Payroll in Tally Prime:

Create a New Company:

F3: Company > Create

F11: Company Features > Payroll
Maintain Payroll: Yes

Add Capital in Company

F6 (Receipt) Add Capital of 100000

Dr Cash
Cr Capital (under Capital Account)

Create Employees Group in Tally Prime

Gateway of Tally > Create > Payroll Masters > Employees Group

Group Under Define Salary Details

Marketing Primary No

Sales Primary No

Account Primary No

HR Primary No

Create Units (Work)

Gateway of Tally > Create > Payroll Masters > Units (works)

Unit Type Symbol Name

Simple Hrs Hour

Number of
Simple Days
Days

Second unit:
Compound First Unit: Days, Conversion - 8
Hrs

Create Attendance / Production Type

Gateway of Tally > Create > Payroll Masters > Attendance/ Production Type

Name Under Attendance Type Unit

Period
Present Primary Attendance/Leave with Pay Type:
Days

Days of 8
Overtime Primary Production
Hrs

Create Pay Heads in Tally Prime

Gateway of Tally > Create > Payroll Masters > Pay Heads

Name : Basic Pay

Pay Head Type: Earning for Employees

Income Type : Fixed
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : Yes
Calculation Type : On attendance
Attendance with Pay : Present
Calculation Period : Months
Basis of calculation : As per calendar period
Rounding Method : Normal rounding

Name: HRA

Pay Head Type: Earning for Employees

Income Type: Fixed
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : No
Calculation Type : As computed value
Rounding Method : Normal rounding

Computation Info
Compute : On specific Formula
Add Pay Head : Basic Pay
Slab Type : Percentage
Value : 20 %

Name : DA

Pay Head Type: Earning for Employees

Income Type : Fixed
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : No
Calculation Type : As computed value
Rounding Method: Normal rounding

Computation Info
Compute : On specific Formula
Add Pay Head : Basic Pay
Slab Rate : Percentage
Value : 40 %

Name : Transport Allowance (TA)

Pay Head Type: Earning for Employees

Income Type : Fixed
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : No
Calculation Type : As computed value
Rounding Method: Normal rounding

Computation Info
Compute : On specific Formula
Add Pay Head : Basic Pay
Slab Rate : Percentage
Value : 10 %

Name : Bonus

Pay Head Type: Earning for Employees

Income Type : Variable
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : No
Calculation Type : Flat Rate
Calculation Period: Monthly

Name :Provident Funs (PF)

Pay Head Type: Deduction from Employees

Under : Current Liability
Affect Net Salary : Yes
Calculation Type : As computed value
Rounding Method : Normal rounding

Computation Info
Compute : On specific Formula
Add Pay Head : Basic Pay
Slab Rate : Percentage
Value : 12%

Name : ESIC

Pay Head Type: Deduction from Employees

Under : Current Liability
Affect Net Salary : Yes
Calculation Type : As computed value
Rounding Method : Normal rounding

Computation Info
Compute : On specific Formula
Add Pay Head : Basic Pay
Add Pay Head : DA
Slab Rate : Percentage
Value : 3%

Name : Over Time

Pay Head Type: Earning for Employees

Income Type : Variable
Under : Indirect Expenses
Affect Net Salary : Yes
Use for Calculation of Gratuity : No
Calculation Type : On production
Production type : Over time

Create Employees in Tally Prime

Gateway of Tally > Create > Payroll Masters > Employee

Employee Creation Window

Name : Rajesh Saxena
Under : Marketing
DOJ : 1st April 2021
Define Salary Details : Yes

Salary Detail Window

Pay Head
Basic Pay :20000
DA:
HRA:
Transport Allowance (TA) :
Bonus : 1000
Overtime : 50 ( Rate )
Provident Fund (PF)
ESIC
Employee Number : M111
Designation : Manager
Function : Marketing Management
Location : Delhi
Gender : Male
DOB : 01-April-1990
Blood Group : A Positive
Father Name : Rohit Saxena
Spouse Name : Reena
Address : Muzaffarnagar
Phone Number : 9876543433
e-mail : [email protected]

Provide Bank Detail – Yes

Bank Details window appear
Account Number : 123456767788
IFSC code: ABCD0123456
Bank Name : Specify Bank Name
Bank Name : State Bank of India
Transaction Type : e-fund transfer

PAN Number : ASDFG1234C

Aadhar number :1234567891234567
PF Account number : ABCD11334
PRAN : 576778788
ESI NUMBER : 5654433
ESI DISPENSARY : DELHI
 Gateway of Tally > Display more Reports> Payroll Reports> Employee Profile

Gateway of Tally > Create > Payroll Masters > Employee

Overtime Emp
Name Under Basic Pay Bonus Designation
Rate Number

Rajesh Saxena Marketing 20000 1000 50 M111 Manger

Sunil Saini Account 20000 1500 100 A001 Manager

Irfan Account 22000 1000 50 A002 Clerk

Ajay Gulia HR 25000 1000 80 H001 Head

Ravi Raj HR 15000 1000 70 H002 Executive

Sameer Marketing 9000 1000 45 M001 Manager

Jyoti Tyagi Marketing 11000 000 30 M002 Executive

Payal Marketing 12000 1000 40 M003 Clerk

Rajesh Sales 25000 2000 50 S001 GM

Note : Over time rate to be filled for each employees at salary details

Payroll Vouchers in Tally Prime

Attendance Boucher Creation

Gateway of Tally > Voucher > F10: Other Vouchers > Payroll vouchers >
Attendance
Change Voucher Date 31 -05-2022
Ctrl + F (Auto fill)
Attendance Auto Fill Window

Voucher Date : 31-05-2022

Employees Group : All Group
Attendance Type : Present
Default value : 0
Sort by : Employees Name

Fill the value : Number of Present days for each individual from the below table.
Month May (1-5-2022 to 31-5-2022)

Overtime
Name Under Present
(hrs)

Rajesh Saxena Marketing 25 10

Sunil Saini Account 28 20

Irfan Account 31 0

Ajay Gulia HR 25 25

Ravi Raj HR 15 0

Sameer Marketing 30 10

Jyoti Tyagi Marketing 31 5

Payal Marketing 31 0

Rajesh Sales 31 0
Repeat for above step for attendance type : Overtime

Payroll Boucher Creation in Tally Prime

Gateway of Tally > Voucher > F10: Other Vouchers > Payroll vouchers > Payroll
Ctrl +F (Auto fill)

Payroll Autofill window

Process for : Salary
From : 01-05-2022 To: 31-05-2022
Employees Group : All Items
Sort by : Employees Name
Payroll Ledger : Cash
Accept

Display the Salary Information

Gateway of Tally > Display more report >Payroll reports >

Pay slip
Pay Sheet
Attendance Sheet
Payroll Register
Attendance Register
Employee Profile
Employee Head count