8.3 Cash Advances
Policy Statement
A cash advance should be used when it is not practical to use another payment method and must be obtained before a unit pays for a one-time event or program activity.
The payee (Custodian) is personally responsible for safeguarding cash advance funds and should not allow the funds to be improperly used.
Reason for the Policy
Cash advances provide an appropriate method of payment when it is not practical to use another payment method.
Applicability of the Policy
All University of Illinois cash advances.
Procedure
Cash advances must be processed according to 8.3.1 Open a Cash Advance, 8.3.2 Reconciliation of a Cash Advance, 8.3.3 Replenish a Cash Advance, 8.3.4 Extension of a Cash Advance Due Date, and 8.3.5 Close a Cash Advance, along with any other specific policies and procedures applicable to human subject studies and travel advances.
Cash advances cannot be used to cover the cost of items that can be purchased with a P-Card or T-Card. Cash advances cannot be used for reimbursement for expenses already incurred.
New cash advances will not be issued to a custodian that has an outstanding delinquent cash advance.
Custodian Responsibilities
All employee groups are eligible to be custodians except undergraduate students, unpaid graduate students, hourly graduate students, extra help, and academic hourly employees. In the event the custodian is a non-resident alien, there may be additional tax reporting requirements if the program advance is not reconciled or closed in a timely manner.
A custodian can have one outstanding cash advance at any given time. Exceptions include:
- A custodian may have one cash advance for human subject payments per active Institutional Review Board protocol.
- A custodian may have more than one cash advance if prior approval is obtained from University Payables.
If the cash advance custodian fails to safeguard the advance or allows it to be improperly used, the custodian must repay the money. If the loss was beyond the custodian’s control, it may be repaid from the unit’s budget or other available operating funds with the prior approval of University Payables. In the event a cash advance is stolen University police or local law enforcement should be contacted.
Related Policies and Procedures
8.3.1 Open a Cash Advance
8.3.2 Reconciliation of a Cash Advance
8.3.3 Replenish a Cash Advance
8.3.4 Extension of a Cash Advance Due Date
8.3.5 Close a Cash Advance
8.4 Payments to Human Subject
8.4.1 Cash Advances for Human Subject Payments
8.4.2 Reconciliation of a Program Advance
15.1.1 Cash Advances for Travel
Additional Resources
Chrome River Resource Page
Job aid for System Navigation
Job aid for Open and Close a Program Advance
University Payables Training Materials
Clery Act Reporting Requirements
University of Illinois at Chicago: Clery Compliance
University of Illinois at Urbana-Champaign: Clery Act (Policy Number : FO-21)
University of Illinois at Springfield: UIS Police - Jeanne Clery Act
Last Updated: February 17, 2022 | Approved: Senior Associate Vice President for Business and Finance | Effective: February 14, 2022