Journal Voucher: Meaning, Format, Advantages

Meaning of Journal voucher

A Journal voucher is a book of original entry in which all the financial transactions of government offices are recorded in chronological order. It is a book of primary entry in which all the transactions are recorded when they occur and later they are posted into corresponding ledger accounts. Journal voucher is prepared under the format of AFG No. 10 by considering the principle of double-entry system of book-keeping.

Journal voucher is also known as ' Goswara Voucher' is the basic of New accounting system. It is prepared in all the government offices of Nepal both at the operating level and central level. The recording transactions in journal vouchers are called entry and the making of entries in vouchers is called journalizing.

In conclusion, Journal voucher is the primary entry of the Nepal government, which is used to record the financial transactions of government offices by using the principle of double-entry system of book-keeping AGF No. 10

Importance and objectives of Journal voucher

Journal voucher is prepared because of the following reasons:

        i. It records all financial transactions of the government in a systematic and scientific manager.

       ii. It is based on a double-entry bookkeeping system which helps to follow further accounting steps.

     iii. It records the transactions in chronological order which is helpful to retrieve the required vouchers promptly and easily.

     iv. It is the basic tool for maintaining respective ledger accounts and a financial statement like bank cash book, budget sheet, etc.

       v. It makes the accounting personnel responsible for maintaining records.

     vi. It can be presented as evidence as supporting documents are attached with journal vouchers.

Format of Journal voucher

A general specimen of journal voucher is given below

Notes to be considered while Preparing Journal Voucher

• The separate journal voucher must be needed for each transaction

• Journal voucher records transactions by using the principle of double-entry system of bookkeeping, so rules must be followed.

• Budget expenditure transactions are referred to as a B.E. and B.E. must be used after the Dr. in budget expenditure transactions.

• The narration must be in journal voucher

• Budget head must be written