Voucher

What a voucher is

A voucher is a document that supports and authorizes a payment obligation. In accounting it serves as the backup file for short-term liabilities owed to vendors and suppliers. Outside accounting, “voucher” can also mean a coupon or ticket redeemable for goods or services (common in travel, hospitality, and government programs).

Vouchers in accounting

In accounts payable, a voucher gathers all supporting documents needed to approve and record payment of an invoice. It is both a workflow and internal-control tool that:

• Verifies that goods or services were received
• Shows authorization for payment
• Identifies the proper ledger accounts for posting
• Creates an audit trail linking the invoice, receipt, and payment

All outstanding voucher amounts are totaled and reported as accounts payable on the balance sheet. When paid, vouchers are updated to reflect the payment and reduce payables.

Typical contents of a voucher

A complete voucher package usually includes:

• Supplier invoice
• Purchase order or requisition
• Receiving/shipping receipt proving goods were delivered
• Payment terms (amount, due date, early-pay discounts)
• General ledger account codes for posting
• Signatures or approvals from authorized personnel
• Proof of payment and payment date (once paid)

Be aware that some vouchers (non-accounting types) may have expiration dates and specific redemption terms.

Control and audit considerations

Vouchers are a key internal-control and audit document:

• Auditors use vouchers to confirm that recorded purchases occurred and were authorized.
• Vouchers document the chain of responsibility, supporting segregation of duties (e.g., ordering, receiving, approving, and paying performed by different people).
• Maintaining complete voucher records reduces the risk of fraud and provides evidence for financial statement assertions.

Example

A restaurant orders meat from a supplier. Process steps:

1. Manager creates a purchase order and owner approves it.
2. Delivery is checked against the purchase order; a receiving/shipping receipt is completed.
3. Supplier invoice is matched to the purchase order and receiving receipt.
4. A voucher is prepared that includes the purchase order, receiving receipt, and invoice, along with account codes.
5. The owner signs to authorize payment; payment is made and recorded on the voucher.

The voucher supports posting to inventory and cash/accounts payable entries and remains as audit evidence.

Other voucher types

• Housing voucher (e.g., Section 8): government assistance that helps low-income households pay for private rental housing.
• School voucher: public funding that families can use to enroll children in private or charter schools.
• Commercial vouchers/coupons: issued by businesses (airlines, hotels, retailers) redeemable for specified goods or services.

Bottom line

In accounting, vouchers organize, authorize, and document payments to vendors, strengthen internal controls, and provide essential audit evidence. The broader meaning of “voucher” also covers redeemable tickets or vouchers used by governments and businesses to deliver benefits or services.