how to calculate interest in tally prime

Interest is a legitimate return on money invested and chargeable in the business world on

loans and also on delayed payments. Interest can be calculated on the basis of Simple or

Compound Interest.

In This Tutorials Show How To Calculate Simple Interest In Tally Prime. Here Interest Will Apply After Payment Due Date When Any Party Crossed His Payment Date Then We Can Apply Interest According Companies And Farm Rules. So Here Apply Interest Rate 10% Yearly After Due Date.

STEP 1 CREATE A COMPANY IN TALLY PRIME

Open Tally Prime Software & Creates A Company And Fill This Information

STEP 2 ENABLE INTEREST CALCULATION (F11)

After This You Have Required To Enable A Feature Of Tally Prime Namely “Enable Interest Calculation = Yes “ This Settings You Can Find Your Crated Company In Tally Prime After Press F11 Key. If You Have Already Created A Company In Tally Prime Then You Can Press F11 Key From Your Computer Keyboard For Features Setting. As You Pressed F11 Key After This You Will See Your Created Company Features Setting Will Be Open . Here You Have Need To Enable This Setting.

Press F11 Key

After This You Can Press CTRL + A For Quick Creation

STEP 3 CREATE A PARTY LEDGER

Now We Have Required A Party For Goods Purchase So Now Create A Party Ledger And Enable Interest Calculation Of This Party.

As You Press Yes Then You Will See A New Window Of Tally Prime For Interest Parameters, Here You Have To Fill These As Below

STEP 4 NOW PASS A PURCHASE VOUCHER

Pass A Purchase Entry With That Party which party you made interest calculation enable here we are created a party ledger namely AnkitDMishra Pvt Ltd, so here we have to select it ant pass a purchase entry with AnkitDMishra.

Note : When You Passing This Voucher Then You Have To Put Due Date It mandatory because our interest will be apply after due date so put this things in your mind and pass entry.

Here You have to fill Due date after due date interest will be apply it continue till party payment completion.

After This Here You Have To Select Your Interest Rate , Period And Amount Type (Credit/ Debit)

After This Save Your Purchase Voucher

STEP 5 HOW TO SEE PAYABLE INTEREST AMOUNT IN TALLY PRIME

If You Want To See Payable Interest Amount , Then You Need To Go To More Report From Gate Way Of Tally

Display More Report >> Statements of account >> Interest Calculation >> Interest Payable

Change The Time Period Press F2

Purchase Date	Still Not Paid
1-Apr-22	2-Nov-22

Now You Will See Like Your Interest Till That Date Which Date You Will Entered.

Step 6 Now Create A Ledger For Interest Assign To Party Ledger Interest Paid

STEP 7 NOW ADD INTEREST AMOUNT IN PARTY LEDGER FOR PAYMENT

Now Change Date F2

Purchase Date	Payment Day
1-Apr-22	2-Nov-22

Go To Voucher And Select Credit Note Voucher Press ALT + F6

After This Press CTRL + H For Voucher Change Mode, When You Press CTRL + H After This You Will See Like This. Here You Have To Choose “Use For Interest Accounting “