New Hotel Finance Audit Template

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Revenue

1. On a daily basis, does hotel finance assistant agree the revenue report from the PMS to each revenue source as listed below and resolve any discrepancies? i) Food and Beverage revenue, to the outlet sales & EPOS summaries ii)Telephone revenue, to the telephone report iii) Meeting & Events revenue to the BEO contracts for the day (if relevant) iv) Leisure & Spa revenue to the EPOS system (If relevant) v) Car park revenue (If relevant) vi) Other revenue sources (If relevant)"
2. Are all House use, complimentary & zero rate rooms: i) Reviewed by the Revenue/Commercial Mgr/GM for every business day? ii) Are reasons for these rooms recorded in the PMS?"
3. On a daily basis are room rates reviewed: i) To identify if the rate booked was the actual rate paid? ii) Are any anomalies followed up on a timely basis?
4. On a daily basis is every bedroom status checked: i) By housekeeping to check it is correct? ii) Are any discrepancies investigated with the front office?
5. Are all Out-of-Service & Out-of-Order rooms: i) Reviewed on a daily basis by the Revenue/Commercial manager/GM?
6. Prior to the commencement of all meetings & events: i) Is a written agreement which includes rates, numbers, terms and conditions, authorised by both the client and a hotel representative? ii) Does the GM (or appropriate designate) approve any deviations from the standard contract term by signature? iii) Is a deposit obtained in line with this contract and the hotel's credit policy? If hotel has no M&E mark this question NA."
7. Is every meeting & event invoice: i) Reconciled by the M&E department to the function sheets (BEO/contract & amendments)? ii) Are any differences investigated and approved by the meetings & events manager or Revenue/Commercial manager?
8. Are all Point-of-Sale systems (EPOS) : i) Void reports reviewed on a daily basis? ii) Voids (over £10) brought to the attention of the Outlet Manager? iii) Does the GM receive & review the monthly void report ? Where possible reports should be scheduled on a daily basis.
9. If the hotel has a Leisure Club or Spa: i) What are the current number of members? ii) What are the membership prices? iii) How many memberships are frozen? iv) What is the average membership spend for the prior month?
10. Food and beverage allowances: i) Is a report generated by the EPOS or PMS system which includes all complimentary food and drinks for management, personal consumption, guest relations, HR, S&M, or employee relations? ii) Does each EPOS receipt explain the reason for the allowance, and is there backup or the signature of an authorised employee? iii) On a daily or weekly basis does a member of the hotel finance team review the report and supporting checks for validity? iv) Is the monthly F&B allowance report sent to the GM for review & approval? "
11. For all revenue adjustments (negative postings): i) Is a negative posting report generated from PMS & reviewed to ensure that all adjustments have received the appropriate approval? ii) Is a documented explanation provided for every revenue adjustment in the PMS? iii) Does the GM receive & approve the monthly negative posting report? "
12. Is the daily revenue in SUN checked to confirm it balances to the PMS?
13. Is access to the PMS & all EPOS systems: i) Restricted to permitted personnel with the use of individual passwords, an access card or fingerprint? ii) Are all staff using their own password/access cards and are the passwords/access cards not used by others? iii) Are team member access levels restricted to reflect their specific roles e.g. Team member/Supervisor level? iv) Are leaving team members removed & new employees added to the system immediately? v) Is the user report checked regularly? Note: EPOS refers to any system or terminal including front office, F&B, Leisure, SPA etc. "

Accounts Receivable

14. Have all open PMS Sales ledger accounts been approved for credit?
15. Prior to credit being granted to a customer: i) Is the organisation credit checked via CROL? ii) Are all front office and sales team members aware of and have access to the credit policy? In order to answer YES, both elements must be satisfied.
16. Are sales ledger invoices sent out on a daily basis and digitally saved?
17. Are guaranteed methods of payment: i) Taken for all guests, at check-in? (unless credit has been preapproved or Brand loyalty exclusion applies) ii) Are all meetings, events & groups fully prepaid or preauthorised on a credit card? (unless credit has been preapproved) iii) Is there a secure "Pay by Link" facility in use to request payments from 3rd parties? (for card not present transactions)
18. On a daily basis, is the ""Guest Ledger High Balance Report"" (Over Credit Limit Report): i) Run from the PMS?. ii) Where any rooms\folios exceed the pre-authorised amount, is payment of the account obtained or a new authorisation processed? In some hotels where the payment systems are integrated, this may be performed automatically.
19. Are all house & PM rooms (Paymasters) in the PMS: i) Room related PM's reviewed daily by Front Office and payment chased where necessary? ii) Meeting & events related PM rooms reviewed daily by the M&E team and payment chased where necessary? iii) All PM's reviewed at least weekly by the finance assistant with any outstanding debit accounts over 7 days old escalated to the GM & revenue/commercial manager? Where no official credit account has been set up & prepayment or preauthorisation has not been received, this is unauthorised credit, is high risk and will be provided for as bad debt in the hotel accounts.
20. Are reconciliations of the following ledgers documented at the prescribed intervals and discrepancies resolved promptly: i) Guest ledger? ii) Sales ledger? iii) Advance-deposit ledger? This relates to SUN account balances being reconciled with the PMS Trial balance on a weekly basis

