> For the complete documentation index, see [llms.txt](https://help.rbsgo.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.rbsgo.com/bill-passing/masters/purchase-type.md).
# Purchase Type
**Purchase Type** refers to the classification of a purchase transaction based on its nature, source, or purpose. It determines how purchase transactions are processed, accounted for, and managed within the system. Configuring Purchase Types helps organisations categorise purchases accurately and apply the appropriate accounting and operational rules.
## Steps to Create a Purchase Type
Step 1: Navigate to the **Masters** menu in the **Bill Passing** module.
1. Click on **Purchase Type**.
* The **Purchase Type** screen will be displayed.
Step 2: Click the **Add** button.
* A new Purchase Type entry screen will appear.
Step 3: In the **General** section, enter the required Purchase Type details based on your requirements.
Step 4: Navigate to the **Accounts** section.
1. Define the required accounting configurations for the Purchase Type.
2. Select the appropriate ledger accounts and accounting parameters as required.
* Verify all entered details in both the **General** and **Accounts** sections.
Step 5: After completing all required information, click the **Save** button.
* The system will validate the entered details and create the new Purchase Type.
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