In this article you are going to learn how to create and what is the use of:
- Memorandum Vouchers
- Post Dated Vouchers
- A blend of Memorandum and Post Dated Vouchers
Now, if you have not heard of any of these vouchers before, then don’t worry because they are very easy to understand as well as easy to use for daily accounting purposes.
If you know a little bit of Tally, you will understand both memorandum vouchers and post dated vouchers after watching the video just once.
And I’m not joking at all.
Let’s start with a simple introduction and concepts of each of the vouchers and how they are used in real life.
What are Memorandum Vouchers
The actual meaning of the word memorandum is a note recording something for future use.
Well, this is what exactly is the memorandum voucher.
A memorandum voucher is a voucher in which you record entries for which you are NOT sure whether they are going to occur.
And if they are going to occur then by HOW much amount.
A main distinguishing feature of memorandum voucher is that it does not affect your ACCOUNTS unless you convert it to a general voucher.
Some Examples of Memorandum Voucher
Office Expenses – How much?
In your office, you gave ₹10,000 for office expenses for a month.
Now, you are NOT sure how much amount will be spent and what will remain at the end of the month.
In this case you will create a Memorandum Voucher for payment of ₹10,000.
At the end of the month let us assume that the actual expenses were ₹9,000.
What you will do is convert the memorandum voucher to payment voucher and change the amount from ₹10,000 to ₹9,000.
By doing this, along with the modified entry, the books of accounts will also get updated.
Creating Office Expenses Ledger in Tally
To create a ledger easily, press ALC consecutively from the Gateway of Tally.
This way you will be directly at the ledger creation screen.
Create Office Expense Ledger as shown in the picture.
Sales or No Sales!
Another simple example is Sales.
In almost every industry, there is a return policy for the goods.
If the buyer does NOT like the goods, he can return it to the seller.
Memorandum voucher can be a great help here.
Just create a memorandum voucher of sales and then if there are NO sales returns or if the return policy period expires, simply convert the entry into sales voucher.
Otherwise just delete the memorandum voucher.
If you want to know, how to create sales and purchase voucher check the link below.
Enabling Memorandum and Post Dated Vouchers in Tally
You need to alter some settings in Tally to enable memorandum and post dated vouchers in Tally.
Because without enabling them, you won’t be able to use those vouchers as they won’t be available to you.
Here is the way to enable them in Tally.
- From Gateway of Tally, press F11 which is for Features.
- Then select Accounting Features from Company Features Menu.
- Then look for Budgets and Scenario Management.
- Lastly, enable both the options under Budgets and Scenario Management.
If you have done the above steps correctly, you have successfully enabled memorandum and post dated vouchers in Tally.
Creating Memorandum Voucher in Tally
It is very easy to create a Memorandum Voucher in Tally.
It is almost same as creating any other normal voucher such as payment or receipts vouchers.
I will be passing the entry taking Office Expenses as an example as described above.
So, here are the steps for creating a Memorandum Voucher in Tally.
- From Gateway of Tally, go to Accounting Vouchers.
- Then select Memos by pressing CTRL+F10 or by just clicking on it which is actually short for Memorandum Voucher.
- As per the example, I’ll be passing entry for Office Expenses for ₹10,000.
- We have successfully created a Memorandum entry for Office Expenses worth 10,000.
Now let us have a look at the Profit and Loss Account to check its effects.
You can clearly see that there is nothing in Office Expenses row.
It is because of Memorandum Voucher.
Now we are sure that the Memorandum Voucher is working well and the accounts have not been affected at all.
Tracking Memorandum Vouchers
If memorandum voucher does not affect the books of accounts, how do you know how many memorandum vouchers are created and how to track them?
This is where reporting comes in your way to simplify the accounting process.
You can see the memorandum voucher report which will show you month-wise summary of memorandum vouchers created.
To see the report, from Gateway of Tally, press DXM consecutively or just follow the below steps.
- From Gateway of Tally, select Display.
- Then select Exception Reports.
- In Exception Reports, you can see the Memorandum Vouchers.
Converting Memorandum Voucher into Normal Voucher
Converting Memorandum Voucher to normal voucher is simple and easy.
Just above in the post, we have created a Memorandum Voucher of ₹10,000 for Office Expenses.
Now, I’ll convert that into normal voucher i.e. payment voucher but for ₹9,000 only because that is the actual expense.
That is what is the use of Memorandum Voucher. We are not sure of what the actual will be.