Credit Cards

21. Is a reconciliation performed on a daily basis to verify that: i) The credit card revenue (by type) in the PMS equals the amounts transmitted to the credit card providers/ processors? ii) Where variances occur is appropriate action taken immediately?
22. Are daily reconciliations for each credit card type carried out: i) Between amounts posted in the PMS & EPOS vs. actual card receipts? ii) Between card receipts and the processing company (Barclaycard/AMEX/Opayo/other) online portal? iii) Are all variances investigated and resolved in a timely manner?
23. For each and every refund carried out to a credit card are the following procedures followed : i) Is a reason for the refund documented and signed as authorised by a senior manager? ii) Is a copy of the original charge receipt or bank evidence reviewed to confirm that the refund has been applied to the card previously charged? (exception is ApplePay/GooglePay) iii) Does the finance assistant review every refund for validity and investigate any concerns?
24. In order to ensure completeness of credit card refunds: i) Is every card refund processed through the PMS/EPOS matched to a written card refund authorisation form? ii) Are all card refunds on the banking portals (Barclaycard/AMEX/Other) checked to ensure all are all authorised? iii) Does the Finance assistant authorise this matching on at least a monthly basis?
25. Mobile PDQ terminals: i)Are these stored securely at all times and locked away when the department is closed? ii) Are these either prevented from processing refunds or pass coded for refunds (supervisor cards are not permitted for refunds)"
26. Card payment receipts: i) Is the card number shielded? ii) Are the card receipts & room checks kept securely (locked in the till or drawer) during the shift?"

Cash & Bank

27. Foreign exchange: i) Are all cash handling team members aware that foreign currency is not accepted or exchanged?
28. Chargebacks: i)Is a file in place with details of each chargeback claim ii) Does this include the defence correspondence and backup documentation for each case?
29. Cash Management: i) Is all cash banking deposited in the safe promptly (after each shift)? ii) Does the front office manager ensure that deposits are collected regularly & transported to the bank in a secure manner? iii) Are appropriate security precautions and training in place for the handling of cash (appropriate to value, location and the prevailing security environment)? iv) Are banking's prepared in a secure area covered by CCTV & with access restricted to approved personnel only? Where automated cash deposit safes are in use, mark this question NA.
30. Safe Security: i) Is access to the main safe restricted to essential personnel? i) Who changes the safe codes? ii) When were they last changed? Iii) What frequency are they changed? Emergency access - An emergency code or key should be stored securely in the event of an emergency for GM use.
31. If there is a drop safe, is access to open the drop safe (containing the cash deposits): i) Restricted to the Nights manager and supervisors? Where automated cash deposit safes are in use, mark this question NA.
32. If there is a drop safe - Each business day, does: i) Nights manager/Supervisor and a witness sign in the logbook for the number of envelopes found and removed from the drop safe? ii) Does the Nights manager/supervisor agree the number of envelopes to the logbook and report any discrepancies to the GM & RFC? Where automated cash deposit safes are in use, mark this question NA.
33. If there is a drop safe, is each remittance envelope: i) Securely sealed prior to depositing in the drop safe at the front office? ii) Are the cash envelopes completed correctly with details of the outlet, shift, employee name, contents, date & time? iii) Are the remittance envelopes signed? Where automated cash deposit safes are in use, mark this question NA.
34. On a daily basis, does the finance assistant reconcile the PMS/EPOS banking summary with the actual cash deposits? Where automated cash deposit safes are in use, the portal should be used to check the deposits have been made.
35. Prior to reimbursing/replenishing the petty cash float: i) Does the Front office/Nights manager or supervisor review each petty cash voucher & the supporting documentation for legitimacy and compliance to policy? ii) Is each petty cash voucher signed as evidence of approval? iii) Is a petty cash summary report provided to the GM at month end for review and approval? Where petty cash is not in use, mark this question NA.
36. Where revolving/rotating floats are used (floats that are passed from one shift to the next): i) Are the floats counted during the shift handover with both team members signing to evidence the amount handed over and received? If you do not use floats, mark this question NA.
37. On at least a monthly basis, are all hotel floats: i) Counted by a responsible person? ii) Is a float analysis completed, showing the value of each float and the total value of all floats held in the hotel? iii) Is the monthly float analysis sent to the GM for approval? iv) Is the monthly float analysis saved on SUN for central review?
38. Does the float amount held in the hotel, match the balance sheet value?
39. Are all individual cash overs & shorts (arising from banking's or floats): i) Reviewed by the finance assistant on a daily basis? ii) Investigated, explained and documented on the daily backup? iii) Are all individual cash discrepancies over £10 reported as per the policy? iv) Is the monthly cashier overs/unders report sent to the GM for review and approval? For hotels who are cashless, mark this question NA.

