Narration
Also called: voucher narration
What is Narration?
A narration is the short written explanation recorded against an accounting entry — a line saying what the transaction actually was, who it involved and which document supports it — so that the entry can be understood later without asking the person who made it.
Why it is not optional housekeeping
An amount and an account name tell you almost nothing a year later. The narration is what turns a ledger into something a new bookkeeper, a lender or an auditor can read without a conversation, and it is where most of the time in a catch-up or an audit is actually lost.
A weak narration and a good one
- Weak: Payment made
- Weak: Expenses
- Good: Rent for September 2026, Shop 4, paid by NEFT to Mehta Properties, ref 4471
- Good: Purchase invoice PI-233 from Kumar Traders, 40 kg flour, GST 5%
What a good narration contains
The period or date the transaction relates to, the other party by name, the document number, and anything unusual about it. Keep the pattern the same across the book — consistency is what makes a ledger searchable, and a searchable ledger is the difference between a two-hour close and a two-day one.
Frequently asked questions
One line that answers what, who and which document. Longer than that and people stop reading it; shorter and it stops being useful.