Accounting

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How to Make Accounting Entries for Sales Invoices in Tally Accounting Software

Posted on by Fastlegal Team

Making accounting entries for sales invoices in Tally accounting software is a straightforward process. Tally is widely used for its user-friendly interface and efficient accounting features. Here’s a step-by-step guide on how to make accounting entries for sales invoices in Tally:

Step 1: Open Tally Software

Launch the Tally software on your computer and log in to your company’s account.

Step 2: Create Sales Ledger

If you haven’t created a sales ledger for your customer, you need to set it up. Follow these steps:

  1. Go to Gateway of Tally.
  2. Select “Accounts Info” > “Ledgers” > “Create.”

Enter the name of the customer under “Name” and choose the appropriate group, such as “Sundry Debtors.” Save the ledger.

Step 3: Create Sales Invoice

  1. Go to Gateway of Tally.
  2. Select “Accounting Vouchers” from the main menu.
  3. Choose “Sales Voucher” (Shortcut: F8).

Step 4: Enter Sales Invoice Details

  1. Party A/c Name:
    • Select the name of the customer from the list.
  2. Sales Ledger:
    • Choose the sales ledger you created earlier.
  3. Stock Item or Account:
    • Enter the name of the product or service sold.
  4. Rate:
    • Input the unit selling price.
  5. Quantity:
    • Enter the quantity of items sold.
  6. GST Details:
    • If applicable, enter the GST details for the sale.
  7. Narration:
    • Add any additional information or notes related to the sale.

Step 5: Save the Sales Invoice

Press “Enter” to save the sales invoice entry.

Step 6: View Accounting Entries

  1. To view the accounting entries, go to “Display” > “Daybook.”
  2. Select the date on which you created the sales invoice.

Here, you can see the accounting entries for the sales invoice, including the debit to the sales ledger and credit to the customer’s ledger.

Step 7: Verify Reports

To verify the sales entry in reports:

  1. Go to “Display” > “Statement of Accounts” > “Outstanding” > “Receivables.”
  2. Select the customer’s name to view the outstanding amount.

Congratulations! You’ve successfully entered a sales invoice in Tally. Repeat these steps for each sales transaction, and your financial records will be well-maintained in the software.

Remember that this guide assumes you’ve set up your Tally software and created the necessary ledgers. If you haven’t, it’s recommended to consult Tally documentation or seek assistance to ensure accurate and compliant accounting practices.

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How Accounting Can Help You to Grow Your Business

Posted on by Fastlegal Team

7 Benefits for Outsourcing Accounting of Your Company

1.     Focus on Income Generation Activities  

A specialist finance and accounting services company would give utmost priority to manage the business of their customers well. If this function is executed in-house, or  it would be of secondary importance to the business, and revenue generating processes would be given the priority. Hence, outsourcing your finance and accounting process would ensure that the tasks are safe hands and are given the importance they deserve.

 2.     Lowers Costs 

Outsourcing is that you can keep pace with advanced technology solutions at lesser costs. A proficient finance and accounting outsourcing company may be able to provide the improved technology for less than the cost of the firm’s old technology. The costs could be even lesser than the upgrade costs that the business would have to invest in.

4.  Special Expert Team 

Your business can take advantage of the fact that the outsource is likely to have a much larger and more specialized staff than you do. The provider can ensure that there is a small group of expert outsourced accountants working on its projects at crucial times or for complex rules and regulations. This would probably never be cost effective if done in-house.

 5.     Minimizes Risks:

By freeing up intellectual and financial capital, outsourcing F&A can help minimize risks. Here’s how:

6.     Shifting the Burden of Risk:

When you shift functions to an outsource, you also shift the associated risks, to them. This is because, it is the responsibility of the outsource to deliver the functions without errors and on time. The client business need not handle risks such as expert employees falling sick before important deadlines or systems crashing at inappropriate times.

7.   Minimal Errors:

Errors in F&A could be anything ranging from wrong calculations to faulty accounting. It might be time-consuming and expensive for a firm to hire in-house staff to check possible errors in the processes. An outsourcing specialist will generally have multiple levels of review built into the F&A process. This means that they would be more likely to catch errors on time.