What is cash on hand?

Cash on hand is the actual amount of cash (notes and coins) in the business’s till at any time. When a guest pays in cash, it goes up, and when change is given, it goes down. The actual amount is usually compared with the theoretical amount (what the system expects), which gives a clear picture of any discrepancies – see also cash balance

An example from a restaurant

A café opens at 8:00 with an opening float of €250. During the day, staff receive cash payments for coffee, sandwiches and cakes. At closing, staff count the money and find €760 in the till. According to the POS system there should be €770. So there is a small cash discrepancy of €10, which needs to be investigated and, if possible, explained.

Why cash on hand matters

Managing cash on hand correctly is essential for keeping a financial overview of the business and avoiding errors. Discrepancies can be caused by human error, missing entries or, at worst, theft. By keeping track of the cash continuously, you minimise the risk of cash discrepancies and make sure contribution margin and revenue reflect reality.

Cash on hand also matters for trust between employees and owners. Transparent cash handling contributes to a healthy working environment and professional operations.

How the Flexybox system uses cash on hand

The Flexybox till system monitors cash on hand continuously and gives a real-time overview of how much cash is in the till. This ensures the cash always matches the recorded transactions. If deviations occur, they quickly become visible, so you can step in effectively and keep your liquidity correct. In this way Flexybox acts as an active partner in keeping track of your cash and avoiding discrepancies.

Frequently asked questions

Yes, it is recommended to physically count the cash at the start and end of each shift, so you can compare it with the POS system’s figure and catch any deviations.

Cash on hand is the actual amount of cash in the till. Cash balance is the comparison between the amount that should be in the till based on sales and the actual amount. Read more here

Go through the day’s transactions to find the cause. It may be an entry error or a missing registration. For larger or repeated differences, contact your accountant or POS provider.

Yes, the system automatically monitors your cash transactions and keeps an eye on cash on hand, which makes it easier to find and resolve differences. You can spot errors quickly and keep your liquidity correct.