Accounting Voucher -- The Google Map of A Transaction
Updated: Dec 26, 2020
The accounting voucher is the Google Map for any transaction since the information can never be misinterpreted and will lead to the same conclusion.
Examples of Vouchers (Source: Sage Software)
What gets measured gets managed. The humble accounting voucher serving as the secondary document captures the existence, value, timing, and completeness of the accounting transaction. The narration on each voucher ensures the background and facts germane to the transaction are preserved for posterity.
The care, quality, and meticulousness in preparing each accounting voucher reflect the entity’s commitment and devotion to transparency, integrity, and values. Just as scrappy handwriting puts off the readers, similarly a dodgy voucher throws up more questions than answers.
This aspect is true whether in the ERP or non-ERP environment. The ERP never captures a transaction out of thin air. Rather it is the accounting voucher that makes the ERP appear intelligent, smart, and relevant, else the ERP is incomplete.
Types of Vouchers
Accounting vouchers may either be cash or non-cash. While a cash voucher captures a cash transaction, receipt or payment, non-cash vouchers may relate to sale invoices, purchase or vendor invoices, debit and credit notes, and journal vouchers (popularly referred to as JVs).
JVs are often controversial since these allow accounting adjustments and this is where the integrity, transparency, and values of the organization get reflected.
Going by the history of business scams, they always have their genesis in JVs with inadequate and irrelevant backup or support. Upon scrutiny, the needle always pointed to the humble accountant who merely carried out the orders and directions of the elusive and evasive bosses.
The moral compass of the entity and all who make up the entity is captured for all times in the humble accounting voucher.
Through standardized templates, we highlight and institutionalize the culture of having complete and self-explanatory records. We are relevance in deed!