Create subaccounts in your chart of accounts in QuickBooks Online

Learn how to create subaccounts to keep your chart of accounts organized.

In QuickBooks Online, you can create subaccounts to break down your expenses, income, and more into greater detail. For example, you can divide your utilities account into subaccounts, so you can track different types of utility payments, like gas, telephone, water, and so on.

You can create subaccounts of any main (or “parent”) account. Use them to keep your chart of accounts organized and make more detailed reports. Here’s how.

Create a new subaccount #

Follow the steps below to add a subaccount under an existing account. You can also create a new parent account first if you need to.

  1. Go to Settings ⚙ and select Chart of Accounts.
  2. Select New.
  3. Select the account type and detail type. You can learn more about account types and detail types if you have questions.
  4. Select Is sub-account and then enter the parent account.
  5. Give your new subaccount a name. You can also add a description.
  6. Select an When do you want to start tracking your finances from this account in QuickBooks option Note: Only some account types need this, like bank, credit card, asset, and liability. If you need help, you can learn more about opening balances.
  7. Select Save and Close.

Change an existing account into a subaccount #

You can turn an existing account into a subaccount.

  1. Go to Settings ⚙ and select Chart of Accounts.
  2. Find the account and select the small arrow ▼ in the action column. Then select Edit.
  3. Select Is sub-account and then enter the parent account.
  4. Select Save and Close.

How your subaccounts will look like in your Chart of Accounts tab and reports #

Explore how Craig’s Design and Landscaping uses parent and subaccounts in this sample QuickBooks company.

Chart of accounts #

Here’s how your accounts will look like in your Chart of Accounts tab.

Reports #

When you run reports, you’ll get a clearer picture of your income, expenses, and more.

Check out this sample profit and loss report. Using subaccounts, it gives a breakdown of what Craig’s Design and Landscaping makes on their landscaping services.

Learn more ways to organize your accounts #

Here are other things you can do to keep your accounts in order:

    • Remove accounts you no longer use
    • Use account numbers if you have an extensive chart of accounts

 

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