Training By Himanshu

Category: Tally ERP 9 Training

  • Mastering Voucher Entry in Tally ERP 9

    In Tally ERP 9, voucher entry is the process of recording financial transactions such as payments, receipts, sales, purchases, journal entries, contra entries, debit notes, credit notes, and payment advices. Here’s how to do voucher entry in Tally ERP 9:

    Steps to Perform Voucher Entry:

    1. Open Tally ERP 9: Double-click the Tally ERP 9 icon on your desktop to launch the software.
    2. Select Company: Choose the company for which you want to perform voucher entry from the list of available companies.
    3. Access Voucher Entry Screen:
    • Go to the Gateway of Tally (main screen).
    • Navigate to the appropriate voucher entry screen based on the type of transaction you want to record. You can access voucher entry screens using shortcut keys or through the menu options.
    • For example, press F9 for purchase voucher, F8 for sales voucher, F5 for payment voucher, F6 for receipt voucher, F7 for journal voucher, F4 for contra voucher, F10 for debit note voucher, F11 for credit note voucher, and so on.

    Enter Voucher Details:

    • Once you are in the voucher entry screen, you’ll see various fields where you can enter details about the transaction.
    • Fill in the date of the transaction in the appropriate field.
    • Select the account (ledger) that is being debited or credited in the transaction. You can type the first few letters of the account name to search for it.
    • Enter the amount of the transaction in the relevant field.
    • Repeat the process for additional accounts involved in the transaction.

    Save the Voucher:

    • After entering all the necessary details, press Ctrl + A or click on the “Accept” button to save the voucher.
    • Tally will validate the entries and save the voucher if there are no errors.

    View or Print Vouchers:

    • After saving the voucher, you can view it by going to the “Display” menu and selecting “Day Book” or “Vouchers.”
    • You can also print vouchers by selecting the voucher you want to print and clicking on the “Print” button.

    Tips for Voucher Entry in Tally:

    • Always ensure that the transactions are recorded accurately to maintain the integrity of your financial data.
    • Use appropriate ledger accounts for each transaction to ensure proper classification and reporting.
    • Review the voucher entries periodically to identify any errors or discrepancies.
    • Take regular backups of your Tally data to prevent data loss.

    Example:

    Suppose you want to record a payment transaction where you paid rent amounting to ₹10,000. Here’s how you would do it in Tally ERP 9:

    1. Press F5 to access the Payment Voucher screen.
    2. Enter the date of the transaction.
    3. Select the bank account from which the payment is made.
    4. Enter ₹10,000 in the “Payment” field.
    5. Select the “Rent Expense” ledger under “Particulars” and enter ₹10,000 in the “Amount” field.
    6. Press Ctrl + A to save the voucher.

    That’s it! You have successfully recorded the payment transaction in Tally ERP 9. Repeat these steps for other transactions as needed.

    Voucher Entry Examples:

    Type 1: Payment Voucher:

    • Example: Payment of electricity bill amounting to ₹5,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F5: Payment.
    2. Select the appropriate bank or cash account under “Account” field.
    3. Enter the amount of ₹5,000 in the “Payment” field.
    4. Select “Electricity Expense” under “Particulars” and enter ₹5,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 2: Receipt Voucher:

    • Example: Receipt of rent from tenant amounting to ₹10,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F6: Receipt.
    2. Select the appropriate bank or cash account under “Account” field.
    3. Enter the amount of ₹10,000 in the “Receipt” field.
    4. Select “Rent Income” under “Particulars” and enter ₹10,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 3: Sales Voucher:

    • Example: Sales of goods to ABC Traders amounting to ₹20,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F8: Sales.
    2. Select the sales ledger under “Account” field.
    3. Enter the amount of ₹20,000 in the “Amount” field.
    4. Select “ABC Traders” under “Particulars” and enter ₹20,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 4: Purchase Voucher:

    • Example: Purchase of raw materials from XYZ Suppliers amounting to ₹15,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F9: Purchase.
    2. Select the purchase ledger under “Account” field.
    3. Enter the amount of ₹15,000 in the “Amount” field.
    4. Select “XYZ Suppliers” under “Particulars” and enter ₹15,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 5: Journal Voucher:

