Chart of Accounts introduction

What is a nominal ledger account?

Each ledger account has a unique code to identify the account. You can change them to use your own numbering scheme if required.

When you enter a transaction in Sage Accounting, you assign the relevant code. The code will depend on what you’re recording. For example, a sales invoice or a bank payment.

The Chart of Accounts defines the category of each ledger account. This determines where it appears on management reports.

Use these reports to analyse your:

• Income
• Expenditure
• Assets
• Liabilities
• Capital

This means you can see how your business is performing.

About the Chart of Accounts

Sage Accounting uses a standard chart of accounts, including control accounts. Control accounts are special accounts used by Sage Accounting . Use these when recording transactions to ensure that items such as your VAT record correctly.

While the Chart of Accounts is suitable for most small businesses, you can customise it as needed for your business. Except for control accounts, which need to stay as they're initially set up, you can edit all accounts.

View the Chart of Accounts

• Go to Settings then Business Settings. 
• In the Financial settings section, select Chart of Accounts

For more information read our article Review your chart of accounts.

• Import chart of accounts
• Run the Nominal Activity report