As PC POS Software developers, we would just like to say in the beginning, right off the bat, of course not, who would even think that this is right and that’s it! End of story. This article is finished right here with this sentence.
Complaints from business owners
However believe it or not in 18+ years of developing PC POS Software of all kind starting from coffee shop software to bakery software to furniture store software to jewelry store software and everything in between, when we provide support for software there’s an overwhelming amount of business owners that complain and think that the payouts should reflect as less cash collected on the Z report. I don’t know why at time this seems like it is a never ending battle or battle that we can’t win, but we have to push back and plead with business owners that think that it is okay to have a report which states for local or federal taxes and regulation purposes that you have collected less cash than what you actually have, no matter your reasoning for this bad idea.
Importance of accurate PC POS Software reporting for taxes and accounting
Now we’re not accountants or tax compliance professionals by any stretch of the imagination, but as point-of-sale software Developers that serve many needs of many Industries, with a variety of software products, such as pos system for hair salon, retail pos software, Pub software, Book store software and many many more, we have learned one simple universal truth in taxes and accounting and that is you should never report that you have taken less money than you actually have, no matter what kind of expenses you had to lessen your cash total in the register physically that day.
Examples of payouts from cash drawer
So if you use our software in a grocery store and you sell Lottery tickets, we understand that you have payouts on some winning lottery tickets, but the cash intake needs to be a separate total in the report and stay intact and accurate, so those payouts have to be a different line that is later subtracted for your own purposes of balancing the cash drawer, but not to lessen the reporting of the cash intake of the business that day.
The same argument can be made with respect to many different businesses and uses of PC POS Software, such as when the knife Smith comes in and sharpens the knives in the restaurant kitchen (for our restaurant software users) or, believe it or not, when the knife Smith comes in and sharpens the scissors in a hair salon or barbershop (for our salon software or barber software users) and you have to pay them out (many times cash from the register), as a small business many times people pay cash out of the register.
You may have a bar and you may have an alcohol delivery and you just open up the bar POS and take out cash to pay for that delivery, that doesn’t mean that your z-report at the end of the night will need to show less cash just because you took some cash out to pay a vendor. You may be a barter, sell and trade kind of a place, kind of like a pawn shop, where you may need to buy certain items very frequently from your customers, so that you can later resell them, again that doesn’t mean that your Z report in the end of the night should show that your PC POS Software took less money than what it actually did, that would be misreporting your business activity to your taxing authorities.
Balancing the cash register the easy way vs. PC POS Software accurate reporting
In the end we understand that people want to just easily count and balance the cash register in the end of the day, with less subtotals and subtractions and exceptions, but we have to also follow the laws and regulations and not misrepresent or misreport what the cash intake of the business that day was, no matter if it makes balancing of the cash drawer easier.