    • Example: Recording depreciation expense for the month amounting to ₹2,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal.
    2. Select the depreciation ledger under “Account” field.
    3. Enter the amount of ₹2,000 in the “Amount” field.
    4. Select the appropriate ledger under “Particulars” and enter ₹2,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 6: Contra Voucher:

    • Example: Transfer of funds from Bank Account A to Bank Account B amounting to ₹50,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F4: Contra.
    2. Select Bank Account A under “From” field and Bank Account B under “To” field.
    3. Enter the amount of ₹50,000 in the “Amount” field.
    4. Press Enter to save the voucher.

    Type 7: Debit Note Voucher:

    • Example: Debit note issued to supplier for returned goods amounting to ₹7,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F10: Debit Note.
    2. Select the supplier’s ledger under “Account” field.
    3. Enter the amount of ₹7,000 in the “Amount” field.
    4. Select the appropriate ledger under “Particulars” and enter ₹7,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 8: Credit Note Voucher:

    • Example: Credit note issued to customer for returned goods amounting to ₹3,000.
    1. Go to Gateway of Tally > Accounting Vouchers > F11: Credit Note.
    2. Select the customer’s ledger under “Account” field.
    3. Enter the amount of ₹3,000 in the “Amount” field.
    4. Select the appropriate ledger under “Particulars” and enter ₹3,000 in the “Amount” field.
    5. Press Enter to save the voucher.

    Type 9: Payment Advice Voucher:

    • Example: Payment advice issued to a vendor for the upcoming payment.
    1. Go to Gateway of Tally > Accounting Vouchers > F10: Payment Advice.
    2. Select the vendor’s ledger under “Account” field.
    3. Enter the amount and other relevant details.
    4. Press Enter to save the voucher.

    These steps illustrate how to enter different types of voucher entries in Tally ERP 9 for various financial transactions. Make sure to select the appropriate ledgers and fill in the necessary details accurately to ensure accurate accounting records.

  • Types of Voucher Entry in Tally with Examples

    Type 1: Payment Voucher:

    • Purpose: Used to record payments made by the company, such as expenses, utility bills, salaries, etc.
    • Example: Payment of electricity bill amounting to ₹5,000.

    Type 2: Receipt Voucher:

    • Purpose: Used to record any incoming cash or cheques received by the company, including receipts from customers, interest received, etc.
    • Example: Receipt of rent from tenant amounting to ₹10,000.

    Type 3: Sales Voucher:

    • Purpose: Used to record sales transactions where goods or services are sold to customers.
    • Example: Sales of goods to ABC Traders amounting to ₹20,000.

    Type 4: Purchase Voucher:

    • Purpose: Used to record purchases made by the company, including inventory purchases, raw materials, etc.
    • Example: Purchase of raw materials from XYZ Suppliers amounting to ₹15,000.

    Type 5: Journal Voucher:

    • Purpose: Used for any miscellaneous transactions that don’t fit into the other voucher types, such as adjustments, provisions, depreciation entries, etc.
    • Example: Recording depreciation expense for the month amounting to ₹2,000.

    Type 6: Contra Voucher:

    • Purpose: Used to record transactions involving bank accounts or cash, such as bank transfers, cash deposits, cash withdrawals, etc.
    • Example: Transfer of funds from Bank Account A to Bank Account B amounting to ₹50,000.

    Type 7: Debit Note Voucher:

    • Purpose: Used to record transactions where the company receives goods returned from a customer or a supplier, resulting in a debit to the supplier’s account.
    • Example: Debit note issued to supplier for returned goods amounting to ₹7,000.

    Type 8: Credit Note Voucher:

    • Purpose: Used to record transactions where the company returns goods to a supplier or issues a credit to a customer, resulting in a credit to the customer’s account.
    • Example: Credit note issued to customer for returned goods amounting to ₹3,000.

    Type 9: Payment Advice Voucher:

    • Purpose: Used to record payment advices given to parties to facilitate payments, usually used in banking transactions.
    • Example: Payment advice issued to a vendor for the upcoming payment.

