Customize your Chart of Accounts in QBO - Best Practices from a CFO

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2 жыл бұрын

Need to get QBO set up for your business? Save money & grab a 12 month discount here: claracfo.com/QBO
Grab your FREE Chart of Accounts Example here: claracfo.podia.com/example-ch...
This chart of accounts example is in QBO. Need to get QBO set up for your business? Save money & grab a 12 month discount here: claracfo.com/QBO
What is the chart of accounts? It's the LIST of available categories you can put your transactions in an accounting system. It is like your FILE FOLDER names for your accounting data.
Why does the chart of accounts matter? Because it can make your bookkeeping much easier and more understandable. But more importantly....it can make your financial statements so much more helpful to you as a business owner!
Find more resources for your small business HERE: learn.claracfo.com/
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Hannah Smolinski is a #CPA and the Founder of Clara CFO Group. Find out more about Clara CFO Group at claracfo.com/
Disclaimer: This video is intended for educational purposes and
should not be taken as legal or tax advice. You should consult with your financial professionals about your unique financial situation before acting on anything discussed in these videos. Clara CFO Group, LLC is providing educational content to help small business owners become more aware of certain issues and topics, but we cannot give blanket advice to a broad audience.

Пікірлер: 178

@user-nk5ls3mq9d 11 ай бұрын

Thanks a lot, Clara! Some of the instructions I've received in the past (from others) don't use the account numbering system and some do. You do a great job in explaining it all. You seems like an excellent teacher and you are very clear. Thanks again!

@frankhough1009 9 ай бұрын

Hey I just wanted to say thank you so much for this and for linking to your free chart of accounts. Using that to adjust my quickbooks accounts has been the most helpful thing I've ever done accounting wise. Thank You!!

@mariatlopezleguizamo6483 Жыл бұрын

Thank you for the inspiration you have given me. I am a 62-year-old woman looking to change careers. Accounting it is! Thank you! Thank you! Thank you!

@ClaraCFO Жыл бұрын

You can do it!

@liedobacelar6685 2 ай бұрын

Thank you very much, Clara! Your content is very important to me. I'm a Brazilian accountant who's trying not to give up on accounting. I'm looking more and more into bookkeeping.

@jenyarose4411 Жыл бұрын

Clara, thank you so much for this video! I've been searching for a way to standardize the numbering of my chart of accounts forever and this template that you give out is the best thing that ever happened! Thank you so much!

@ClaraCFO Жыл бұрын

wow - so glad I could help!

@GenealogyTV Жыл бұрын

Thanks! As a fellow KZfaqr, I appreciate you sharing your knowledge. I'm just coming back to Quick Books after years of doing it manually. I had been a QB user back when it was software you purchased. I quit then because their support was horrible. Yesterday, I signed up for QBO and have had a great experience. Their support now is awesome. What a difference. I'm learning a lot from you... just wanted to say thanks. Now on to cleaning up my chart of accounts. :)

@ClaraCFO Жыл бұрын

Thank you so much for your support! Love what you are doing on your channel too! QB support has been my major complaint about them in the past - I am SOOO happy to hear that your experience has been better!

@davidkaiser4803 5 ай бұрын

Thanks Clara-I prefer using acct numbering-it does make sure like things are grouped in the COA

@emilyfisher9649 3 ай бұрын

Clear and accessible explanations, thank you so much.

@silvervixen8270 Жыл бұрын

Just signed up for QBO using your website! Thank you for sharing your knowledge with us. Much appreciated.

