Voiding Checks in Accounting Software

Discover why voiding checks is necessary inside your accounting computer software, and also the general method for voiding them.

A check really should be voided if you still have it in hand, and the quantity is incorrect, it was issued to the wrong vendor or bank, or the invoice really should not have been paid. As soon as a check has been voided, a record of that transaction remains in the system. If you have already sent out the check, you will need to only void the check if they never ever received it, and you need to have to send a new one.

The void check function is used to cancel an existing payment transaction. If the check had been used to pay an invoice, then voiding that check will also reverse the payment for that invoice, returning it to an unpaid status. Once the open invoice has been restored, it will once again display on the open invoices and vendor aging reports. If the original check was entered without applying it to open invoices, then the void approach will also void the expense portion of the check.

If a check quantity had not previously been recorded, due to the check becoming destroyed ahead of ever entering the program, you will have a gap in sequence numbers. If your organization likes to account for all check numbers, it is excellent practice to record and void that check in your accounting software. That way you will not question the missing check number later on, as it will be accounted for inside the system.