer does not lock, the cash box must have its own lock.
• Do not hide it — hiding the box behind the coffee machine or in a fake book does not replace a lock. If someone finds it, there is zero barrier to taking cash.
• Do not keep it near the cash register — petty cash and sales revenue must never mix. Different purposes, different boxes, different tracking.
• Do not leave it in an unattended vehicle overnight — for field teams, the cash goes back to base at the end of the day.
• Do not give keys to “everyone who might need it” — if four people have keys, nobody is accountable. One custodian, one key.

Petty Cash Storage Policy Example

Here is a sample policy paragraph you can adapt for your own team:

Adjust the names, locations, and specifics for your business. The important thing is to have the rules written down — not just understood informally.

Night and Weekend Storage

During business hours, accessibility matters — the custodian needs to get to the cash quickly. After hours, security takes priority.

End-of-day routine:

1. Count the remaining cash and verify it matches your log
2. Lock the cash box
3. Move it to a safe, locked cabinet, or locked office if it is not already in one
4. Do not leave it on a desk or counter overnight, even if the office locks

If your business is closed on weekends, the cash box should be in the most secure location available — ideally a bolted safe. The amount inside should be as low as practical: replenish on Monday instead of leaving a full float idle for two days.

See pricing or visit our FAQ for more info.