Why does a hotel's profit not match what is in the cash box?

2026-11-02 | Intagya ERP

The owner reads a healthy profit in the report, opens the cash box and does not find the money. A call to the manager, a look through the book, and doubt sets in.

That does not have to mean a mistake. Profit and cash are two different figures.

What separates the two figures?

A night counts as revenue the day the guest stays, even if they pay at check-out or a company pays a month later. Purchases on credit count as expense before the money leaves. A deposit enters the cash box before it becomes revenue. When a company pays later, a supervisor moves the balance to its account before check-out, so no guest leaves with an open balance.

How do I read the gap each month?

1. Start from accounting profit.
2. Subtract revenue not collected yet.
3. Add purchases not paid yet.
4. Add advances for coming bookings.

The result is close to the cash you should expect, and what remains is what deserves a question.

Does a gap mean something is wrong?

Not always. A normal gap has a reason you can name: a guest who has not paid yet, or a supplier you have not settled. The gap with no reason is the one to check.

What about shift differences?

A gap not found on the day cannot be explained a week later. So each shift closes with a count of every payment method, the reason is written before closing, and it reaches the owner board and the accounts at once.

Do not compare profit with the cash box directly. Compare the result of these steps.