After creation of Company in Tally we need to set Accounting features according to your business in Tally,before going into ledger creation. By using Accounting Features, we can enable many required options for doing transactions in our business.I will show step-by-step how to enable Accounting features in the following:
To enable the Accounting features:
Go to Gateway of Tally > Press F11 or select F11:Features (right bottom) and
It opens Company Features page there press F1 or Accounting Features and Enter
It displays the Accounting features page where we can enable the required options by typing YES.
Accounting Features Page
I will explain the above options here briefly:
- Maintain accounts only : YES for service oriented companies.
(for companies which is not involved in Goods)
eg: Banking, Insurance, IT companies, Educational Institutions etc.,
Impact of YES: It does not display Inventory Info. , Inventory vouchers, stock summary etc.,
Maintain accounts only : NO for non-service oriented companies.
(for companies which is involved in Manufacturing, production, Stock etc.,)
Impact of NO: It displays Inventory Info. , Inventory vouchers, stock summary etc., all inventory related information.
NOTE: If we make Maintain accounts only as NO, then we need to enable Integrate accounts and inventory as YES / NO
- Use Income & Expenditure a/c instead of Profit & loss a/c : YES for Non-profit organisations
- Use Income & Expenditure a/c instead of Profit & loss a/c : NO for all other than non-profit organisations.
- Multi-currency: Enable NO (Enable YES, if the company needs to show it’s amount in some other currency also)
- Maintain bill wise details: If you enable YES, the ledger masters under Sundry Debtors and Sundry Creditors automatically displays an additional options called Maintain balances bill-by-bill > YES, an option Default Credit Period will display. [When we enter details of sales and purchases with the Bill-wise option activated, ERP 9 prompts you to identify the invoice with an appropriate reference number. The reference can then be used to allocate payments to the correct invoice and maintain an accurate account of outstanding.]
- For non-trading accounts: Used to track Installment to be paid or loan amount to be received at a certain period of time.
- Activate Interest Calculation: By enabling this YES , it automatically calculates the interest to be received on outstanding amounts if we provide the Rate of Interest & Period for each invoice.
- Use advanced parameters: are useful when interest rates need to change from time to time.
Cost/ Profit centers Management
- Maintain Payroll: If you want to manage Payroll of employees of particular company,enable YES
- Maintain cost centres: A unit of an organization to which transactions can be posted, enable YES.
- Enable Invoicing: YES to create Sales & Purchase vouchers in Invoice format and advantage of it is calculating Taxes automatically.
- Record purchases in Invoice mode: YES, to record purchase voucher as Invoice mode.
- Use Debit and Credit Notes: Yes (To make them available)
- Record credit note in Invoice mode: Yes
- Record Debit note in Invoice mode: Yes
Budgets and scenario Management these options are by default NO, Make them enable when these are required.
- Enable cheque printing: YES to get Cheque printing.For more info. on this please refer.
- Banking Features: YES, For more info.click here.
- Maintain Multiple Mailing details for company– YES (To add Multiple addresses of the company)
- Enable company logo: YES (opens a window where we need to enter the path of the Logo)
- Mark changed vouchers: YES (will make a difference with altered vouchers)
CTRL+A = To Save
Note: General & Invoicing features are essential remaining all are just to get awareness.
To learn How to Create a Company in Tally Click Here
To learn How to Alter & Shut a company in Tally click here
For Accounting Features in Tally Click Here
For Inventory Features in Tally Click Here
How to Activate GST in Tally ERP 9 Click Here
Tally Ledger Group List Click Here
Importance of Tally ERP 9 Click Here
To know about Inventory Features Click here.