    These examples illustrate the various types of voucher entries available in Tally ERP 9 and their respective purposes in recording financial transactions.

  • Mastering Voucher Entry: Manual Accounting with Three Golden Rules and Examples

    Three Golden Rules of Accounting:

    1. Debit (Dr.):

    • The term “debit” refers to the left-hand side of an account.
    • Increase in assets, expenses, and losses are recorded as debits.
    • Decrease in liabilities, income, and gains are recorded as debits.

    2. Credit (Cr.):

    • The term “credit” refers to the right-hand side of an account.
    • Increase in liabilities, income, and gains are recorded as credits.
    • Decrease in assets, expenses, and losses are recorded as credits.

    3. Dual Aspect:

    • Every transaction affects at least two accounts, with a debit in one account and a credit in another.
    • The total debits must always equal the total credits.

    Steps for Voucher Entry (Manual):

    Step 1: Identify the Transaction:

    • Determine the financial transaction that needs to be recorded, including the date, parties involved, and the nature of the transaction.

    Step 2: Analyze the Transaction:

    • Apply the three golden rules of accounting to understand how the transaction affects the accounts involved. Identify which accounts will be debited and which will be credited.

    Step 3: Prepare the Voucher:

    • Write down the details of the transaction in a voucher format. Include the date, description of the transaction, the accounts affected, and the amounts.

    Step 4: Apply Double-Entry:

    • Record the appropriate debits and credits according to the three golden rules of accounting. Ensure that the total debits equal the total credits.

    Step 5: Calculate Balances:

    • Update the balances of the affected accounts by adding or subtracting the amounts based on the transaction.

    Step 6: Post to Ledger:

    • Transfer the details of the transaction from the voucher to the respective ledger accounts. Update the ledger balances accordingly.

    Examples of Voucher Entries:

    Example 1: Cash Purchase of Goods:

    • Debit: Purchases Account
    • Credit: Cash/Bank Account

    Example 2: Sale of Goods on Credit:

    • Debit: Accounts Receivable/Sales Account
    • Credit: Sales Account/Accounts Receivable

    Example 3: Payment of Rent:

    • Debit: Rent Expense
    • Credit: Cash/Bank Account

    Example 4: Receipt of Interest Income:

    • Debit: Cash/Bank Account
    • Credit: Interest Income

    Example 5: Payment of Salary:

    • Debit: Salary Expense
    • Credit: Cash/Bank Account

    These examples illustrate how transactions are recorded manually following the principles of double-entry accounting. Each transaction impacts at least two accounts, with one account being debited and another being credited. Recording transactions accurately is essential for maintaining the integrity of financial records and producing reliable financial statements.

  • Ledger Creation Examples in Tally ERP 9

    In accounting, a ledger is a principal book or record where all financial transactions of a business are recorded. It is essentially a collection of accounts, each representing a specific aspect of the business’s financial activities. Ledgers serve as the foundation for preparing financial statements and analyzing the financial health of a business.

    Components of a Ledger:

    1. Account Name: Each ledger account has a unique name that represents the type of transaction it records. For example, “Cash Account,” “Accounts Receivable,” “Sales,” etc.
    2. Date: The date of the transaction is recorded in the ledger to track when the transaction occurred.
    3. Description: A brief description of the transaction is included to provide context and clarity.
    4. Debit and Credit Columns: The ledger typically has separate columns for debit and credit entries. Debits represent amounts added to the account, while credits represent amounts deducted from the account.