Purchasing

40. Does the hotel have a documented purchasing policy/procedures? i) Standard purchasing policy? ii) Petty cash purchasing policy? iii) Emergency purchasing policy? iv) Do all orderer's have access to the purchasing policy & procedures?
41. Is there a Delegation of Authority (DOA) established which: i) Sets approval levels on all purchases? ii) Is at a suitable level? iii) Are all purchases approved in accordance with this DOA?
42. Are hotel contracts administered appropriately: i) In place to cover high value, repeat purchases? ii) Is there a log of central contracts maintained, containing all key relevant contract information such as cost by hotel & T&C's? iii) Are the contracts reviewed by the procurement team annually, as a minimum?
43. EPSYS i) Is the EPSYS KPI report reviewed monthly and action taken to clear unreconciled orders? ii) Are deliveries of food and beverage goods receipted within 48 hours? iii) Are all credit requests processed immediately & current? iv) Have PO2's been cleared from EPSYS, where the invoice has been manually processed?
44. On receipt of goods into the hotel are: i) The goods received matched to the delivery document? ii) The details on the delivery document (quantity, quality, price) matched to the purchase order?

Accounts Payable

45. For PO2 & non EPSYS invoices - Does the Accounts assistant: i) Match the purchase order, delivery note and invoice? ii) Ensure that explanations are documented for any variances? iii) Correctly code the invoice prior to posting? iv) For non EPSYS orders (TAC/Contracts) are these signed off by the relevant authoriser prior to posting? v) Use the correct AP posting journal to correctly calculate the VAT & highlight any errors?
46. Purchase Invoices: i) Are the monthly purchase invoices for all utilities, brand, TAC, rates & prepayments saved in the SUN audit folder? ii) Are the supplier invoices correctly named for the auditors?
47. Is posting of supplier invoices to the general ledger performed by an individual who is not involved in the authorisation of the payment listing?
48. For all AP Payments: i) Does the FD, company accountant or Head of accounting approve all EFT file or wire transfers? ii) Are all OTV's checked against their backup for validity and approved by a senior finance team member? iii) Are all bank payment files prepared and checked by the Treasury accountant prior to being finally approved for payment?
49. Brand travel agents commission, loyalty & other brand invoices: i) Is the monthly brand invoice reviewed and approved for payment by the reservations or revenue manager? ii) Are all other TAC commission invoices reviewed and approved for payment?
50. Change of bank details: i) Are all change of bank detail notifications on official company letter head & checked to ensure they are legitimate (by ringing the known company contact on a confirmed number)? ii) Is the information double checked by a senior member of the central finance team?

Payroll

51. Payroll: i) Are wage and position changes, including new employees appropriately approved via an authority to recruit? ii) Are all salary amendments documented & approved? iii) Is the payroll processor prevented from having access to change employee data in the pay systems?
52. Holidays: i) Are holidays planned across the year and managed in line with the business needs? ii) Are there any employees with minus hours on the holiday report? If so have these been approved by the GM? iii) What % of holidays remain unused at the time of audit?
53. Payroll control: i) Do departmental managers have access to the following months forecast information for them to assess their staffing requirements? ii) Do departmental managers prepare the employee schedules 6 weeks in advance and in line with business requirements? iii) Does the finance assistant enter the budget, forecast & actual data into the scheduling system on a weekly basis? iv) Are the weekly payroll productivity & costing reports reviewed by the GM/Ops manager and action taken where variances are indicated?
54. Prior to the payroll being approved: i) Are the payroll records checked for accuracy? ii) Are any reasons for material variances to the previous payroll reviewed?
55. For each and every payroll run: i) Does the GM review and approve all overtime? ii) Does an employee independent of the preparation and distribution of the payroll perform a documented reconciliation between the net payroll amount and the total paid through the bank and are any discrepancies documented and investigated? iii) Does the GM approve every payroll run?
56. For staff incentive payments: i) Have allincentives been centrally approved via the approved incentive form? ii) Is a record/activity log in place to support each payment? ii) Is the value fairly distributed to eligible staff members as per any agreement or policy (TMCC/Incentive form/agreement)? iii) Does the payment comply legally with all payroll taxes and deductions made? iv) Are all payments reviewed and approved monthly by the GM? If staff incentives are not operational in this hotel, mark the question NA.

