How to Make a Receipt for Cash Payment (Step-by-Step Guide with Example)

Cash payments are still widely used across many countries for small businesses, local services, rentals, and daily transactions.
Whenever cash is exchanged, a cash payment receipt is important to confirm that the payment has been received.

Many users search for:

How to make a receipt for cash payment
Cash receipt format
Printable cash receipt

In this guide, we’ll explain how to create a proper cash payment receipt and how online receipt tools make the process easier and more professional.

What Is a Cash Payment Receipt?

A cash payment receipt is a document that confirms money has been received in cash for a product or service.

It is commonly used for:

Retail sales
Service payments
Rent payments
Small business transactions
Expense records

Cash receipts are different from invoices because they confirm payment already made, not payment requested.

Businesses usually generate cash receipts using tools available in the Receipt Generator section of GoSetle®.

Why Is a Cash Receipt Important?

Cash receipts are important because they:

✔️ Provide Proof of Payment

They confirm that the buyer has paid in cash.

✔️ Prevent Disputes

Both buyer and seller have a written record of the transaction.

✔️ Support Accounting

Cash receipts help track daily cash flow.

✔️ Help with Records & Audits

Clear receipts make bookkeeping easier.

Because of these reasons, cash receipts are widely used in sales receipts and expense receipts.

What Details Should a Cash Payment Receipt Include?

A professional cash payment receipt should include the following:

1️⃣ Business or Receiver Details

Business name or individual name
Address or contact information

These details are automatically added when you use the GoSetle® Receipt Generator.

2️⃣ Receipt Information

Receipt number
Date of payment

3️⃣ Payment Description

Reason for payment
Product or service name

For detailed billing, many businesses prefer itemized receipts instead of simple cash receipts.

4️⃣ Amount Received

Amount paid in cash
Currency

5️⃣ Payment Method

Clearly mention:

Payment Method: Cash

6️⃣ Signature or Note (Optional)

Receiver signature
“Payment received in cash” note

Example of a Cash Payment Receipt

Below is a simple example of a cash payment receipt format:

Cash Payment Receipt

Receipt No: 10245
Date: 15 Jan 2025

Received From: John Smith
Amount Received: $150.00
Payment Method: Cash

Description: Repair Service

Received By: ABC Services

This format is commonly accepted for business and personal records.

How to Make a Cash Payment Receipt Online

Instead of writing receipts by hand, most businesses now create cash receipts online.

Using the Online Receipt Generator on GoSetle®, you can:

Select the Cash Receipt option
Enter business and customer details
Add payment description and amount
Select payment method as Cash
Generate a clean, printable PDF receipt

All receipt types, including cash receipts, sales receipts, and expense receipts, are available under the main Receipt Generator hub.

When Should You Always Issue a Cash Receipt?

You should always create a cash payment receipt when:

Receiving cash from a customer
Accepting rent or service payments
Recording business income
Maintaining expense records

Issuing cash receipts improves transparency and trust.

Cash Payment Receipt vs Invoice

Many users confuse invoices with cash receipts.

Invoice → Request for payment
Cash Receipt → Proof that cash has already been received

For completed cash transactions, a cash receipt is always the correct document.

Digital Cash Receipts vs Handwritten Receipts

Digital cash receipts are preferred because they are:

Easy to read
Professional
Printable
Easy to store and resend

Handwritten receipts often fade, get lost, or miss important details.

Conclusion

A cash payment receipt is essential whenever money is received in cash.
It protects both the payer and the receiver and helps maintain proper records.

Using the GoSetle® Receipt Online Generator, you can easily create professional cash payment receipts that are clear, accurate, and accepted for business and record-keeping purposes.