    Creating a Ledger in Tally ERP 9:

    Here’s a detailed explanation of how to create a ledger in Tally ERP 9:

    1. Launch Tally ERP 9: Open the Tally ERP 9 software on your computer.
    2. Select “Accounting Vouchers”: From the gateway of Tally, navigate to “Accounting Vouchers” by pressing F2 or by selecting it from the menu.
    3. Choose “Ledger”: In the “Accounting Vouchers” screen, select the option for creating a new ledger. This is typically done by pressing Alt + C or selecting “Create” from the menu.
    4. Enter Ledger Details:
    • Name: Enter the name of the ledger. For example, if you’re creating a ledger for cash transactions, you might name it “Cash Account.”
    • Under: Specify the group under which the ledger will be categorized. Groups help organize similar types of accounts together. For example, a cash account might be categorized under the “Cash-in-Hand” group.
    • Address: Optionally, you can enter the address associated with the ledger.
    • GST Details: If applicable, enter GST-related details such as GSTIN, State, etc.
    • Opening Balance: If you’re creating the ledger at the beginning of a financial period and there’s an opening balance, you can enter it here.
    • Save: After entering all the necessary details, save the ledger by pressing Ctrl + A or selecting “Yes” when prompted to save.

    Examples of Creating Ledgers:

    Example 1: Cash Account:

    • Name: Cash Account
    • Under: Cash-in-Hand
    • Opening Balance: ₹1000

    Example 2: Sales Account:

    • Name: Sales Account
    • Under: Direct Income
    • Opening Balance: ₹0 (Sales accounts typically start with zero balance)

    Example 3: Accounts Receivable:

    • Name: Accounts Receivable
    • Under: Sundry Debtors
    • Opening Balance: ₹5000

    Example 4: Accounts Payable:

    • Name: Accounts Payable
    • Under: Sundry Creditors
    • Opening Balance: ₹2000

    Example 5: Bank Account:

    • Name: Bank Account
    • Under: Bank Accounts
    • Opening Balance: ₹5000

    Example 6: Rent Expense:

    • Name: Rent Expense
    • Under: Indirect Expenses
    • Opening Balance: ₹0

    Example 7: Salary Payable:

    • Name: Salary Payable
    • Under: Current Liabilities
    • Opening Balance: ₹0

    Example 8: Purchase Account:

    • Name: Purchase Account
    • Under: Direct Expenses
    • Opening Balance: ₹0

    Example 9: Office Equipment:

    • Name: Office Equipment
    • Under: Fixed Assets
    • Opening Balance: ₹50000

    Example 10: Loan Payable:

    • Name: Loan Payable
    • Under: Loans (Long-term Liabilities)
    • Opening Balance: ₹100000

    Example 11: Advertising Expenses:

    • Name: Advertising Expenses
    • Under: Indirect Expenses
    • Opening Balance: ₹0

    Example 12: Equity Capital:

    • Name: Equity Capital
    • Under: Capital Account
    • Opening Balance: ₹0

    These examples cover various aspects of a business’s financial transactions, including accounts for cash, sales, accounts receivable, accounts payable, bank balances, expenses, assets, liabilities, and equity. Properly setting up and maintaining ledgers in Tally ERP 9 ensures accurate financial record-keeping and reporting.

  • Education Mode and Company Creation and Management in Tally ERP 9

    Tally ERP 9 is a widely used accounting software that offers various features for managing financial transactions, inventory, and payroll, among other functions. It is often used by businesses of all sizes to streamline their accounting processes.

    When learning Tally ERP 9, users can access an “Education Mode” that allows them to familiarize themselves with the software’s functionalities without the constraints of real-world data. In Education Mode, users can explore all the features available in the software, but with certain limitations, primarily related to the dates.

    In Education Mode, the software restricts the user from entering dates beyond a certain range, typically limited to the first two days and the last two days of any given month. This restriction ensures that users focus on learning the software without inadvertently entering erroneous or irrelevant data.

    Here are some key points about Education Mode in Tally ERP 9:

    1. Feature Accessibility: All features of Tally ERP 9 are accessible in Education Mode. Users can explore various modules such as accounting, inventory management, taxation, and reporting.
    2. Date Limitations: The primary restriction in Education Mode is related to the dates. Users cannot input dates beyond the first two days and the last two days of any month. This limitation encourages users to practice within a controlled environment and prevents accidental data entry errors.
    3. Learning Environment: Education Mode provides a safe environment for users to learn and experiment with the software without the risk of affecting real financial data. It allows beginners to familiarize themselves with the software interface, navigation, and functionality.
    4. Training and Certification: Many educational institutions and training centers use Tally ERP 9 Education Mode to teach accounting and financial management principles. Students can practice accounting procedures, voucher entries, inventory management, and other tasks as part of their curriculum.
    5. Transition to Regular Mode: Once users gain proficiency and confidence in using Tally ERP 9, they can transition to the regular mode of the software, where they can work with actual financial data and perform accounting tasks for real-world scenarios.

