The efficiency of a product is very much depending on how you use it. In a word, I can say that any product is as good as his handler or user. The same policy is also applicable to the software industry. This is the reason each year’s top software company spend millions of dollars on HCI, to make sure the people feel very connoted to the product. Tally software is no different from this also. They follow the best HCI design but, the truth is still software is very much depending on the user. The more efficiently you use the software, more workload it can take.
How to use Tally efficiently
If you want to use any software you need to have a proper knowledge about it, half knowing will not going to help in any matter. Even half knowing may harm you more. So I will give you two stages of knowledge, in one I will give you basic information about how to create a company, enable GST service and how to create the ledger. In the 2nd part, I will show you some advanced topic such as how to create Receipt Entry in Tally, how to create journal entries in tally and How to create Contra Entries in Tally. Ok now move to the 1st part.
How to create Company in Tally
So at the very first go the gateway of Tally, now use the shortcut on key broad by pressing Alt + F3 and you will see the option of creating the company. AS you have created the company, now you have to enter the basic information such as the company’s name, a region of the company, mailing name, and address of the company, currency etc. Next step you have to go the maintain. In here you have to select Accounts Only or Accounts with Inventory as per your company demands. After that you have to move to the Financial Year from, This one is a bit tricky as you have to select the first day of the current financial year. Now you have to enter the Tally Vault Password, it is the most important thing in this whole process to set a password . in the very end, press Y accept and save.
Enable the GST in Tally
To enable the GST in tally you have to go to Gateway of Tally, now press F11 to enter the Features, after you have entered into the features press F3 to enter the Statutory & Taxation. Now you will find the following options on the there:
- Enable goods and service tax (GST)
- Set/alter GST Details
Press Y(Yes) for both of them. You have enabled the GST for your company. After this, you will find another screen where you can set GST details of the company. Set the details and press Y accept and save.
How to create ledger In Tally
Ledger is the place where you make all your accounting entries. But to get there first you have to create the company and enable the GST. So here is how to create ledger in Tally.
Go to Gateway of Tally first from there you select Accounts Info. Now you will see the option of creating Ledgers. So you create ledger here. You can create multiple ledgers and give a name for each ledger. You can create ledger as your company wants to create such as purchase, sales, state tax, central tax, integrated tax, stock item names etc. Now you have to be care full while selecting the group. You must select the group appropriate ledger. In the end you just all the related information required and press Y to accept and save.
How to create Receipt Entry in Tally
To create recipes entry in Tally you have to go the accounting voucher, in first you have to enter the date and type of the receipt. After that, you will see a receipt voucher, select that. After doing so, Tally will present you with to option.
- Single mode entry
- Double mode entry
For single mode entry select payment by cash or bank, then pout receipt from by pressing Ale C. And for double enter press F12 to configure and put the single entry no and put the debit card to yes if needed. Press enter to save and accept.
How to create Journal Entries in Tally
Now we will learn how to create journal entries in Tally ERP. You make journal entries first you go to the Gateway of Tally, now click on Accounting vouchers. You will see another window on the screen, now press F7 to create a journal and you have to create debit ledger and credit ledger. Now you have put the amount in it. Now press enter to end this process.
Let me, give you something more journal entries. I have seen people misplace the journal entries. Well, you have to understand that all entries are not journal entries. You do not have to put sales, bank, cash or purchase entries in the journal.
How to create Contra Entries in Tally
Before you enter the contra entries, you have to understand what are the contra entries. People have less understanding about the Contra entries. I have seen them misplace the entries. So, I will make it easy for them, give them a straight answer which type of This four types of transaction always remains under the contra entries. Here they are
- From bank account to cash account.
- From cash account to bank Account.
- From bank account to another bank account.
- From Cash account to another Cash account.
I just want to discuss the last one this following because first three seems to very straight forward to me. The last one only happens when transferring money from one branch to another branch of the same company with hard cash. No, I will move how to create contra entries in Tally.
Now you will need two different ledgers for this action one is bank account and another one is cash account. But you only have to create one ledger because cash account is already created in Tally. So you only have to create one ledger which is the bank. So here is how you will create bank ledger
You have to go to Gateway of Tally, you select Accounts Info after that. Now you will see the option of creating Ledgers. So you create ledger here. You name the ledger Bank ledger. After that, you have to press F12 to enter into the configure, from there you put single entry number, Put the debit cards, Press Yes. Now press enter and save. To give you a good suggestion, you should pass double entry to prevent any errors.
There are many more tricks and helps you may need. But these three are the main point, that is needed the most or people get confused the most. All the topics of the Tally cannot be explained in a single article. For this reason, I am thinking about writing a new content with every single guideline you need to use Tally ERP system properly
I feel like my job here is almost done. I also know that you guys will face some difficulty while performed these things. Do not feel shame to ask me in the comment section. I will answer all your question there