Post transaction accounting
TALLY is principally and solely a FINANCIAL ACCOUNTING SOFTWARE. It is a POST TRANSACTION system. This means, than the information being fed into TALLY as vouchers, have already been executed. This is better explained with an example. Assume that a payment is to be made. A PRE TRANSACTION system would create the voucher for you, which you would probably get signed by the payee, and then complete the transaction by actually making the payment. Such systems require to provide for cheque writing, voucher printing on pre-designed forms, creation of the internal entry in case the transaction DOES get completed (which the program cannot assume), etc In a POST-TRANSACTION system like TALLY, the payment is first made based on your existing methods (i.e. against a cash bill, against a voucher, etc.) and that information is fed into the program. This is identical to entering a voucher into the CASH BOOK after the payment is made.