Cash management: How to keep the cash book correctly

Proper cash management is crucial for accurate accounting. But what is crucial for cash management? What is a cash book? How do I keep it? And who needs one anyway?

We know how to do it! In our practical guide, you'll also find out how to make sure that the tax authorities have nothing to criticise in your bookkeeping.

Correct bookkeeping means recording all cash receipts and expenses within a company with correct accounting records. The legislator sets out specific requirements for this.

Every cashbook must contain the following data:

• Consecutive, unique numbering (document number)
• Tax rate
• Date of the entry
• Posting text
• Amount of income or expenditure
• Cash balance

However, it is not stipulated which type of cash management you ultimately decide on. There are two options here:

• Manual cash accounting (Excel)
• Electronic cash management

Both methods require a record that is complete as well as factually and chronologically allocated.

readyInsight: Our Base package already includes a digital cashbook! Electronic cash accounting with our POS software makes many processes much easier for you. The manual writing of the cash count log is no longer necessary. And archiving is also much easier.

And our POS provides all information required for display on each invoice:

• date of issue
• sequential number identifying the invoice
• full name, address, and registration number of supplier
• full name and address of buyer
• for reverse charge supply: VAT identification number of buyer and indication of reverse charge
• for intra-community supply of goods: VAT identification number in the Member State and indication of the supply
• quantity and nature of goods or extent and nature of services
• date of supply or payment on account (if applicable)
• unit price and consideration exclusive of tax
• discounts
• chargeable tax rate and tax payable, excluding reverse charge supply or specific circumstances

In order to operate in compliance with the tax authorities, entrepreneurs need to buy a suitable POS system. Not only are you investing in tax office compliance, but the right cash register will also save you a lot of time and worry. The digital cash register is more transparent thanks to the electronic storage of data. A cash register report in the traditional sense is easy to change and therefore more susceptible to errors in cashbookkeeping.

Proper cash management is important to avoid creating room for so-called ‘additional estimates’. An electronic cash register supports you in this and relieves you of the need to keep a cash book manually. This saves you a lot of time, but also the money you would otherwise have to pay in a tax audit.

If you don't want to bother yourself with keeping your bookkeeping organised, with ready2order you have found the cash register system that makes cash management child's play even without a tax consultant and simplifies financially compliant cash book management!

Keeping a cash book? Simply automate it!

Don't want to deal with the details of proper cash management? We offer a digital, state-of-the-art cash book already integrated into your ready2order POS system base package! 

• save time
• less paperwork
• always 100% tax office compliant