How does the chart of accounts work in Kontuly?
The chart of accounts in Kontuly is the list of categories every dollar in your books is sorted into: your bank accounts, what customers owe you, your sales, your rent and so on. Each account has a type, which decides the report it's on, and a report group, which decides exactly where.
Open it from Chart of Accounts in the sidebar.
The five account types
| Type | What it holds | Report |
|---|---|---|
| Assets | What the business owns or is owed: bank, receivables, GST to claim, equipment | Balance Sheet |
| Liabilities | What it owes: suppliers, GST collected, tax withheld, credit cards, loans | Balance Sheet |
| Equity | The owner's stake: capital, drawings, retained earnings | Balance Sheet |
| Income | Money earned: sales, services, interest | Profit and Loss |
| Expenses | Running costs: rent, wages, supplies, bank fees | Profit and Loss |
What does a new business start with?
A standard Australian small-business chart: 1000s assets, 2000s liabilities, 3000s equity, 4000s income, 5000s and 6000s expenses. Your main bank account, the Business Savings Account and the Credit Card start as bank accounts. Archive what you don't need and add your own.
Report groups
Within each type, the Report group places the account on the Profit and Loss, Balance Sheet and Cash Flow: Current asset or Non-current asset, Current liability or Non-current liability, Equity, Trading income or Other income, Cost of sales, Operating expense or Other expense.
If you resell products, put the cost of stock you sell in a Cost of sales account so your gross profit is right. Changing a report group moves the account on every report, for every period, straight away.
System accounts
Five accounts have a special job: Accounts Receivable, Accounts Payable, GST Payable (Collected), GST Receivable (Input Credits) and Sales. You can rename or renumber them, but not archive them or change their type. Bank lines can't be coded to Accounts Receivable or Payable: payments are matched to invoices and bills instead.
Default GST codes
Each account has a default GST code, used when you code a bank line to it. See What GST codes does Kontuly use?
To add, change or archive accounts, see How do I add, edit or archive an account?
Related questions
- How do I add, edit or archive an account in Kontuly?Add a new account in Kontuly's Chart of Accounts, change its code, name or GST code, or archive one you don't use. What can't change once it's used.
- How do I run a Profit and Loss report in Kontuly?Run Kontuly's Profit and Loss for any period, compare it with the previous period or last year, and click any figure to see the transactions behind it.
- What GST codes does Kontuly use, and can I add my own?Kontuly starts with GST 10%, GST Free, Input Taxed and No GST. What each means on your BAS, how account defaults work, and how to add a rate.
More about accounts and reports
- How do I post a manual journal in Kontuly?Post a manual journal in Kontuly for adjustments with no invoice or bank line, such as accruals, depreciation or corrections. Debits must equal credits.
- How do I void or reverse a journal in Kontuly?Void a manual journal in Kontuly to post a reversing entry on the same date. Which journals must be corrected elsewhere, and what blocks a void.
- How do I lock a period after lodging a BAS in Kontuly?Set the lock date in Kontuly's Settings so nothing dated on or before it can be posted, changed or voided, protecting a lodged BAS or a finished year.
- Do I need to do a year-end close in Kontuly?No year-end close is needed in Kontuly. Last year's profit moves into retained earnings automatically. What to do at year end instead.
- How do I record and depreciate fixed assets in Kontuly?Register equipment and vehicles in Kontuly's Fixed assets screen, choose prime cost or diminishing value, and run depreciation monthly or yearly.