I assume you are in the Memorandum Vouchers in the Exception Reports as we have discussed just above.
Let us have look at it of how it can be done step by step.
- Select the Memorandum Voucher you want to convert. In our case it is Office Expenses
- After selecting the Memorandum Voucher from the list, you will see the Memorandum Voucher like this in the image below.
- Now we will edit it to ₹9,000 and convert it to Payment Voucher.
- For that just write 9,000 instead of 10,000 and press F5 which is the shortcut for Payment Voucher in Tally.
- Now, just press Enter to save and you have successfully converted a Memorandum Voucher into a normal Payment Voucher.
Let’s have a look at the Profit and Loss Account after the conversion.
See, there are Office Expenses of ₹9,000 in the Profit and Loss account as we have now converted it to a normal payments voucher.
Now, let us have a look at what are post dated vouchers.
What are Post Dated Vouchers
As the name suggests these are the vouchers which are specifically meant for a future date.
In simple words, post dated vouchers are used for future entries.
I’m sure you have guessed the most general use of post dated vouchers by reading the title.
If you haven’t guessed, here is the answer.
For Post Dated Cheques.
In a business, post dated cheques are a common way of dealing for payment and receipt of funds.
That is the reason there is a specific voucher in Tally called post dated voucher.
Although, post dated vouchers are generally used for creating entries related to post dated cheques, that does NOT mean that they are specifically used for post dated cheques.
Post dated vouchers can be used for any entry which is going to take place at some future date.
Take the example of office expenses above.
If office expenses were for future, you can simple convert it into a post dated voucher.
I have explained that in the video.
Creating Post Dated Vouchers in Tally
We will take the entry from the above converted Memorandum Voucher of ₹9,000 and make it Post Dated Voucher.
Isn’t it amazing.
We created a Memorandum Voucher.
We converted it to simple Payment Voucher.
Now, again we will convert it to a Post Dated Voucher.
This is the magic of Tally.
Here is the step by step method of creating a Post Dated Voucher in Tally.
- Select the voucher which you want to convert it to a Post Dated Voucher. In our case it is Office Expenses.
- Alternatively, you can also create a new voucher and then select the option of Post Dated Voucher.
- Now, press CTRL+T or click Post Dated from the right hand bar in Tally.
- Now, you will see the converted Post Dated Voucher as shown in the picture below.
- Notice the word Post-Dated in the top middle of the voucher.
- I have also changed the date to 1st May, 2016 instead of 1st April, 2016 because it is a post dated voucher.
- Now just press Enter and save the voucher.
- You have successfully created a Post Dated Voucher.
Post Dated voucher will not be visible until that day arrives in Tally.
But once the date arrives, it will be visible and will affect the accounts.
Now, let’s see how you can track the post dated vouchers.
Tracking Post Dated Vouchers
After you’ve created a post dated voucher , you can easily check each post dated voucher that you have created in Exception Reports in Tally.
The method is completely same as we have seen above for tracking memorandum vouchers.
Both the Post Dated Vouchers and Memorandum Vouchers can be found in Exception Reports.
To see the report, from Gateway of Tally, press DXS consecutively and you will see all the post dated vouchers in debit as well as credit amounts.
Now, let’s see a combination of a Memorandum and a Post Dated Voucher.
Memorandum Post Dated Voucher
A mixture of memorandum voucher and post dated voucher is memorandum post dated voucher.
Say, for example, you are not sure whether you have to pay ₹9,000 for office expenses or not at some future date.
In this case, you can create a memorandum post dated voucher.
- Memorandum voucher is for NOT having surety.
- Post Dated Voucher is used for creating entry for Future Date.
We are creating both at the same time.
It is simple to create both at the same time.
We will take once again our Office Expenses voucher which to make it both Post Dated and Memorandum.
We have already made it Post Dated so now we only need to make it Memorandum once again.
Here is a simple way to do that.
- Select the voucher which you want to make both the Memo and Post Dated. In our case it is Office Expenses voucher.
- Then press CTRL+F10 to make it Memorandum Voucher.
- Now, press CTRL+T to make it Post Dated if it is not Post Dated.
- Congratulations, you have successfully created a Post Dated Memorandum Voucher.
It will look something like in the picture below.
Press Enter and you have your first Memorandum Post Dated Voucher.
If you want to again track it, you know where to go as we have discussed earlier in this post.
By the way here is the picture you will see in the reports.
Memorandum and Post Dated Vouchers in Tally
How do you use memorandum and post dated vouchers in Tally?