@ClaraCFO Жыл бұрын

Thanks for using the link! Check out this playlist for more videos to help support you in using QBO: kzfaq.info/sun/PLUcXTCG4ArAlATaIlyGPM94PEs_icwSFb

@Mrsnavidad Жыл бұрын

Thank you for the great information Clara. Your content is helping me so much. It is definitely clarifying so many questions and confusion I been having for sometime already. By any chance do you have a video showing what is the task for a bookkeeper, or What will be the most important things to focus on daily basis. I was scrolling down to your videos and didn’t find one, maybe I miss it. Thank you again. 😊

@SusanBWynn Жыл бұрын

I just started a small business. I have been looking at KZfaq videos on QBO. As a non-bookkeeping person there are some BORING videos on QBO. I was so dreading the financial part of the business. Your videos are just what I need. Thank you so much for sharing your knowledge. I had no idea how to set up the chart of accounts. So dreading how to even start. Thank you for sharing the Excel sheet to get me started. If I had not already signed up for QBO I would have used your affiliate link. Being a non-bookeeping person I can't absorb stuff on accounting that is more than an hour. Thanks for keeping them short and sweet.

@ClaraCFO Жыл бұрын

Thanks for watching! I try to explain things in plain english instead of accountant-ese. Glad it could help!

@danilsopaulino3891 6 ай бұрын

Excellent video Clara. is helping me a lot. Thanks

@gleidismazo3426 8 ай бұрын

Wonderful Clara!!!😊

@danielgrimgoodstufftonics8108 6 ай бұрын

Thanks Clara. Appreciate you!

@niameanspurpose Жыл бұрын

Love the resource! love your website! enjoyed this video! got my copy of the COA. thank you for sharing❤🦋

@ClaraCFO Жыл бұрын

Yay! Thank you, so glad I could help!

@user-hf3tf2wl4p Жыл бұрын

thank you for your time,It was great!

@alexzandriaprack7856 Жыл бұрын

You have been so helpful. Thank you so much for all the information

@ClaraCFO Жыл бұрын

You are so welcome, happy to help! Thanks for watching!

@joelnelson1682 2 жыл бұрын

Great conversaition, thanks Hannah!

@ClaraCFO 2 жыл бұрын

Thanks for watching!

@KevinKempOvenmagic Жыл бұрын

Thanks great video I’ve learned a lot

@sewingseeds. 5 ай бұрын

Thank you! Fantastic resource and very easy to understand. 💕

@ClaraCFO 5 ай бұрын

Glad it was helpful!

@leannecyr7149 3 ай бұрын

Thanks so much! This was so helpful! Love your videos!

@ClaraCFO 3 ай бұрын

You are so welcome! Thanks for watching!

@michelehardy1018 Жыл бұрын

Thank you very helpful and the copy of the chart of account is great.

@ClaraCFO Жыл бұрын

So glad it was helpful!

@3dReloaded3d 8 ай бұрын

Great video!

@davidbernstein3406 Жыл бұрын

Thanks for the information in this video, and also the free download! Would you consider doing QBO videos specifically for non-profits, such as a church? Thanks!

@muhammadsibtainarif6423 27 күн бұрын

Thank you. God Bless.

@craigwhite2376 Жыл бұрын

Great day, Clara. I would like to thank you for your great content. My question is, how do you set up a chart of accounts for holding company?

@Faith-ko5eg Жыл бұрын

Thank you! You do a great job.

@ClaraCFO Жыл бұрын

Thank you so much!!

@mrs.farley2390 Жыл бұрын

Thank you so much for this information. Very helpful.

@ClaraCFO Жыл бұрын

So glad! Thanks for watching!

@LeadGuitarWorkshop Жыл бұрын

This was so helpful, thank you very much

@ClaraCFO Жыл бұрын

Glad it was helpful!

@mariselatamayo594 Жыл бұрын

I want to learn a little more to be able to do my own accounting and be organized you explain the way I can understand but now sure how to start

@StephaniesKitchen Ай бұрын

Thank you again. Absolutely helpful, and similar to what I was doing. Beautiful!!

@ClaraCFO 27 күн бұрын

Great!

@LotusLegalServices 3 ай бұрын

Hi Clara! Thank you so much for your videos! They have been great help doing my own accounting for my business. What do you suggest (chart of accounts) on monthly car payments? TIA

@humphreychinyanta9251 3 ай бұрын

Thanks a lot . I really needed this.

