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Not because the amounts are large, but because the controls are weak. Cash is untraceable, receipts go missing, and several people have access to the same tin.
The result is a balance that never quite agrees and a monthly write-off nobody can explain, which is corrosive out of all proportion to the money involved.
Fix a float — a set amount. Spending is reimbursed by topping the float back up to that figure, against receipts totalling the difference.
So cash plus receipts always equals the float, and any discrepancy is immediately visible rather than accumulating quietly. This one change solves most petty cash problems.
A fixed float topped back up against receipts, so cash plus receipts always equals the float.
Somebody other than the custodian, periodically.
Make expense reimbursement fast. Most petty cash exists because it is slow.
Half an hour with your own data usually saves reading three of these. The guides will still be here afterwards.