Break of box: how does it work? How to act in each situation?

One of the biggest responsibilities in business is for those who directly handle money. Whether it's a supermarket cashier, a gas station attendant, or a cashier in a retail store, it always demands more from the professional.

And there's a term being bandied about a lot right now, which is cash flow. But do you know exactly what that means?

In this article, we'll shed light on cash shortages and provide tips to help you manage money without problems at work.

Read on to learn all about the cash flow shortage.

What is cash break?

The term "cash shortage" can be used in two situations. That's why it's crucial to be clear about what the company is dealing with in situations like this.

In the financial context, a cash shortage refers to the difference between the actual value of cash in a company's cash register and the amount recorded in the accounting control system. This difference can be positive or negative.

• Positive cash break occurs when the real value of money is greater than the recorded value.
• Negative cash flow breakdown occurs when the real value of money is less than the recorded value.

In the labor context, a cash break refers to an additional amount paid to employees who handle cash on a daily basis. This amount is a form of compensation for the risk of financial loss in the event of errors or fraud.

The amount of cash shortage is freely defined by the company, but is generally calculated based on the employee's salary and the amount of cash they handle.

In Brazil, cash shortages are considered a labor right for employees who handle cash. However, the company is not required to pay the additional amount, as long as this condition is included in the employee's employment contract.

Cash flow breakdown: how does it work in each situation?

As we mentioned above, a cash shortage can refer to two situations: when there is no money in a cash register or when an excess amount is paid to those who handle cash at cash registers.

See how it works and how it is calculated in each situation:

Cash shortage in the financial context

In the financial field, a cash shortage refers to the discrepancy between the actual value of cash in a company's cash register and the amount recorded in the accounting control system. This disparity can manifest itself positively or negatively.

A cash flow shortfall occurs when the actual value of cash exceeds the recorded amount. This situation can occur for a variety of reasons, such as:

• Errors in counting or recording;
• Receipt of money not properly recorded;
• Unidentified loss of money.

A negative cash flow occurs when the real value of the money is lower than the registered amount, and is influenced by factors such as:

• Errors in counting or recording;
• Payment of money not properly recorded;
• Occurrence of theft or embezzlement of money.

As for calculating the cash shortage, this is done by subtracting the real value of the money from the registered amount, following the formula:

Cash Shortage = Real Value of Money – Registered Value

For illustration purposes, suppose a supermarket cashier starts his shift with R$ 1,000 in cash. At the end of the shift, after counting, he finds that there is R$ 1,050. The amount recorded in the accounting system is R$ 1,000. In this scenario, the cash shortage is positive and can be calculated as follows:

Cash outage = 1,050 − 1,000 = 50

Cash shortage in the labor context

In the labor context, a cash break is an additional amount paid to employees who handle cash on a daily basis. This amount is a form of compensation for the risk of financial loss in the event of errors or fraud.

The amount of cash shortage is freely defined by the company, but is generally calculated based on the employee's salary and the amount of cash they handle.

In Brazil, cash shortages are considered a labor right for employees who handle cash. However, the company is not required to pay the additional amount, as long as this condition is included in the employee's employment contract.

The cash break is paid monthly, together with the employee's salary.

What can cause a cash outage?

Cash shortages can be caused by several factors, which can be divided into two categories: human error and fraud and theft.

Human errors are the most common errors that can cause cash shortages. They can be committed by any cash-handling employee, including cashiers, managers, salespeople, and cleaners.

Some examples of human errors that can cause cash shortages include:

• Errors in counting or recording money;
• Receipt of unrecorded money;
• Payment of unrecorded money;
• Undetected loss of money.

Fraud and theft are intentional acts committed by employees or third parties to divert money from the cash register and this is seen as follows:

• Theft of money from the cash register;
• Misappropriation of cash from the cash register;
• Fraud in the issuance of invoices;
• Fraud in charging interest or fees.

In addition to these factors, cash shortages can also be caused by technical issues with the cash control system. For example, a system error could lead to a discrepancy between the actual cash value and the recorded value.

To prevent cash shortages, it's crucial that companies adopt internal control measures. This includes training employees on cash control policies and procedures, conducting periodic cash counts, using effective accounting control systems, and implementing security measures to protect cash.

These actions not only help avoid discrepancies between the actual value of money and the recorded value, but also strengthen the financial integrity of the company.

CLT X cash shortage: what you need to know

For those who work under CLT, it is important to pay attention to some details regarding cash flow breakdowns.

When it comes to the labor value to be received, there are details that are essential for your rights to be preserved.

This is a right guaranteed by labor law, designed to provide employees who directly handle money with additional compensation. This compensation aims to mitigate the financial risks associated with potential errors or fraud in the handling of financial resources.

The amount corresponding to the cash shortfall is determined by the company, and it has the discretion to establish this amount. Typically, this amount is calculated taking into account factors such as the employee's salary and the amount of cash they handle in their daily activities.

I'm out of money in my cash register: what should I do?