    Education Mode in Tally ERP 9 serves as a valuable tool for beginners to learn accounting principles and software functionality in a controlled environment, enabling them to build skills and expertise in financial management.

    To create a new company in Tally ERP 9, you typically follow these steps:

    1. Launch Tally ERP 9: Open the Tally ERP 9 software on your computer.
    2. Select the Company Info Menu: Once Tally ERP 9 is open, you’ll see various options in the main menu. From the main menu, select “Company Info” or press Alt + F3.
    1. Create Company: In the “Company Info” menu, you’ll find an option to create a new company. Select the option that says “Create Company” or press Alt + C.
    2. Enter Company Details: After selecting the option to create a new company, you’ll be prompted to enter details about the company. These details typically include:
    • Company Name: Enter the name of your company.
    • Mailing Name: This is an optional field where you can enter a different name for mailing purposes.
    • Address: Enter the address of your company.
    • Country: Select the country where your company is located.
    • State: Select the state where your company is located.
    • PIN Code: Enter the PIN code or postal code of your company’s address.
    • Email: Enter the email address associated with your company.
    • Telephone: Enter the telephone number of your company.
    • Mobile: Enter the mobile number of your company.
    • Financial Year: Specify the financial year for your company. Tally ERP 9 will use this information for financial reporting purposes.
    • Books Beginning From: Enter the start date for your company’s books. This is typically the beginning of the financial year.
    • Security Control: Set up security controls such as password protection if desired.
    1. Save Company Details: After entering all the necessary details, review them to ensure accuracy. Once you’re satisfied, save the company details.
    2. Select Company: Once the company details are saved, you’ll be prompted to select the company you just created. Select the company from the list to start working in it.
    3. Begin Using Tally: Once you’ve selected the company, you can start using Tally ERP 9 to perform accounting and other financial tasks for your company.

    That’s it! You have successfully created a new company in Tally ERP 9 and can now begin managing your company’s finances using the software.

    Managing Companies in Tally

    In Tally ERP 9, managing companies involves tasks such as opening an existing company, altering company details, and deleting a company. Here’s a guide on how to perform these actions:

    Opening an Existing Company:

    1. Launch Tally ERP 9: Open the Tally ERP 9 software on your computer.
    2. Select Company Info Menu: From the main menu, go to “Company Info” or press Alt + F3.
    3. Select “Select Company”: In the “Company Info” menu, choose the option that says “Select Company” or press Alt + F1.
    4. Choose the Company: A list of existing companies will be displayed. Highlight the company you want to open and press Enter. Alternatively, you can double-click on the company name.
    5. Enter Company Password (if applicable): If the company is password-protected, you will be prompted to enter the password. Enter the correct password to access the company.

    Altering Company Details:

    1. Launch Tally ERP 9: Open the Tally ERP 9 software.
    2. Select Company Info Menu: From the main menu, go to “Company Info” or press Alt + F3.
    3. Select “Alter Company”: In the “Company Info” menu, choose the option that says “Alter Company” or press Alt + F4.
    4. Choose the Company: A list of existing companies will be displayed. Highlight the company for which you want to alter details and press Enter.
    5. Make Changes: You will now be in the alter mode. Make the necessary changes to the company details, such as the company name, address, or contact information.
    6. Save Changes: After making the alterations, save the changes by pressing Ctrl + A or selecting “Yes” when prompted to save.

    Deleting a Company:

    Note: Be cautious when deleting a company as this action is irreversible, and all data associated with the company will be permanently removed.