@ClaraCFO 2 ай бұрын

Awesome! Glad it helped!

@TerryCollinsP31Lifestyle 5 ай бұрын

Thanks for this video

@Miriam-jy7tgz 3 ай бұрын

You did it again!!! Clara this is another great video. Thank you for your help, I appreciate it very much, and I wonder if you have any videos for chargebacks I am not sure if they are treated as credits, I am not sure. Could you please upload something like that?

@skorm22 Жыл бұрын

Great video, thanks for posting this information. The detail types that are already in the chart of accounts don't really fit what I am needing for the agriculture business I have, is there a way to edit the pre-existing ones or add my own?

@MoniqueJohnson Жыл бұрын

Thank you soo much for this video! It was sooo helpful! I have a question. For the Chart of Accounts Spreadsheet, how do we get in the numbers into QBO? Is this something that is manual or is there a way to upload directly to once you have completed customizing it? Thanks so much!

@loriannetenhaaf7792 Жыл бұрын

Thank you for this! We are going from an outdated QB desktop that can't be updated for a non profit. We are using labels. Do you have a video for that?

@macedo99 Жыл бұрын

Hello, Thank you so much for this video. Any chance you have a video for setting up a chart of account for a Mental Health Private practice?

@robertstone7510 8 ай бұрын

THANK YOU

@sauboonsoaps 2 ай бұрын

Thank you for this video. I'm interested in learning how to customize chart of accounts for a non-profit organization. Do you have a tutorial on that?

@jemacphee Жыл бұрын

Would you follow this same numbering scheme if you wanted departments (eg R&D, Sales, Marketing, G&A etc) thanks. Very helpful video

@BryanBarteau Жыл бұрын

Thanks from a newbee!

@ClaraCFO Жыл бұрын

Newbies welcomed here!

@jericsonchavez Жыл бұрын

❤❤ thank you

@user-us3sf1gp4k 7 ай бұрын

Great video on how to properly set up chart of accounts. My question is that if a company started using chart of accounts without the account numbers, once updated with numbers, will the number automatically show on the P&L and Balance sheet as well as journals? Thank you

@tati2084 8 ай бұрын

HI Clara, how do you categorize if you provide water and ice or soft drink for employees (landscape) or sometimes meals when the job is far away?

@iceyt3387 11 ай бұрын

Thanks for all the videos you uploaded. I used to use QB daily, but have been out of the workforce for over 10 years and now I'm trying to find an accounting job again by learning a newer version of QBO. I downloaded the chart of accounts and noticed that #8800 Depreciation was under Taxes. Shouldn't it normally be above Taxes? I guess it's just a typo, isn't it?

@sarab8618 9 ай бұрын

Thanks Clara. Question for you - is it really hard to change the standard COA to your format after a few months of categorizing? Wondering how much work /time it will take to number everything and if that means recategorizing?

@84GotRotts 7 ай бұрын

how did I find you!!! thank you. We're dog breeders, website developers, health care providers but not acountants. I need these skills. Thank you again!

@rww4624 11 ай бұрын

Hi Clara. I really love your videos! I am brand new to QBO and I am trying to start my own bookkeeping business. I'm so confused. What is the fastest way to learn enough to start taking simple service based clients? I am getting overwhelmed with so many words and not actually learning.

@mikefigomike 2 жыл бұрын

Hi Clara, Great Video. Thanks for sharing. Could you please make a video on Payroll Accounting (Setting up GLs, recording and reconciling Payroll). FYI- we use PayCom for payroll processing. Thank you in advance!

@ClaraCFO 2 жыл бұрын

Great suggestion! I will add that to the list of things to work into the calendar!

@rjp100 6 ай бұрын

Great for initial set-up but how do you change the order of things in the COA for an "existing" business?

