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Did you know that the chart of accounts is the foundation of QuickBooks Online?  it is important that you set it up for the first time in this blog post I will share a quick online book with a book online so that you can follow step-by-step.

 

WHAT IS THE CHART OF ACCOUNTS?

 

While training our customized QuickBook Online Training for our clients, we are very creative in explaining what a chart of accounts I like to understand in this way is not much about the number of bookkeeping numbers and mathematics - this transaction About to classify a large, well-organized closet picture. Everything is a place - the objects are classified by color, weather, etc. Be used. There is a house near the shoes and purse pants are hanging neatly, classifying accounting transaction is like putting things into this ideal closet, everything is in our bookkeeping "closet" in one place accounting chart of accounts. Your small business transaction Helps in organizing Each accounting transaction should be assigned in an account. All accounts simultaneously create "charts of accounts" chart of accounts is the foundation of a small business accounting system.

 

How do you set a chart of online ticket accounts?

Thankfully, with QuickBooks Online and other small business accounting software programs, you do not need to set up a chart of accounts. QuickBooks Online makes it easy to set up a chart of accounts in just a few simple steps when you first set up QuickBooks online, based on your industry and company in your reply to the startup interview, QuickBooks Online Set up will help you set up.

 

STEP-BY-STEP QUICKBOOKS ONLINE CHART OF ACCOUNTS TUTORIAL

 

To get to the chart of accounts, select the gear icon.

 

 

 

Click Chart of Accounts.

 

The types of accounts you will be working with are:

 

 

1. Bank

2. Credit card

3. Income

4. Cost of goods sold

5. Expenses

 

To show you where these will be shown in the financial statements, click on Reports

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Select Balance Sheet. On the balance sheet you will see the Bank accounts, the account setup within the category, like Checking and Savings accounts.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

On the Profit and Loss report, you will see Income category and the accounts set up underneath it.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

What if I want to change the account name? For example, Office Expenses to Office Supplies. 

 

Go back to the chart of accounts and click on the account name that you want to change.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Click “Edit” on the right.

 

Change the Name into the one you want. For our example its “Office Supplies”.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Then click Save.

 

How do you add a sub-account?

 

In our example, we have Travel and Travel Meals.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lets make the “Travel Meals” the subaccount of “Travel”.

 

Click on Travel Meals. (Click once)

 

Click Edit on the right.

 

Check “is sub-account“.

 

A dropdown box will appear. Find the parent account by typing in Travel.

 

Then click Save.

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What if I want to delete an account?

 

Click the account name that you want to delete.

 

Then on the right  select Delete.

 

Note: If you want to see the account you deleted, just check the “Include Inactive box” at the top.

 

 

For continuation of this tutorial please check out this post “Setting Up Charts of Accounts Part 2”.

 

 

I hope that you have found this QuickBooks Online Chart of Accounts tutorial helpful. Be sure to check out all of our step-by-step tutorials. Be patient and keep learning – soon you too will be doing 5 Minute Bookkeeping. Till next time!