The chart of accounts is a list of all your company's accounts and their balances. In QuickBooks, you use these accounts to categorise your transactions on everything from sales forms to reports to tax forms. Each account has a transaction history and breaks down how much money you have (or owe).
Here's what you need to know to get started.
What account types are on the chart of accounts
When you open your chart of accounts, you'll see a long list of accounts. These are known as account histories. Each account has its own account history. Simply go to the account history to review its transaction history and current balance.
Your chart of accounts gives you different account types to categorise transactions into:
- Assets: Records of purchases for things like vehicles, equipment, buildings, and other assets used for business.
- Liabilities: Records of money you owe but haven't yet paid.
- Income: Transactions and payments you get from your normal day to day business, such as sales revenue or income for services rendered.
- Expenses: Transactions of money you spend on expenses related to normal business operations, such as advertising and promotion, office supplies, and rent.
Open your chart of accounts
In QuickBooks Online
Select Settings ⚙ and then Chart of accounts.