@lisacorey1383 Жыл бұрын

I added and categorized some of my matches so I do have duplicates which I know will mess up my P&L can I delete one and would I do it from register. Thank You so much

@memelianr 2 ай бұрын

¡Gracias!

@ClaraCFO 2 ай бұрын

Thank you!!! 🙏

@ChadAmI80 Жыл бұрын

Do you have any videos on how to setup inventory and COGS? We have a handmade biz and inventory flat out sucks. We have so many bits and bobs that go together to make any one of our final products.

@stacymccollom5829 5 ай бұрын

Hi Clara! Thank you for your help with Chart of Accounts info. I'm trying to find the free download you offered. I am having no luck. I subscribed and liked your video, but I need to know where that Chart of Account download id. Thank You!

@Erin-sp1lm 5 ай бұрын

Question: revamping my COA's will this affect my previous year books. I have been using QB's for a few years and would like to Move some expenses to COGS and correct some tax lines. Thanks for the video!!

@memelianr 2 ай бұрын

Hello Clara: In case you already have a Chart of Accounts for years (have its have balances in BS) and you want to update with a new Chart of accounts, For example, a Franchise that wants to do it the same for all of them, can I import? Is there a way? or you have to change it one by one, Is there any video of yours that explains it? Thank you for everything, you help a lot by transmitting your knowledge. thank you very much!!! Manuel Melian

@stoneyj1a1 Ай бұрын

You could explain the fed and monetary system pretty good

@user-zx7qc9wf2f 11 ай бұрын

How do I get a download of the sample chart of accounts? Thank you video was very helpful.

@stevensteck8749 Жыл бұрын

Clara I'm a new subscriber so add to your 20% : ) The videos I've watched so far have been great! Thank you for doing these. Being a little naive, I'm not seeing where or how I download the excel spreadsheet for chart of accounts?

@ClaraCFO Жыл бұрын

Thanks! Here you go: learn.claracfo.com/example-chart-of-accounts

@theresanewmannewman5158 Жыл бұрын

New to quick books. So I’m still in the process of setting things up. My question is I need to add my workman’s comp insurance information. But I haven’t found where I can add that info just how I can purchase it. Any help would be greatly appreciated!

@JOETERRANY Жыл бұрын

Would you happen to have some kind of paperwork that lists different chart of accounts in Quickbooks and when to use them? I have no accounting knowledge, and want to make sure I am categorizing all of my transactions in the right places for accurate P&L reports

@ericbernecker1944 Жыл бұрын

This is great information Hannah!!! Do you recommend each product be a different line-item number? also as an accountant/bookkeeper to put the services you offer as a sale of product or service/fee in the detail type? Thank you for all your knowledge.

@ClaraCFO Жыл бұрын

Hi Eric, No, I would not put a separate revenue line item for each product. Instead, I would match your individual products to revenue lines that match to product lines. I did a video on that here: kzfaq.info/get/bejne/reCbYKV_27HVg6s.html. I usually match service revenue to the service/fee detail type, but it really doesn't matter!

@ericbernecker1944 Жыл бұрын

@@ClaraCFO Awesome Thank you so much for the info.

@user-uq6dc8ee4r 11 ай бұрын

Hello there! I'm new to Canada and I've taken some QuickBooks training by watching videos. However, I've noticed that many job positions in bookkeeping require experience, which I don't have. I'm wondering how I can start my career in this field despite my lack of experience. Any advice would be greatly appreciated. Thanks!

@allyson6783 Жыл бұрын

Hi, Currently using QB premier, is it possible to run a chart of accounts by date? Thanks

@SavantStudio 3 ай бұрын

very helpful!! Thank you so much!! Quick question: what is the best way to categorize an Owner's Distribution?

@ClaraCFO 2 ай бұрын

owner's distributions are an equity account - this comment inspired my next video - coming out this week!

@SavantStudio 2 ай бұрын

@@ClaraCFO awesome! Looking forward to seeing it.