    1. Launch Tally ERP 9: Open the Tally ERP 9 software.
    2. Select Company Info Menu: From the main menu, go to “Company Info” or press Alt + F3.
    3. Select “Alter Company”: In the “Company Info” menu, choose the option that says “Alter Company” or press Alt + F4.
    4. Choose the Company: A list of existing companies will be displayed. Highlight the company you want to delete and press Enter.
    5. Delete Company: In the alter mode, press Alt + D or choose the option that says “Delete Company.” Confirm the deletion when prompted.
    6. Confirm Deletion: Tally ERP 9 will ask for confirmation. Confirm that you want to delete the company, and the company will be permanently removed.

    Remember to exercise caution, especially when deleting a company, as it removes all associated data. Always ensure you have a backup before making significant changes.

  • Tally.ERP 9: Introduction and Installation Guide

    Introduction to Tally.ERP 9:

    Tally.ERP 9 stands as a robust business management software solution meticulously crafted to streamline and automate various financial and accounting processes across businesses of diverse scales. Developed by Tally Solutions Pvt. Ltd., Tally.ERP 9 has gained widespread acclaim globally for its user-friendly interface, extensive features, and scalability.

    With Tally.ERP 9, businesses can proficiently manage a spectrum of financial transactions, inventory, payroll, compliance, and other pivotal aspects of their operations. This software furnishes an array of modules and functionalities tailored to suit diverse business requisites, enabling organizations to uphold precise financial records, generate profound reports, and make well-informed decisions.

    One of Tally.ERP 9’s primary strengths lies in its adaptability and flexibility across various industries and business environments. Irrespective of whether it caters to a fledgling startup, a mid-sized enterprise, or a corporate giant, Tally.ERP 9 can be meticulously customized and configured to align with specific requirements, thereby ensuring seamless integration with prevailing workflows and processes.

    From managing invoicing and taxation to facilitating budgeting and financial analysis, Tally.ERP 9 equips businesses with the requisite tools to remain compliant, enhance efficiency, and foster growth. Its intuitive interface and robust features empower users to navigate financial intricacies with ease, while its stringent security measures guarantee data integrity and confidentiality.

    Overall, Tally.ERP 9 stands as the preferred choice for businesses in quest of a reliable and efficient accounting software solution. With its continual updates and enhancements, Tally Solutions remains steadfast in its commitment to aiding businesses worldwide in streamlining operations and realizing their financial aspirations.

    How to Install Tally.ERP 9 from the Tally Official Site:

    1. Visit the Official Website: Initiate your web browser and navigate to the official Tally Solutions website. You can seamlessly locate it by entering “Tally Solutions” in your preferred search engine.
    2. Access the Downloads Section: Once you’ve reached the Tally Solutions website, head to the “Downloads” section. Typically, this section houses links for downloading the latest iteration of Tally.ERP 9.
    3. Select Your Edition: Tally.ERP 9 proffers a variety of editions, including Silver (for single users) and Gold (for multiple users). Evaluate your requirements and opt for the edition that best aligns with your necessities.
    4. Download the Installer: Click on the download link corresponding to the chosen edition. The website will provide explicit instructions for downloading the installer file.
    5. Save the Installer: Upon clicking the download link, your browser will prompt you to save the installer file. Elect a suitable location on your computer to save the file and initiate the download by clicking “Save” or “Download”.
    6. Execute the Installer: Following the completion of the download, navigate to the location where the installer file is stored on your computer. Double-click the file to commence the installation wizard.
    7. Follow Installation Instructions: The installation wizard will diligently steer you through the installation process. Pay heed to the on-screen prompts and instructions to seamlessly install Tally.ERP 9 on your computer.
    8. Activate the Software (if Necessary): Depending on the edition you’ve opted for, you may need to activate the software employing the license details furnished by Tally Solutions. Follow the activation process delineated during the installation or subsequent to its culmination.
    9. Complete the Installation: Once the installation and potential activation processes are concluded, you’re poised to commence utilizing Tally.ERP 9 for your accounting and business management exigencies.

    It is of paramount importance to ensure that you download Tally.ERP 9 exclusively from the official Tally Solutions website to avert any potential risks associated with downloading unauthorized versions of the software. Always adhere to the official instructions dispensed by Tally Solutions throughout the installation process to ensure a seamless experience.