Charts Of Accounts
Chart of Accounts (COA) is a complete list of accounts a company uses to track its financial activities. All accounting entries are recorded using these accounts in the general ledger. You can view the Chart of Accounts by going to accounting → Configuration → Chart of Accounts.
While viewing the Chart of Accounts, you can arrange the accounts using Code, Account Name, or Account Type. More sorting options are also available from the drop-down menu.
How to Create a New Chart of Account in Odoo
(Follow the steps shown in the image)
Step 01: Click on the Accounting app icon shown on the screen.
Step 2: After clicking the accounting icon, the accounting page will open. Click on Configuration, then from the list, click on Charts of Accounts.
Step 3: Click on the + New button to add a new Charts of Account. A new window will open.
Step 4: In the Account Name field (top of the form), enter the name of the account. I enter Office Rent Expense for example.
Example:
- Cash
- Bank Account
- Office Rent Expense
- Sales Revenue
→ Enter a clear and meaningful name, because this will appear in reports.
Step 5: Enter Account Code. In the Code field (below Account Name), enter a unique numeric code. I enter 401000 this code for example.
Step 6: In the Type field, select the correct account type. I select Expenses (because rent is an expense).
Always select the correct account type.
Wrong account type will affect Profit & Loss and Balance Sheet reports.
Keep Any Currency selected.
→ You don’t need to change this for normal expense accounts.
Step 7: If the account is related to purchases or sales, select a tax.
Select Purchase GST / VAT (if applicable). Otherwise, leave it blank.
Step 8: You can skip the Tags field.
Step 9: Make sure the Active toggle is ON.
Step 10: Click on the Description tab and add a short note.
Example: Used for monthly office rent payment.
Step 11: After filling all the details as shown in the image, click the Save button to complete the account
Your account is now created successfully.
Tip: Account Configuration
When you create a database (or add a new company) in Odoo, the country you select decides which fiscal localization package is installed automatically. This package already includes a standard Chart of Accounts based on that country’s rules.
You can:
- use this Chart of Accounts as it is, or
- customize it according to your company’s requirements.
Note:
Code and Name
Each account is identified by its Code and Name, which also indicate the account’s purpose.
