A cash payment receipt is a common document that is used both in between individuals and companies. Whenever there is money transferred from one end to another, there is the need of a receipt. This receipt includes all the important details i.e. why the money is transferred and exactly how much money is transferred.
Importance of Cash Payment Receipt:
As described above that a cash payment receipt is a legal document that proves there was monitory transaction between two parties. When you think of money being transferred from one person to another, it’s not complicated most of the time. But everything changes when some amount is transferred from one company to another. Whether we talk about the taxation purposes or we just focus on the importance of keeping record of each transaction being made with the company’s account, there are basically endless important aspects of cash payment receipts. On one hand, it gives an idea of how much money was paid and who received it for what purpose where on the other hand, it secures the party who paid it by being legal evidence that the other party has in fact received the payment and can’t claim there is any amount due in the future.
Cash Payment Receipt Templates
Here are several Free Cash Payment Receipt Templates in MS Word format to help you prepare your own Printable Receipt quickly.
Here is download link for this Payment Receipt Template.
Cash Receipt Template in MS Word
Here is preview and download link for this Cash Receipt Template in MS Word format.
Simple Cash Receipt Template
Another useful Cash Receipt Template with minimum options for you to quickly download. This template allows you to specify any amount received previously and/or Balance due after this payment. Moreover, you can also specify mode of payment such as cash, cheque, money order and/or credit card.
Petty Cash Receipt Template
This is Petty Cash Receipt Template that allows you to print an official receipt with minimum but critical details. You can also mention Previous Balance and current Balance after this due payment.
Cash Voucher Template
Here are good looking Cash Voucher Template in MS Word format. It is usually used in different organizations to issue payments to their customers and/or suppliers.
Cash Payment Voucher Template
Another useful Cash Payment Voucher Template that allows you to receipt payments by Invoices.
Guidelines for creating a Cash Payment Receipt:
Introduction to both parties involved:
A cash payment receipt note starts with giving details of both parties involved in the monitory transactions. The first party is the one who is making the payment and 2nd party is the receiver of the payment. This part should include their full names, addresses and contact details and if possible, name of the companies they work for.
Date of Payment:
For tracking and record keeping purposes, it’s very important to put date on the cash payment receipt. This will indicate the exact date on which the payment was made.
Unique tracking number of the receipt:
The basic purpose of a cash receipt is to keep track of payments made in the past and it can’t be done if you can’t track a particular payment to the receiver. There has to be a unique tracking number on the receipt so it’s in the permanent record and when there is need to track who made this particular payment, who authorized it and who received it against what services or products, this tracking or reference number will come handy to track all the details.
Type of Business:
This part is not very common but for taxation purposes, multinational organizations and corporations are asked to mention nature of business of each involved party. For instance, a car showroom wants to buy new computers from an IT firm so on the cash receipt, they will mention that 1st party ‘buyer’ has a car showroom and needs new computers for their office where the 2nd party ‘IT firm’ sells computers. For more of day to day purchases, this part is not mandatory to be added in the cash payment receipt.
Description of Product or Service:
This part of the cash receipt will include full details and description of the products or services against which the parties are transferring money. For instance, a business has purchased new furniture and they agreed to make the payment on delivery. This means when the furniture is delivered, they will make the payment and it will be described in the receipt that this payment is made against purchase of office furniture. The same thing goes for the services that are provided to an individual or a company.
This is like the heart of the cash payment receipt because it will include all the crucial details of the payment. Starting with the exact amount that is being paid is written both in numbers and words so there is no error or typo. Next thing would be to include the method of payment i.e. check, cash or bank transaction. Further it will include the details of previous payments and balance to pay amount after making current payment but these are mostly used for businesses that regularly do business on credit. When this receipt is used for one time purchase, there is just the need of the statement that full payment is made with no balance.
Signature of both Parties:
At the end, a cash payment receipt will be considered completed and it will have legal value only if both parties involved in the transaction sign the receipt. When we talk about these cash receipts, there are usually two copies made; original stays with the person who paid and photocopy goes to the receiver of the payment. Both of these copies need to be signed by both parties.