AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
A petty cash log records every cash payment from a small float: date, voucher number, who was paid, what for, amount, who approved it and the running balance. Most Nigerian businesses use an imprest float topped up to a fixed amount, reconciled at least monthly, with receipts kept for at least six years as the Tax Administration Act 2025 requires.
Petty cash log template (copy and fill in)
| Date | Voucher no. | Paid to | Description | Expense category | Amount out (₦) | Top-up in (₦) | Balance (₦) | Receipt? (Y/N) | Approved by |
|---|---|---|---|---|---|---|---|---|---|
| [date] | — | Opening float | Float for the month | — | [50,000] | [50,000] | — | [name] | |
| [date] | PC-001 | [Name] | [Item] | [Category] | [amount] | [running balance] | [Y/N] | [name] | |
| [date] | PC-002 | [Name] | [Item] | [Category] | [amount] | [running balance] | [Y/N] | [name] | |
| [date] | — | Top-up | Reimbursement of PC-001 to PC-0xx | — | [amount] | [back to float] | — | [name] |
Suggested categories: office supplies, cleaning, transport and dispatch, refreshments, minor repairs, postage and courier, fuel for generator (small top-ups only), staff welfare. Keep categories the same as your accounts so totals post straight into the books.
Petty cash voucher template
Fill one voucher for each payment and staple the supplier's receipt to it.
| Field | Entry |
|---|---|
| Voucher number | PC-[000] |
| Date | [date] |
| Paid to | [name of person or vendor] |
| Amount in figures | ₦[amount] |
| Amount in words | [amount in words] naira only |
| Purpose | [what was bought and why] |
| Expense category | [category] |
| Receipt attached | Yes / No (if no, reason) |
| Requested by | [name, signature] |
| Approved by | [name, signature] |
| Received by | [recipient's signature] |
Filled voucher (text version)
Voucher PC-004, 9 November 2026. Paid to: Emeka (plumber). Amount: ₦8,000 (eight thousand naira only). Purpose: repair of leaking pipe in staff kitchen. Category: minor repairs. Receipt attached: no, handwritten note from the plumber attached instead. Requested by: office assistant. Approved by: office manager. Received by: Emeka, signature. Names and figures are illustrative.
Worked example: a ₦50,000 imprest float
Example only. An Enugu office keeps a ₦50,000 float. In the first two weeks of November 2026:
| Date | Voucher | Description | Out (₦) | In (₦) | Balance (₦) |
|---|---|---|---|---|---|
| 1 Nov | — | Opening float | 50,000 | 50,000 | |
| 2 Nov | PC-001 | Printer paper and toner | 12,500 | 37,500 | |
| 4 Nov | PC-002 | Dispatch rider to client | 3,000 | 34,500 | |
| 6 Nov | PC-003 | Cleaning materials | 6,200 | 28,300 | |
| 9 Nov | PC-004 | Plumber, minor leak | 8,000 | 20,300 | |
| 12 Nov | PC-005 | Water and refreshments for meeting | 5,800 | 14,500 | |
| 13 Nov | — | Top-up (reimburse PC-001 to PC-005) | 35,500 | 50,000 |
The top-up equals the total of the vouchers (₦35,500), which brings the float back to ₦50,000. If the cash in the box plus the vouchers does not equal ₦50,000, there is a shortage or surplus to investigate before topping up.
Signs that something is wrong: the same vendor appears several times a week, round-number payments with no receipts, top-ups requested more often than usual, or vouchers signed by the same person as requester and approver.
Monthly reconciliation template
| Line | Amount (₦) |
|---|---|
| Float amount (A) | [50,000] |
| Cash counted in the box (B) | [ ] |
| Total of vouchers since last top-up (C) | [ ] |
| B + C | [ ] |
| Difference: (B + C) − A | [ ] (should be 0) |
| Explanation of any difference | [ ] |
| Counted by / checked by / date | [ ] |
Rules that keep petty cash under control
- Set a ceiling per payment (for example ₦20,000); anything above goes through a normal bank payment.
- The person who holds the cash should not also approve the vouchers.
- No IOUs or personal loans from the box.
- Count the box at random times, not only at month end.
- Keep cash in a locked box and record the key holder.
For the policy behind these rules, read how to run petty cash and who should approve payments.
One-page petty cash policy (template)
- Float amount: ₦[amount], held by [role], kept in a locked box.
- Maximum single payment: ₦[amount]; above that, pay by bank transfer.
- Allowed uses: [list categories]. Not allowed: salaries, staff loans, personal purchases, payments to the custodian.
- Every payment needs a voucher, a receipt where one exists, and approval by [role].
- Top-ups only against vouchers, approved by [role], paid by transfer from the business account.
- Surprise counts by [role] at least [once a month]; full reconciliation at each top-up and month end.
- Shortages are reported the same day to [role].
Tax and record-keeping points
- Keep records six years. Section 31(5) of the Tax Administration Act 2025 requires books and records to be kept for not less than six years after the relevant year of assessment. That includes vouchers and receipts.
- VAT on petty purchases. Input VAT can only be offset where it is documented. Under section 153 of the Nigeria Tax Act 2025, as summarised, a VAT invoice shows the supplier's Tax ID, invoice number, name and address, CAC number, date of supply, buyer's name, gross amount and VAT charged at the rate. Most small cash purchases come without one, so treat them as gross cost.
- Missing receipts. Write a voucher anyway, note why there is no receipt, and get it approved. Patterns of missing receipts are a warning sign.
- Move to transfers where you can. Paying vendors by transfer leaves a bank record and reduces the cash you hold; see end-of-day cash-up for the till side.
Where Pryme fits
Many businesses replace part of the petty cash box with a separate account for small spending. A Pryme Business Account comes with a Finance agent that prepares payments, with a person approving above a set ceiling and every action recorded.
Questions people ask
What is an imprest petty cash system?
A fixed float, such as ₦50,000, is topped up by exactly the amount spent, so cash plus vouchers always equals the float.
How often should petty cash be reconciled?
At least monthly, and every time it is topped up. Surprise counts in between help catch problems early.
Can petty cash be used for staff loans?
Good practice is no. Staff advances should go through payroll or a separate approved process, not the cash box.
How long should I keep petty cash vouchers?
At least six years after the relevant year of assessment, under section 31(5) of the Tax Administration Act 2025.
Sources
- Nigeria Tax Administration Act 2025 (Official Gazette) · accessed Oct 2026
- Mondaq, Examination of the VAT provisions under the Nigeria Tax Act 2025 · accessed Oct 2026
- InvoiceGenerator.ng, VAT invoice format in Nigeria: required fields (s.153 NTA 2025) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.