How it Works

Watch the video below to understand the advantages and the process of automating the bookkeeping process or read along.

You can also watch the

1. Source the bills received and paid through your RazorpayX Vendor Payments App to Tally.
2. The bills received from the below mentioned modes are auto-read by the RazorpayX AI, OCR reader. You can create bills in RazorpayX via:

   • Vendor Portal

   • Bulk drag and drop

   • Email Integration

   You can pay bills in RazorpayX via:

   • Bulk Vendor Payments

   • Partial Payouts

   • Scheduled Payouts

3. Review the invoices and sync them to Tally. This automatically creates the journal entries which Tally then maps to the ledgers.
4. Verify the journal entires and mapping them to the respective ledgers, if necessary.
5. After your CA/Finance team has reviewed and approved them, post them to Tally.

Advantages

The automated bookkeeping process via the RazorpayX-Tally Integration has many merits. You can:

• Reduce your data entry effort by upto 40%.
• Eliminate errors of omission or repetition.
• Remove the pain of manual cross-verification between multiple excel sheets.
• Choose when, who and how the journal entries are synced to Tally.
• Not worry about making manual changes as per approvals and audit changes your CA suggests.
• The OCR reader scans the bills uploaded from

  all the bill creation modes

  , so you do not have to focus on entering the correct details. The bills paid are also easily synced.

Setup Workflow

To source and map the bills sourced from RazorapyX, you must set up:

1. RazorpayX to Tally workflow

   .

2. Ledger and Mapping mechanism

   .

Enable Setting

To bring the bills from RazorpayX to Tally:

1. Open your Tally application to show the Gateway of Tally page.
2. Click R:Razorpay Settings from the right-side menu.
   
3. Enter Yes against the following settings to enable the feature:

   Settings	Value
   Bring invoices from RazorpayX to Tally	Yes
   Sync on Receipt	Yes

   
4. Enter the OTP you receive at your email address and save the settings.

You have now successfully enabled the feature to bring bills from RazorpayX to Tally.

Ledger and Mapping

When you

When doing so, you can also choose to automate mapping those bills to the ledgers present in Tally, as per the conditions they match. This is a one-time setting only.There are two ledgers you map your bills to:

• Vendor Expense Mapping

  .

• Tax Ledger Mapping

  .

How it Works

1. Set up the necessary ledgers and map the expenses and tax accordingly.
2. When you bring a bill from RazorpayX, Tally maps that transaction to the respective ledger.
3. You can manually change the mapping to a different ledger if necessary.

Suppose you run a clothing business and make the following payments from RazorpayX regularly:

• To supplier who provides readymade clothing items.
• To a different supplier who provides unstitched dress material.
• To a logistics company that offers home delivery on all orders received.
• To suppliers who provide housekeeping, canteen, packaging, sundry expenses and many other services.
• Pay tax incurred on these transactions as per the relevant tax categories. And so on.

For all such cases and more, you can:

• Create Expense Ledger. This maps the expenses you frequently incur.
• Create Vendor Ledger. You collate a list of Vendors to whom you regularly make payments to.
• Use Tax Ledger to map the tax paid and credited.

Now, map the expense to the vendor and vice versa in the Vendor Expense Mapping ledger. When moving the transactions to Tally, the ledgers automatically map the transaction to the expense incurred as per the vendor to whom you have made the payment.

Example

Suppose Pankhuri Traders is one such supplier.

• You incur Canteen Expenses regularly from them and make payments to them.
• In such cases, you can map Canteen Expenses to Pankhuri Traders in your Tally ledger.

When you create an invoice in RazorpayX for Pankhuri Traders, and you sync the bill in Tally, the narration for the journal entry in Tally gets automatically updated to Canteen Expenses. This is because the vendor, Pankhuri Traders, is already mapped to Canteen Expenses.

You can also map one vendor to many expenses in the expense ledger.

Advantages

• Understand banking transactions from a business perspective
  
  • When you make payments using RazorpayX, you can use Payout Notes, Contact type and name, Payout Purpose, and more, to generate a banking narration.
  • When syncing to Tally, the banking narration can help to automate mapping the tax, vendor or expense entry to Tally when it matches with the ledger entry.
  • If many teams handle your vendor business and reconciliation, they can understand the transactions easily in this way.
• Create context specific journal entries
  When the transactions are specific to context about when, how and why you have made the payment, you improve the narration of your journal entry automatically.
• Automates the process
  When the invoice created for a specific vendor matches with the vendor's name in Vendor Expense mapping ledger, for example. The narration automatically syncs the invoice in Tally to the expense it is mapped to.
  Due to not manually making the entries, you save time and effort. You can verify, repeat and reduce errors easily.
• One time process
  It is a one time process. Every time you select a type of expense or a specific vendor, the expense gets updated to match the mapping you have set. If necessary, you can still map the expense manually to a different expense.

1. Vendor Expense Mapping

To set up your Vendor Expense ledger:

1. Open your Tally application to show the Gateway of Tally page.

2. Go to UTILITIES → RazorpayX.

3. In the RazorpayX menu, click RazorpayX Cashflow.

4. In RazorpayX Cashflow, click Settings.

5. Here, click Vendor Expense Mapping.

   

In the Vendor Expense Mapping window, you can map your Vendors and sundry creditors to the expense ledger on a one-to-one basis. This is a one-time process.

2. Tax Ledger Mapping

You can map your TDS Credit and GST Debit settings to the Tax ledgers in Tally as applicable. This is also a one-time process. To do so:

1. Open your Tally application to show the Gateway of Tally page.
2. Go to UTILITIES → RazorpayX.
3. In the RazorpayX menu, click RazorpayX Cashflow.
4. In RazorpayX Cashflow, click Settings.
5. Here, go to Tax Ledger Mapping.

In the Tax Ledger Mapping page, map the GST - Debit and TDS - Credit to the respective Tally ledgers as per the tax categories applicable.

Bring Bills to Tally

After successfully enabling the settings in your Tally application, you can test the automation. Once you source an invoice from RazorpayX to Tally, you must:

• Sync the bill

  .

• Post the bill

  .

Sync Bills

After you

1. In your Tally application, go to UTILITIES → RazorpayX.
2. In the RazorpayX menu, click RazorpayX Cashflow.
3. In RazorpayX Cashflow, click Sync Entries from RX.
   
4. Click Yes and confirm your action to finish the sync.

The bills you have created in RazorpayX are now synced in Tally. You must check the journal entries and get approval from your CA and post them in Tally.

Post to Tally

After syncing the invoices, you can review the entries and prepare them for your CA's approval. You CA reviews the:

1. Invoice sourced into Tally.
2. Journal entry created in Tally for that invoice.
3. Details of the ledgers the expense is mapped to.

You/CA can view the bill by following these steps:

1. In your Tally application, go to UTILITIES → RazorpayX.
2. In the RazorpayX menu, click RazorpayX Cashflow.
3. In RazorpayX Cashflow, go to Not Posted.
   
   The Bills to RazorpayX window appears.
4. Here, you can review the bill you have created.

You will find that the bill created has mapped to the expense you generally incur from that vendor, as

Your CA, after reviewing the bill, must now approve the entries. To do so:

1. Ask your CA to review the entries.
2. Click F5:Approval from the right-side menu.

Suppose you pay the invoice after creating it. You can

Related Information

• Vendor Payments

• Keyboard shortcuts in

  Tally Prime

  /

  Tally ERP9