@aspectoflife Ай бұрын

good

@GK-bt6dn 10 ай бұрын

Could you please explain, is there a difference in how the Accountant QuickBooks interface looks and how it looks "regular" ? As I understand, in all your videos, you are showing when a business is doing its own bookkeeping? Thank you.

@donnabennett7443 Жыл бұрын

Thank you. This was very helpful. You mentioned we could use your chart of accounts but I don't see where I can go to download. Can you provide a link?

@ClaraCFO Жыл бұрын

Here you go! learn.claracfo.com/example-chart-of-accounts

@larryhuckstep Жыл бұрын

I have receipts saved from a phone app called Genius Scan - they are a PDF format - can QBO accept PDF copies to track expenses? Or do I need to capture the original receipt in QBO? I am just getting set up with QBO through your discount and need to go back to update everything for taxes for 2022. I am an insurance agent so a pretty simple bookkeeping of income and expenses.

@user-lz7qt4mm7i 5 ай бұрын

Hi, I downloaded the COA, is there a reason that account 5300 Sales Discounts is Typed as Income? or is it a mistake. Thank you.

@bajajudy8003 6 ай бұрын

Hi. Wondering if I can export all my business charts of accounts and employee info into my employees new company. She is buying my business but needs to have here balances and tax accounts at zero to begin her business. Would be soooo much easier than having to create all new accounts for her QB company. We are still using desktop at this point. Thank you!!!

@AquafixBasementWaterproofing Жыл бұрын

Hi Clara, can you please me understand the payroll tax accounts. What is the difference between the liability and expense accounts and which should I be using when setting up the tax, cpp and Ei.

@skydancer15 Жыл бұрын

You probably have this figured out by now since your question is 3 months old. But I see a lot of people ask about payroll tax liabilities and expenses. Payroll tax liabilities are created when you run payroll and the amounts are withheld from employees’ gross wages. They will accrue in the Liabilities accounts until it is time to pay them. For example, an employee’s total pay is $100 but they only get $69 in their check. The other $31 will be in LIABILITY accounts (FICA, FUTA, SUTA, Federal and State Income, etc.) (Maybe also in health premiums payable or 401K payable). THEN…when the time comes to pay them, that is when you zero out the liabilities and they become expenses.

@highlifeswisher Жыл бұрын

So good. Account numbers. I’m learning. Thank you. Now I only have (7) accounts that seem to be being used. My (5) bank accounts that are linked to the bank, (1) account I created called petty cash cause I needed to keep track of cash I am carrying around and (1) more account my CPA created called “Owner Draws” that contains all the transactions where I was depositing money from my W2 income to fund the business. All these other accounts that you give an example of seem to be what I use as categories. So I’m a little confused as to what to do. Should I stop using categories and start creating accounts in my chart of accounts to categorize income and expenses?

@caroltaavola1353 Жыл бұрын

Yes, QBO uses the term “categorize” meaning to assign an account.

@suefly2 Жыл бұрын

How would I list in the chart of accounts a repayable cash/check loan for funding/expenses from a person or business?

@oneloriwayne Жыл бұрын

How would this apply for QBSE? Or is that totally different set up system? Since your example was a landscaper (likely SE), I wondered if same applies to QBSE? Thanks, info was insightful, good to see someone excited about graphs, charts, numbers. :)

@ClaraCFO Жыл бұрын

I don't work in QBSE at all. I think there's not a lot of customization in that system. Sorry I can't give you a clear answer! I'm definitely nerdy about charts/graphs/numbers :D

@johnpeterson5354 Жыл бұрын

So we use the account numbers to determine the order of accounts on our Balance Sheet. How do I remove the account numbers from my formal report?

@Mr1Drahcir1968 Жыл бұрын

Clara, I am new to quickbooks and my partner did something I can't figure out how to fix? We have our business checking account and business Amex linked to our quickbooks. The business Amex is in his name and also linked to his personal account. He moved money from the business checking to his personal checking and then paid the credit card from his personal checking account? Now all the credit card payments have a description of mobile thank you and a category of Transfer from uncategorized asset. How do I record these???

