Avoiding Cash Shortages

Shortages are a very common problem in catering.

In the restaurant industry, shortages are common and can cause many problems in terms of customer experience and worker morale if not addressed properly by management who knows what needs to be done before things get out of hand.

Unfortunately, it is not enough to be constantly careful to avoid them, but it is necessary to implement internal procedures and ensure that they are respected.

Let's analyze the possible causes and remedies together.

What is a cash shortage?

Amanco means lack. Of what? Money from the cash register.
Therefore a cash shortfall is the finding of a difference between what should be the cash liquidity and that actually recorded.

This can happen for many reasons, but some common causes are misappropriation or errors in recording transactions by employees with access to money on work computers who have mixed up the numbers during their daily activities.

Clearly, the problem arises if it is negative.

Main causes of shortages

1. Theft: yes, in 75 percent of cases this is the reason. Leaving the cash register to an employee is always a risk. It happens to almost every restaurateur.
2. Poor warehouse management
3. Errors with remainders

Solutions

Case No.1

To reduce the risk of theft, just use a management system like Ristomanager, which differentiates the cash register functions between owners and waiters.

Management software called Ristomanager can help restaurants reduce the risk of theft by ensuring cash is accessible only to authorized individuals.

Our software, in fact, centralizes operations, so that you will always be the one managing orders and cash operations.

Case No.2

The weak point of every activity, which undermines its efficiency: the warehouse!
In this case it is necessary to act on everything related to the inventory.

Always with Ristomanager, the management system for restaurants, bars, pizzerias, farmhouses, taverns and pubs (and so on and so forth) you will be able to have precise data on its stocks.

You will never again have to wonder whether your restaurant's inventory is out of stock or not. With Ristomanager, the software for managing restaurants of all types and sizes (and more!), you'll be able to see what's available in real time, so there will be no more surprises when it comes to ordering food!

Case No.3

Here the solution I propose is the cash allowance: a compensation given to those who handle the money, given that they take responsibility for any cash errors.

The solution I propose is the cash allowance for restaurateurs. It's a way to help them achieve financial stability in this tough economy and at the same time makes it easier than ever - if you have one or more children, paying off student loans might seem like too much work because now there are no longer any credit checks required when applying!

Be careful though: I recommend it only if you have a large restaurant, otherwise it could prove to be too expensive a measure.
In fact, the allowance represents an additional sum compared to the basic pay.

Deficiencies and accounting point of view: deductibility

The item Cash shortages must be recorded in the income statement among the Other operating expenses in B14.

According to the Financial Administration, cash shortfalls are deductiblefor both IRES and IRAP purposes if it is demonstrated that they are:

• physiological,
• inevitable
• inherent in business activity.

It is also necessary to document the difference through a specific report drawn up by responsible person of company controls and by the cash manager to whom the shortfalls are attributable.

If all the conditions listed above do not occur, the shortfalls cannot be considered deductible.

Once the shortfall has been documented in this way, its deductibility from business income will depend on common rules of experience, according to which shortfalls of modest daily amounts can only represent different fiscal management costs relevant.

Specifically

Regarding the determination of the modest amount the resolution specifies that the assessment must be related exclusively to the daily management of the cash taking into account:

• the presence of organizational measures and of tools for the containment and the prevention of the causes of the formation of cash differences;
• of trend of cash differences detected in the period under observation;
• of the emergence of cash differences, for the same tax period, both negative and positive, hypothetically compensable;
• of the limited significance of the cash differences in relation to the turnover volume, to the consistency of the daily cash fund or that detected at the time the controls are carried out, to the number and overall value of operations, to the number of operating cashiers and to the number of cashier operators.

Finally, it should be remembered that the provisions of Article 101 of the TUIR regarding the deductibility of losses of goods, not goods, in the presence of certain elements and precise that allow you to objectively reconstruct the an and the quantum. If these conditions are met, the inherence requirement.