The Chart of Accounts (COA) is the foundation of your accounting system, organizing all financial transactions into relevant account categories. It provides a structured list of accounts used in the general ledger.
COA is divided into five main categories:
Assets – What the business owns (e.g., cash, inventory, equipment).
Liabilities – What the business owes (e.g., loans, payables).
Equity – The owner’s stake in the business.
Income – Revenue generated from sales or services.
Expenses – Costs incurred to run the business.
A well-organized COA ensures clear financial tracking and better decision-making.
How to Add a New Account
Navigate to Accounting > Chart of Accounts > Click +New.
The New Account window appears as per below.
No. | Field | Explanation | Required / Optional |
1 | System Type | Select a system type if applicable. Only for special accounts. The system uses this to recognize specific accounts for use in certain modules. For example:
Leave it blank for accounts that do not fall under any of the above categories. | Optional |
2 | Type | Account type - Assets, Liabilities, Equity, Income, Expenses. | Required |
3 | Classification | The classification for cashflow statement, e.g., Financing, Operating, Investing).
Only for Current Asset, Non-Current Asset, Current Liability, Non-Current Liability, Equity. | Required |
4 | Parent Account | If this is a sub-account, select the parent account. | Optional |
5 | Currency | The default currency follows your Bukku account’s home currency. You can choose other currencies for Bank and Credit Card accounts only. | Required |
6 | Account Code | Auto-generated or you can have your own account code. | Required |
7 | Name | Enter a unique account name. | Required |
8 | Description | Provide a short description of this account’s purpose. | Optional |
Once done, click Save to add the account to your Chart of Accounts.
How to Edit an Existing Account
Go to Accounting > Chart of Accounts.
Locate the account you want to edit.
Click 'View', then update the necessary details (e.g., account code, account name).
Click 'Save' to apply the changes.
Note: The System Type cannot be edited or removed once saved. If you need to change it, create a new account with the correct System Type and delete the existing one.
How to Deactivate an Account
If you no longer need an account but want to keep its historical records, you can deactivate instead of deleting it.
Go to Accounting > Chart of Accounts.
Locate the account you want to deactivate.
Click the three dots beside 'View', then click on the 'Deactivate'.
Confirm the action when prompted.
The deactivated account will no longer be available for new transactions but it will remain in reports.
To Activate a Deactivated Account:
Toggle on "Inactive Only" to display deactivated accounts.
Locate the account and click the three dots next to 'View'.
Select 'Activate' to restore the account.
How to Delete an Account
You can delete an account if no transactions are linked to it.
Go to Accounting > Chart of Accounts.
Locate the account you want to delete.
Click the three dots beside 'View', then click on the 'Delete'.
Confirm the deletion when prompted.