Inventory

57. Food stock. i) What is the food stock valuation? (most recent stocktake) ii) How many days stock does this represent & how does this compare with the company average & hotel target?
58. Beverage stock: i) What is the beverage stock valuation? (most recent stocktake) ii) How many days stock does this represent & how does this compare with the company average & hotel target? iii) Are over stocked items reviewed and is there an action plan in place to reduce these? iv) Is there evidence of overstocked items being purchased recently?
59. Are inventory stores & storage rooms: i) Secured by lock and key? ii) Is access restricted to assigned individuals? iii) Is a documented key policy in place?
60. Is there a cellar management system in place (software for stock management): i) Is it updated for purchases received and requisitions made in a timely manner? ii) Are stock counts of food and beverage taken at agreed intervals and are the reports reviewed and any remedial action taken? For single bar/cellar operations mark this question as NA
61. For each of the bars & restaurants: i) Are par liquor inventory levels established and in operation for each outlet? ii) Are orders processed based on the par stock levels to ensure these are maintained?

Reporting

62. Are balance sheet reconciliations prepared: i) On a monthly basis? ii) On a quarterly basis are these accompanied by all supporting documentation & reconciliations? iii) On a quarterly basis, are these reviewed and certified by the regional FC's? iv) On a quarterly basis, are these reviewed and certified by the GM's? v) Are all reconciling items investigated and resolved on a timely basis?
63. On a monthly basis, is an analytical review of the P&L completed: i) Including a review of revenue, costs, margins and movements comparative to budget, prior year & forecast? ii) Is a commentary completed with the explanations for any variances for each department?
64. Finance checklist - Does the finance assistant complete their tasks on the checklist on the correct schedule?

Information Security

65. Are documents containing sensitive guest & employee data (e.g. credit card details, registration cards, correspondence, HR forms etc.) stored in a secure location at all times?
66. i) Is access to all IT networks & systems restricted to permitted personnel with use of unique ID's & protected by a password or an individually assigned access card? ii) Are the system user ID's on all critical and sensitive systems reviewed to ensure that access privileges are appropriate? iii) Are accounts that are no longer required removed immediately?
67. Are the hotel systems kept physically secure: i) Hotel systems are located in a secure area? ii) Access to the secure area is restricted to authorised members of staff? iii) A record is maintained of who has access? iv) Access is reviewed at least quarterly and removed when a team member leaves?
68. Are the hotel systems kept logically secure: i) All passwords are regularly changed and secure? ii) Guest facing services and devices are never connected to the hotel's back office network? iii) Network ports in public areas are not connected to the hotel back office network? iv) Only approved methods are used to provide remote access to the hotel systems?
69. Can the hotel recover data in the event of a major system failure or disaster: i) Are systems backed up daily? ii) Is the location for storing backup media kept secure?
70. Software i) Is all software used by the hotel licensed? ii) Is an inventory kept showing all local software purchases? iii) Is proof of purchase documentation such as a licence agreement retained for all local software purchases?
71. Have all employees completed GDPR training : i) Are the GDPR training activities documented? ii) Are the names of employees who participate in the training recorded?

Balance Sheet

72. Have all cash & credit card banking's (over 3 weeks old) been allocated on account 1402100
73. Accruals & Prepayments: i) Have all accruals been checked for validity and accuracy? ii) Have all prepayments been checked for validity and accuracy?
74. Change orders: i) Have all change orders been repaid to the bank? ii) Have all change orders (over 2 weeks old) been allocated on accounts 1409125/1402100? iii) Does the hotel have excess/sufficient change?
75. Bad debt: i) What is the bad debt provision YTD and is there any material risk in overdue debt? ii) What is the bad debt written off value YTD?

Security (Systems Access)

76. Are all orderer's are set up correctly in EPSYS and no leavers active?
77. Check master key access list - Are all current employees? (pay special regard to server room, safe rooms & liquor stores)
78. Review SUN Systems, user log - Are all current employees?
79. Check PC's for key catchers

New Hotel Finance Audit Template

Go digital today!

Convert your paper checklists into digital forms

Revenue

Accounts Receivable

Credit Cards

Cash & Bank

Purchasing

Accounts Payable

Payroll

Inventory

Reporting

Information Security

Balance Sheet

Security (Systems Access)

Related checklists

New Hotel Finance Audit Template

Free New Hotel Finance Audit Template Checklist

Go digital today!

Convert your paper checklists into digital forms

Revenue

Accounts Receivable

Credit Cards

Cash & Bank

Purchasing

Accounts Payable

Payroll

Inventory

Reporting

Information Security

Balance Sheet

Security (Systems Access)

Related checklists