How to Use Tally Software | Step By Step

Tally is a popular accounting software used by businesses for managing their financial transactions and generating reports. Here’s a step-by-step guide on how to use Tally software:

1. Installation and Setup:
   • Download and install the Tally software from the official website or through authorized vendors.
   • Launch the software and follow the on-screen instructions to set up your company profile. Provide details like company name, address, financial year, and other necessary information.

 

Create and Configure Company:

1. • After setting up the company profile, you’ll be prompted to create a new company or select an existing one.
   • Provide the required details, such as the name of the company, address, financial year, and other company-specific information.
   • Configure settings like base currency, taxation details, and inventory management as per your business requirements

Chart of Accounts:

1. • Set up the chart of accounts by defining different ledgers for your company’s income, expenses, assets, liabilities, etc.
   • Create ledger accounts for various categories like sales, purchases, bank accounts, cash, expenses, and more.
   • Assign appropriate groups to the ledgers based on their nature and hierarchy.

Entering Transactions:

1. • Use different voucher types to record various types of transactions, such as sales, purchases, payments, receipts, journal entries, etc.
   • Select the appropriate voucher type and fill in the required details like ledger accounts, amounts, dates, and supporting documents.
   • Ensure accurate data entry to maintain the integrity of your financial records.

Inventory Management:

1. • If your business involves inventory management, set up the necessary inventory-related details like stock groups, stock categories, and units of measure.
   • Create stock items and specify their details, such as name, code, a unit of measure, opening stock, cost, selling price, and more.
   • Record purchase and sales transactions involving inventory, update stock levels and generate reports to monitor stock status.

 

Bank Reconciliation:

1. • Perform bank reconciliation to ensure the accuracy and consistency between your company’s financial records and bank statements.
   • Match the transactions entered in Tally with the bank statements, mark reconciled transactions, and resolve any discrepancies.

Generate Reports:

1. • Tally provides a range of reports to analyze your financial data. Generate reports like balance sheets, profit and loss statements, cash flow statements, trial balances, sales reports, purchase reports, inventory reports, and more.
   • Customize the reports by selecting the appropriate parameters, date range, and filters to get the desired insights into your business’s financial performance.

Data Backup and Security:

1. • Regularly back up your Tally data to prevent data loss. Use Tally’s backup feature to create backup files and store them securely.
   • Implement security measures like user access controls, passwords, and permissions to protect your company’s financial data.

 

Stay Updated:

• • Tally regularly releases updates and new features. Stay updated with the latest version of the software to benefit from enhancements, bug fixes, and additional functionalities.

 

It’s recommended to refer to Tally’s official documentation, tutorials, and user guides for detailed instructions and assistance in using specific features of the software. Additionally, you may seek professional help or attend training programs to gain a comprehensive understanding of Tally and optimize its usage for your business.