@MariaMartinez-ns9yi 8 ай бұрын

Where do I get the table?

@francescareyes1984 Жыл бұрын

Hi Hanna can you please type in the link where we can download the chart of accounts that you had discussed. Thanks

@ClaraCFO Жыл бұрын

Here you go! learn.claracfo.com/example-chart-of-accounts

@admiralkidd Жыл бұрын

I signed on to your website but was unable to download the free chart of accounts. Why?

@gaylesprague7555 Жыл бұрын

I am a Real Estate Broker I am having a hard time setting up my expenses under subcatagories. This his helping.

@ClaraCFO Жыл бұрын

Great!

@kathyhall3879 Жыл бұрын

Hi, same comment as Donna Bennett, is the chart of accounts download available? Very helpful video.

@ClaraCFO Жыл бұрын

Yes! It's here: claracfo.podia.com/example-chart-of-accounts

@adminteam3863 2 жыл бұрын

Will you do a video on setting up multiple businesses in QBO?

@ClaraCFO 2 жыл бұрын

Not this time since my QBO series is wrapping up. Best practice is to do a separate QB file for each company, but it could be accomplished with some work-arounds.

@wilsonforward2211 Жыл бұрын

Can we change the detail type, if so how?

@mariselatamayo594 Жыл бұрын

How much is charged to start an account or how many clients can we add to quick books

@privatename012 Жыл бұрын

I'm helping out an aviation clean his books but it's my first time use qb. Do you think you can help me customize his chart of accounts?

@amyveldey3759 Жыл бұрын

I am a homeowner association. no inventory. monthly dues.... thats our income. do i have to invoice every unit individually monthly to make a deposit?

@SquaredAway-pr5bp Жыл бұрын

Could you offer a alternative download option so that it would be easier to download for people who do not use microsoft office?

@nicholasiezzi9790 Жыл бұрын

I wish my school taught this in accounting. But my HR said Quickbooks really needs to be accounting. It's more just keeping data.

@ClaraCFO Жыл бұрын

I agree - See my comment on your other comment!

@rjeedwards1225 Жыл бұрын

Can you start QBO in the middle of the year or first of the year?

@RoccoG74 Жыл бұрын

Greetings and Grand Risings~!!

@heatherlambert8231 10 ай бұрын

What if you have several different businesses? What is the best way to keep track of them all separately?

@angelamorang4482 Жыл бұрын

Setting up a Chart of Account for a new variety store. need some guidance. thank you

@ClaraCFO Жыл бұрын

Hi Angela, you may want to do a consultation with a bookkeeper to help set up a chart of accounts that's customized to your activity in your business. It will be important to think about what type of sales you will have and how you want to track them (do you want to track based on catagory of items?) You will also definitely want to track your cost of goods sold. This might be a helpful video for you as well: kzfaq.info/get/bejne/nZ-TZJmGt9OxqI0.html

@mdhasem3804 10 ай бұрын

nice, from bangladesh

@vanesslal3659 Жыл бұрын

Thank you, Clara, my question is how do you change or edit standard chart of accounts for the Church. I have a number system for income, assets, liability, and expenses. edit or new doesn't work. spent many hours.

@ClaraCFO Жыл бұрын

Hi Vaness - what version of QBO are you using? Also, I wonder if you've been given limited permissions?

@StreetTraderMax 11 ай бұрын

cool

@mario312 Жыл бұрын

Noticed that you you jumped from 1000 to 1100 from cash on hand to bank accounts, is there a reason for that?

@TravisFX Жыл бұрын

Good info. But just saw this. If I make i.e "Sales" a number of i.e. 2000. Then in the P/L the report shows as "2000 Sales" Kinda dumb. Why would it incl a category number???!!