Running a small business? Keep your income and expenses organised with our simple Excel cash book template. Designed for sole traders, charities, freelancers, and small businesses, it’s free to download and ready to use.
It is based on the business bank account transactions. If you do not have a separate business account, you can post the transactions related to it from your personal account. It is not suitable for tracking sales and purchase invoices if you are VAT-registered. If your business requires an accountant, our free tool can help you find one quickly.
As a bookkeeper, I am often asked: What is the best free bookkeeping software for producing accounting reports? But everything I have reviewed is either a trial, too complicated to use or unsuitable for most companies. For this reason, I decided to design a template available for free download at the end of this page.
What is a Cash Book?
The first thing we must consider is what a cash book is. A cash book records all the money coming into and going out of your business, also known as income and expenditure, from either the bank or cash. It is the simplest form of bookkeeping and a good way to record cash transactions.
Disclosure: This content may contain affiliate links, which means if you click on them, I may get a commission (without any extra cost to you).
There are several types of cash books, ranging from a single-column cash book to a triple-column cash book. Our template is a single-column cash book that allows you to record all the figures and analysis for different account codes.
The totals page shows the income and expenditure for the whole year and forms the basis of the profit and loss account or income statement.
Alternatives to using a Free Cash Book Template
As your business grows, you may find that a cash book is insufficient to keep the business records. If you keep stock, give credit to customers or have assets, accounting software would be better to set up from the start.
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Below is a comparison of Excel vs accounting software.
| Feature | Excel Cash Book Template | Accounting Software |
|---|---|---|
| Cost | Free | Monthly/annual subscription |
| Ease of Use | Simple for small volumes of data | May take time to learn |
| Automation | Manual Entry | Automates invoicing, bank feeds, reports |
| Accuracy | Dependent on correct formulas | Reduces errors with built-in checks |
| Reports | Limited | Real-time reports on profit, cash flow |
| Tax Compliance | Manual calculations | Integrates with HMRC MTD |
| Accessibilty | On one device (or Google Sheets) | Cloud-based, access anywhere |
| Scalability | Best for very small businesses | Grows with your business needs |
| Security | Relies on your own backups | Cloud storage with secure encryption |
| Best For | self-employed, charities | Growing businesses for automation |
Cash Book Template options
We have created three versions of the cash book template. The first version includes three income sales categories, eight expense purchase categories that you can name, and forty transaction lines per month. It is enough for most accounts and ideal if you are a small sole trader or charity. It is suitable for both self-employed individuals and limited companies.
Our extended version is now absolutely free to help your business even more. Each month has a separate worksheet that shows the month’s totals. There is also a totals page which provides the profit and loss by month and a total for the whole year. It helps provide figures for either self-assessment tax or for an accountant for the year-end.
The extended version is for businesses that want to record more transactions or details, with five sales categories, thirteen purchase categories, and 95 transaction lines.
If you’re unsure which one is right for you, refer to the table below. You can also download the standard version first and see if it works for you.
| Cash Book | Standard Version | Extended Version |
|---|---|---|
| Income Codes | 3 | 5 |
| Expenses Codes | 8 | 13 |
| Transaction lines | 40 | 95 |
| Charge | Free | Free |
Our final cash book is designed for self-employed individuals and runs from the tax year, making it easier to report the figures for self-assessment.
Free Excel Cash Book Template Example
We have produced a free Excel cash book template example based on a small computer firm so that you can see it in use for yourself, along with instructions. The page provides details on how the template was set up and the bank statement used to generate the figures.
The link is available at the bottom of this page.
Cash Book Instructions
Although it is simple to use, you need to follow the setup instructions to ensure that your bookkeeping records are set up and ready to go. A complete example with instructions is available.
Using the cash book example will allow you to post some cash transactions for both cash receipts and cash payments. Looking at the totals page will show the cash book balance. It will allow you to review how it works and see if it is suitable for your small business.
If you need any help or advice, please email me.
Features of the Excel Cash Book Template
- Free to download and use as many times as you want.
- Easy-to-use cash book format.
- 1 worksheet for each month plus a total page for the whole year.
- Profit and Loss are shown month by month and total for the year.
- If you have more than 1 bank account, use a separate Excel template for each account.
- You can name income and expenditure codes; some examples are provided in the instructions, making it easier for different businesses.
- A dropdown list of account codes to make posting easier.
- Running total of your bank balance to ensure that your figures are correct.
- All the worksheets are printed on a single page.
- Suitable for small businesses or personal bank accounts.
- Easy to input all the information.
- Full instructions are provided, along with an example.
If drop-down lists are not working, you may be using an older version of Excel — upgrading to a current version or switching to Google Sheets should resolve it.
Excel Cash Book Format
When you use our free Excel cash book template, you’re working with a clean, easy-to-follow format designed to record all money coming in and going out of your business. Here’s how it’s structured and how you’ll use it:
Layout & Key Sections
- A monthly worksheet for each month, plus one “Totals” sheet for the year.
- A setup page for opening balances, business name and start month
- A worksheet to set categories for income and expenses
Then the main table where each transaction gets logged:
- Date of the transaction
- A short description or reference
- Amount
- category
- A running balance column to show what the cash or bank balance is after each transaction
Bank Reconciliation
At the end of each month and year, it is worth checking that the cash book Excel template is equal to the bank statement; this is called a bank reconciliation. It will ensure that you have posted all the cash transactions that appear on the statement.
If there is a difference, check item by item that the figures are correct and that nothing has been missed in the cash book.
Separate Business Bank Account
If you are using your personal account for business transactions, it is worth opening a business bank account. Here are the reasons why:
- Keeps personal and business finances separate
- Easier to see how much money the business has
- Quicker to reconcile statements
- You will not miss any business expenses
- A legal requirement if you are a limited company
One account worth considering is Tide; it offers a free plan you can upgrade as your business grows. It integrates with some of the top software, including Xero or QuickBooks.
Cash Book Ledger
The bookkeeping template produces an outstanding cash book ledger that shows income and expenditure. There are other ledgers within accounts, including the sales, purchases, and general ledgers. For small businesses or personal use, the cash book template may be enough to run the accounting system.
Free Excel Cash Book Template – Licence Agreement
By downloading the Excel Cash Book template, you agree to our licence agreement, allowing you to use the templates for your own personal or business use only. You may not share, distribute, or resell the templates to anyone else in any way.
Please note that additional rows and categories can not be added to the spreadsheet. If you require more categories, please follow the link below to the extended version.
Is the Excel cash book template really free?
Yes, completely free. There is no sign-up required and no trial period. Download the template, save it to your computer, and use it as many times as you need. You can customise the account code names to suit your business.
Is there a version for the self-employed tax year (April to April)?
Yes. There is a self-employed version of the cash book that runs from 6 April to 5 April, matching the UK tax year. This is ideal for sole traders who need to produce figures for their Self Assessment tax return.
Can I use the cash book template if I am VAT registered?
The standard cash book template does not include VAT tracking. If your business is VAT registered, you will need MTD-compatible accounting software such as Xero, QuickBooks, or Sage to keep digital VAT records and submit your VAT return to HMRC
What is the difference between the standard and extended versions?
The standard version has three income categories, eight expense categories, and 40 transaction lines per month. The extended version has five income categories, thirteen expense categories, and 95 transaction lines per month. Both are free to download.
Return from the Free Excel Cash Book Template to Business Accounting Basics page.
Last updated: March 2026
