How To Add A New Account Or Group

What you need to know: 

The chart of accounts lists your business’s account names and numbers. Each account category features options specific to its type, and a preset range of account numbers to choose from. AgExpert Accounting sets up a default chart of accounts when you create a business. You can then add or delete accounts to meet your business needs. You can set up as many accounts as needed within each accounting category. Each account requires a unique account number, account type, and account name. Accounts can be organized into groups or maintained individually. Selecting the correct account type helps ensure transactions are recorded accurately and reported in the appropriate categories.  Understanding the basics of financial accounting is important for setting up your chart of accounts.  For more information, you can reference Financial Glossary | FCC. 

What you need to do: 

  • There are five categories in the Chart of accounts. You need to determine which category the account you want to add belongs to – Asset, Liability, Equity, Income or Expense.    

  • Decide how you’re going to name your account based on its purpose and what section the account needs to be in (e.g. Current Assets, Fixed Assets, and whether the account is part of a group or if it will be on its own). 

How to (Step by Step): 

  1. Select Chart of accounts. 

  2. Select the tab for the appropriate account category: Asset, Liability, Equity, Income, or Expense. 

For Asset: 

Click Add account or group beside any account range title. 

  1. To create a group account, select Add account group. 

    • Choose the account Type in the drop down – Asset, Bank account, Capital asset or Inventory. 

    • Enter Group name. 

    • Choose an Account number that is not being used. 

    • Click Save. 

    2. To create a single account, select Add account. 

    • Choose the account Type in the drop down – Asset, Bank account, Capital asset or Inventory. 

      Note: You can use the drop-down menu to add an account to an existing group. The account type must match that group. To remove any account from a group, click the ‘x’ next to the Group. 

    • Enter account Name. 

    • Choose an Account number that is not being used. 

    • Click Save. 

    3. Depending on the type of account selected, there are additional options to customize: 

    Asset 

  1. Enter a Default description for the account which will be added to a transaction every time you select this account and will show on reports. 

  2. Check the Include sales on GST return (line 101), if applicable. 

  3. If this is a historical asset with a fair market value, enter the Current value. 

  4. Click Save. 

Bank Account 

  1. Enter a Default description for the account which will show on reports. 

  2. If you are using pre-printed cheques with your AgExpert Account, enter the Next cheque number. 

  3. Click Save. 

Capital asset 

  1. Enter a Default description for the account which will show on reports. 

  2. Check the box(es) to Use GST and/or PST on this account, if applicable. 

  3. Click Save. 

Inventory 

  1. Select the Inventory unit in the drop-down menu or click Add new unit to add a custom unit. 

  2. Select the appropriate Adjustment account in the drop-down menu. 

  3. Select the appropriate Agristability type in the drop-down menu, if applicable. 

  4. Click Save. 

For Liability: 

Click Add account or group beside any account range title: 

  1. To create a group account, select Add account group. 

  • Choose the account Type in the drop-down menu – Liability, Loan, or Credit card.  

  • Enter Group name. 

  • Choose an Account number that is not being used. 

  • Click Save. 

2. To create a single account, select Add account. 

  • Choose the account Type in the drop down – Liability, Loan, or Credit card. 

  • Note: You can use the drop-down menu to add an account to an existing group. The account type must match that group. To remove any account from a group, click the ‘x’ next to the Group. 

  • Enter account Name. 

  • Choose an Account number that is not being used. 

  • Enter a Default description for the account which will be added to a transaction every time you select this account and will show on reports. 

  • Click Save. 

For Equity: 

Click Add account or group beside any account range title: 

  1. To create a group account, select Add account group. 

  • Choose the account Type in the drop-down menu – Equity, Personal drawing, or Personal advance. 

  • Enter Group name. 

  • Choose an Account number that is not being used. 

  • Click Save. 

2. To create a single account, select Add account. 

  • Choose the account Type in the drop down – Equity, Personal drawing, or Personal advance. 

    Note: You can use the drop-down menu to add an account to an existing group. The account type must match that group. To remove any account from a group, click the ‘x’ next to the Group. 

  • Enter account Name. 

  • Choose an Account number that is not being used. 

  • Enter a Default description for the account which will be added to a transaction every time you select this account and will show on reports. 

  • Click Save. 

For Income: 

Click Add account or group beside any account range title: 

  1. To create a group account, select Add account group. 

    • Choose the account Type in the drop-down menu – Income or Inventory adjustment.  

    • Enter Group name. 

    • Choose an Account number that is not being used. 

    • Click Save. 

    2. To create a single account, select Add account. 

    • Choose the account Type in the drop down – Income.  

      Note: You can use the drop-down menu to add an account to an existing group. The account type must match that group. To remove any account from a group, click the ‘x’ next to the Group. 

    • Enter account Name. 

    • Choose an Account number that is not being used. 

    • Enter a Default description for the account which will be added to a transaction every time you select this account and will show on reports. 

    • You can link an income account to an inventory account which will adjust that account as you use the income account: 

      • Use the drop-down menu to select Inventory unit or select Add new unit to add a custom unit. 

      • Enter Unit price if you want a default unit price in transactions using this account. 

      • Use the drop-down menu to select the Inventory account to be linked to this income account. 

        Note: To avoid adjusting inventory when using an income account, leave this field blank. This is the default setting for new accounts. 

    • Use the drop-down menu and select the appropriate code to add this income account to the T1163 / T1273 report. 

    • Use the drop-down menu and select the appropriate code to add this income account to the T2042 report. 

    • Check the box(es) for Use GST and/or PST on this account to enable the use of those tax options on income transactions. 

    • Enter the Business percentage.  If this percentage is not 100%, you will need to link a Personal advance account using the drop-down menu. 

    • Select Save. 

For Expense: 

Click Add account or group beside any account range title: 

  1. To create a group account, select Add account group. 

    • Choose the account Type in the drop-down menu. 

    • Enter Group name. 

    • Choose an Account number that is not being used. 

    • Click Save. 

    2. To create a single account, select Add account. 

    • Choose the account Type in the drop down. 

      Note: You can use the drop-down menu to add an account to an existing group. The account type must match that group. To remove any account from a group, click the ‘x’ next to the Group. 

    • Enter account Name. 

    • Choose an Account number that is not being used. 

    • Enter a Default description for the account which will be added to a transaction every time you select this account and will show on reports. 

    • You can link an expense account to an inventory account which will adjust that account as you use the expense account: 

      • Use the drop-down menu to select Inventory unit or select Add new unit to add a custom unit. 

      • Enter Unit price if you want a default price in transactions using this account. 

      • Use the drop-down menu to select the Inventory account to be linked to this income account. 

        Note: To avoid adjusting inventory when using an expense account, leave this field blank. This is the default setting for new accounts 

      • Click Save. 

    • Use the drop-down menu and select the appropriate code to add this expense account to the T1163 / T1273 report. 

    • Use the drop-down menu and select the appropriate code to add this expense account to the T2042 report. 

    • Check the box(es) for Use GST and/or PST on this account to enable the use of those tax options on income transactions. 

    • Enter the Business percentage.  If this percentage is not 100%, you will need to link a Personal drawing account using the drop-down menu. 

    • Select Save. 

References and Additional Resources 

Still have questions? Contact support  

Contact us at 1-800-667-7893 or email support@fccagexpert.ca if you require additional support. You can find other help options under the Question Mark Icon in the top right of AgExpert Accounting at any time.