---
title: "Chart of accounts: Meaning for Small Business Owners"
description: "A chart of accounts is the list of categories a business uses to record income, expenses, assets, debts and owner equity."
url: https://peachtreeva.multisites.ai/glossary/chart-of-accounts
publisher: Peachtree VA
book: https://peachtreeva.multisites.ai/contact
---

Bookkeeping

# Chart of accounts

A chart of accounts is the list of categories a business uses to record income, expenses, assets, debts and owner equity.

The chart of accounts is the filing system for your money. Each account has a name and number, such as sales income, rent, supplies or a loan balance. Every transaction goes into one of these accounts.

A clear chart makes reports easier to read. Too many accounts create clutter, and too few hide useful detail. Your CPA can help you choose categories that fit your tax filings. Changes mid-year can confuse comparisons, so plan the layout early. Our [chart of accounts guide](https://peachtreeva.multisites.ai/guides/chart-of-accounts) goes into detail.

The accounts feed your [profit and loss statement](https://peachtreeva.multisites.ai/glossary/profit-and-loss-statement) and [balance sheet](https://peachtreeva.multisites.ai/glossary/balance-sheet). Peachtree VA's [bookkeeping services](https://peachtreeva.multisites.ai/bookkeeping) include setup and upkeep alongside your CPA. Review the list once a year and retire accounts you no longer use.

## Related terms

-   [Profit and loss statement](https://peachtreeva.multisites.ai/glossary/profit-and-loss-statement)
-   [Balance sheet](https://peachtreeva.multisites.ai/glossary/balance-sheet)
-   [Bookkeeping](https://peachtreeva.multisites.ai/glossary/bookkeeping)
-   [QuickBooks Online](https://peachtreeva.multisites.ai/glossary/quickbooks-online)

## Get your week back.

Book a free, no-obligation strategy call. We will map out what to hand off first, and you leave with a plan whether or not you become a client.

[Book a free strategy call](https://peachtreeva.multisites.ai/contact)[or email info@peachtreeva.com](mailto:info@peachtreeva.com)

![Sarah Harlan, Client Experience & Operations Manager](https://peachtreeva.multisites.ai/_astro/sarah-harlan.DtVquYwL_2b0Qn7.webp)

![Darleen Priday, Vice President of Business Development](https://peachtreeva.multisites.ai/_astro/darleen-priday.jiyh6aPr_1PLR4H.webp)

![November Lee, Marketing Manager](https://peachtreeva.multisites.ai/_astro/november-lee.Cro_USs7_Z1Yhdwg.webp)