Gone are the days when businesses used to maintain an accounting book for day-to-day transactions. It was a quite mundane and time-consuming task. Besides, this increases the number of human errors while maintaining records. To decrease human errors, the tally software was launched in 1986 by Mr. Shyam Sunder Goenka and Mr. Bharat Goenka. This father-son duo came up with an exceptional software solution that made the lives of businesses and accountants easier. In India, accounting software is a popular tool that is used across all
Every updated version of the tally made complicated calculations easier. In this article, we will study what Tally ERP 9 is and how much it is beneficial to small and medium-sized businesses.
Introduction of Tally ERP 9 software:
Tally is a well-known accounting software that is used across all businesses to maintain financial transactions. Tally ERP 9 is an updated version of Tally that can also calculate GST. It is a very simple piece of software to use, as you just need to input data and tell how you want your data processed. With just one click, Tally ERP 9 software will do all the calculations for you. The Tally ERP version was launched in 2009, and till now, this software has been widely used. In 2020, it will be updated with more advanced features and will be known as Tally Prime.
Types of Tally ERP 9
There are two types of Tally ERP 9 that can be used by businesses according to their needs, and those are:
• Single-use Tally ERP 9
If you operate a small business or a start-up, Tally ERP 9 Silver is the best to use, as it can be managed on one system.
• Multi-user Tally ERP 9
Whether your business has multiple locations or is a multi-national company, Tally ERP 9 Gold will be the best to use.
Though multi-user Tally ERP 9 is more expensive than Tally ERP 9 silver, it is available at reasonable prices from Tally ERP 9 resellers, so businesses can buy Tally ERP 9 from them.
How to use Tally ERP 9?
Before using Tally ERP 9 software, an individual should select the type, install, and activate it on the system. After these steps, one can start working on it. But one should always follow the guidance of the Tally ERP 9 provider. Steps to use Tally ERP:
1. Installation of Tally ERP 9
You can install Tally ERP 9 from an official website or purchase it from a Tally ERP 9 vendor. It is also available for students to practice, but with limited features.
2. Tally Navigation
Once you have installed Tally ERP 9 software, there are navigator tools that guide you by telling you how to use Tally software. For all the shortcuts, there is a Tally keyboard shortcut that displays all the different shortcuts.
3. Create a company
Regardless of paid or trial versions, businesses need to fill out their company information to work efficiently.
4. Tally usage
You can make use of Tally ERP 9 for many purposes, but for the most part, you can use it for making ledgers and vouchers.
To create ledgers, click the C key from the keyboard on the dashboard and select ledgers from the menu. There are some in-built ledgers like cash books, sales ledgers, purchase ledgers, and many more. After selecting a ledger, select which account type will fit best for your ledger. Enter all the account details after it.
To create vouchers, click on V on the keyboard. With Tally ERP 9, you can use three types of vouchers, like:
• Contra Voucher
It includes the inflow and outflow of cash from bank to bank or vice versa. These transactions are almost exclusively carried out by small businesses.
• Payment Vouchers
Payments that are made to the third-party
• Receipt Vouchers
It involves the flow of cash within the business from operational or financing activities. This is how one can make use of Tally ERP 9. In the beginning, you may face difficulty, but slowly and gradually, you will overcome it and gain expertise in using Tally ERP 9.
Features of Tally ERP 9
Tally ERP 9 is more than just a simple accounting software; here ERP stands for Economic Resource Planning, which means that manufacturing companies can also use this software to manage inventories. Other than this, there are a number of features that make Tally ERP 9 a perfect choice for businesses to use. Let us discuss some features:
Tally ERP 9 is simple to use, and it simplifies the day-to-day business transaction process. To use Tally ERP 9, one just needs to have a basic knowledge of accounts and English.
ii. Auditor’s edition
This in-built feature of Tally ERP 9 helps chartered accountants audit the reports.
iii. Multi- lingual
Tally ERP 9 is the only accounting software that is available in all nine languages used in India. Therefore, businesses can publish their reports in a specific language they prefer.
iv. Remote Access
One can access the data from anywhere and anytime with the remote feature of Tally ERP 9.
v. Real-time processing
As soon as the transactions are entered in the software, instant reports and statements are released, thus facilitating real-time processing.
Tally ERP 9 is flexible accounting software that can generate instant reports at any point in time, either for a month or a year.
Why Tally ERP 9 is a better accounting software for businesses?
Technology has made the lives of humans easier, just as all the software has made everything simple for the employees. Tally ERP 9 is used by all the businesses, and do you know why? Because there are a number of advantages that businesses get while using it.
Let us go through all the benefits of Tally ERP 9.
Once a product is sold or a deal is closed, the next step for businesses is to prepare a bill or invoice. Every business should select software that is user-friendly and can prepare a quick invoice. It is important for small businesses to prepare a professional invoice that will leave a good impression on their clients. Thus, it will help you gain a reputation.
2. GST Compliance
Since GST is an indirect tax, it takes a lot of time for the accountants to adjust invoices, including GST. With the use of GST software, it has become easier for accountants to manage GST compliance. Tally ERP 9 can also assist and resolve an issue if it arises.
3. Inventory Management
Managing inventory is very essential for small, medium, and large businesses, as it helps in making decisions. One becomes aware of slow-moving products, high-yielding items, and stock-aging products. Managing all this manually is a frightening task, but with inventory management software, it becomes simpler to record all the production and sales processes. It all leads to an increase in productivity and efficiency among the employees. Besides, it increases customer satisfaction.
4. Simplifies Accounting process
As soon as one enters the data, the transactions get auto generated in Tally ERP 9. This software has the capability to create ledgers and vouchers within a few seconds. Besides, it manages all the cash flows. With customizable reports, businesses can track key financial metrics like revenue, expenses, profitability, and many more things. Perhaps simplifying the process of managing the finances
5. Easily integration with other business systems
The most beneficial feature of Tally ERP 9 is that it can easily integrate with other business systems, such as CRM and HRM. When integrated with CRM, it becomes easier for companies to generate invoices from client orders. Most likely, if it is integrated with HRM, it can accurately calculate payroll processing and expenses incurred by each employee.
To conclude, we would like to say that Tally ERP 9 is the best tool that you can implement in your small and medium-sized businesses. As you have read above, this tool is not only beneficial in managing and streamlining your accounting process, but it will also be helpful to you in managing your customer orders, preparing salaries for employees, calculating expenses for each employee, and managing inventory. Choosing Tally ERP 9 will make you efficient, as it will save you time from managing tedious tasks.