If you notice a cash shortage in your cash register, it's important to take quick and effective action to address the situation:

• Make sure the discrepancy isn't the result of a counting or recording error. Perform a careful check to confirm the missing cash.
• Review recent transactions to identify any possible errors or irregularities that may have contributed to the missing funds. This includes checking receipts, sales records, and other relevant documents.
• Immediately inform management or the relevant department of the discrepancy. Prompt communication is essential to begin troubleshooting and avoid future complications.
• Make a formal record of the missing funds, detailing the circumstances and the steps you're taking to resolve the issue. This record can be crucial for future investigations or audits.
• If you work in a team, share information about the lack of funds with colleagues and supervisors. Collaboration is essential to identify possible causes and solutions.
• Review internal policies and procedures related to cash handling. Ensure that you and your team are following best practices and, if necessary, propose improvements.
• Collaborate with any internal investigation the company may conduct to understand the source of the missing funds. Be willing to provide information and cooperate fully.
• Based on the investigation's findings, implement corrective measures to prevent similar issues from occurring in the future. This may include adjusting procedures, additional training, or reinforcing security measures.

Remember that transparency, communication, and swift action are key when dealing with a cash shortage. By following these steps, you'll be actively working to resolve the situation and prevent future problems.

What are the rights of a cashier?

Cashiers have the same labor rights as any other Brazilian worker, according to the Consolidation of Labor Laws (CLT).

In addition to general rights, cashiers also have some specific rights related to their role.

The general rights are:

• Salary compatible with the role performed;
• Payment for overtime hours worked;
• Paid weekly rest;
• Paid annual leave;
• 13th salary;
• FGTS;
• INSS;
• Unemployment insurance;
• Protection against arbitrary dismissal;
• Right to strike.

Regarding specific Rights, there is the Cash Break.

The cash break, as we are showing in this case, is an additional amount paid to cashiers as compensation for the risk of suffering financial losses in the event of errors or fraud.

The amount of cash shortage is set by the company, but is generally calculated based on the employee's salary and the amount of cash they handle.

What is the value of the cash break?

The amount of cash shortage in the labor context is defined by the company, but is generally calculated based on the employee's salary and the volume of cash they handle.

Normative Precedent No. 103 of the Superior Labor Court (TST) establishes that the cash shortage bonus must correspond to 10% of the employee's salary. This amount is considered a reference, but companies may pay a higher or lower amount depending on their internal policies.

For example, let's say a gas station pays a cashier's bonus of 15% and the attendant earns R$ 2,000.00 per month. In this case, the bonus would be R$ 300.00.

How to calculate cash flow?

In the labor context, cash shortages are calculated based on an employee's salary and the amount of cash they handle. Here's the formula:

In the labor context, cash shortages are a right of employees who handle money.

In the financial context, a cash shortage is a financial loss that can occur for a variety of reasons.

How to avoid cash shortages?

Avoiding cash shortages in the financial context is crucial to maintaining a company's financial integrity and stability. Here are some practices and measures that can be adopted to minimize the risk of cash shortages:

• Implement robust internal control systems, including clear procedures for cash handling, transaction recording, and regular reconciliation.
• Provide adequate training to cash handling employees, ensuring they understand internal policies, counting procedures, and the importance of transaction accuracy.
• Establish and maintain strict security policies to protect your cash register from theft and fraud. This may include the use of security cameras, access control, and preventative measures.
• Conduct periodic audits to verify compliance with internal policies, identify potential procedural flaws, and detect any irregularities.
• Use automated systems to track financial transactions, thus reducing the possibility of manual errors and improving the efficiency of accounting control.
• Limit physical and digital access to the cash register to authorized employees only. This helps prevent unauthorized manipulation and ensures a proper audit trail.
• Periodically review cash handling processes, adjusting them as needed to adapt to changes in operations or to improve efficiency and security.

Frequently asked questions

Check out some very common questions on the subject:

If there is no money in the cash register, does the operator have to pay?

Not necessarily. If there's a shortage of cash, the company must investigate to determine the cause. If the shortage is caused by human error, the employee can be held liable for the shortfall, provided their fault is proven.

Does a cash shortage give just cause?

A cash shortage may be considered just cause if it is caused by the employee's gross negligence. Gross negligence is a legal concept that refers to willful or negligent conduct that causes serious harm to the employer.

For the cash shortage to be considered gross negligence, the employee must have committed some unlawful or reckless act, such as:

• Fraud or misappropriation
• Embezzlement
• Inadequate cash management
• Disregard for cash control rules and procedures

If the cash shortage is caused by human error, the employee cannot be dismissed for just cause.

Is the cash register break at the supermarket mandatory?

Cashier breakages, in the context of supermarkets and commercial establishments, are not required by law. They are a practice adopted by companies as a security and financial control measure.

Cash breakage is a compensation given to employees who deal directly with cash, to cover any differences between the amount recorded in the accounting system and the actual value of the cash in the cash register.

Is the cash break for gas station attendants mandatory?

The right to cash shortage compensation for gas station attendants may vary depending on local legislation and company policies. In some cases, gas station attendants may be entitled to this compensation, while in others, they may not.

Cash breakage is generally granted as a way to compensate workers who directly handle cash for the risks associated with possible counting errors, theft, or other discrepancies.