We have clearly come to an understanding of the importance of vouchers for different companies in the market. But to differentiate between the different types of vouchers, we need to take note of the source documents for the same.
In manual accounting, the vouchers are specified according to the transactions. This helps in making journal entries for the same. This way, specific vouchers are created for specific transactions, which are formalized with the sign of the accountant on them.
Here are the most frequently used types of vouchers:
Cash vouchers:
This is the most common form of a voucher which is created for all forms of cash transactions. It has two subtypes which are as follows:
Debit vouchers:
The debit voucher is also known as the payment voucher. The main function of this voucher is to showcase the transactions where there is an outward movement of funds from the company.
The main goal of creating this voucher is to record different transactions, cash or bank, which have been for a payment to another organization.
Credit vouchers:
The credit voucher is also known as the receipt voucher. This voucher is prepared when a company is receiving money.
This money can come from various sources such as:
- From consumers as sales revenue.
- From shareholders against their equity capital in the company.
- Through the sale of fixed assets.
- Through interest earned from various other sources.
- From debtors
- And other sources.
The credit voucher or the receipt voucher can also be differentiated by its two types. One is a cash receipt voucher, and the other is a bank receipt voucher.
Non-cash voucher:
There are various names given to the non-cash voucher. Some of them are:
- Transfer voucher
- Journal voucher
Any form of receipts from transactions that do not involve a bank or cash receipts are recorded through this type of voucher. Usually, this type of voucher deals with transactions that involve
credit sales, transfer of any form of property,
credit purchases, and other forms of transactions that do not involve the bank or any
cash transfers.
The various cases which are recorded under this type of voucher are:
- Sale of goods or purchase of goods on credit.
- Sale of fixed assets or purchase on credit.
- Returned goods concerning sales or purchases on credit.
- Bad debts in written form
- Any other form of non-cash transactions.
Sales Voucher:
Any form of transaction that involves sales of goods and services is recorded under the sales Voucher. Sales voucher records all transactions involving cash and credit sales that take place in a company.
The process starts when the company's debtor account is debited; meanwhile, the sales account gets credited. This voucher then acts as proof and, in many cases, as hard evidence that the sales of goods and services have taken place in a company.
Purchase voucher:
Any transaction revolving around the purchase of goods and services is passed under a sales voucher's criteria. This type of voucher is created just for the specific purpose of sales that have taken place through cash, bank, or credit in a company.
The purchase is initiated when the supplier for the goods or services is credited. Various documents support the purchase order, such as the purchase order, supplier slip, and other relevant documents.
Supporting voucher:
All the company transactions that have occurred in the past are recorded through the supporting voucher. This serves as written documented proof of a company's past transactions.
There are many other documents that act as supplementary documents for the supporting voucher, such as the expense bill, fuel bills, and more.