This chart of accounts is suitable for use with GAAP.
The FASB (link) does not discuss the COA. To fill the void, we have been publishing a GAAP COA since 2010.
The FASB does not prescribe, define, or provide a standardized COA for organizations to follow. Instead, it focuses on high-level recognition, measurement and reporting principles and guidelines. Nevertheless:
- GAAP emphasizes how financial information is reported in financial statements, not the specific procedural steps, like account naming conventions, used in a company's internal bookkeeping.
- Organizations are free to create a chart of accounts tailored to their specific operational needs, provided the resulting financial reports comply with GAAP requirements.
- While they do not provide a list, the GAAP requires that the financial data captured by the chart of accounts adheres to principles like consistency, materiality and proper classification.
- A chart of accounts for a manufacturer will differ from one for a service provider. However each must reflect the same, basic accounting guidance.
There is no shortage of COAs presented on various web pages or by various consultants.
For example, Googling "chart of accounts template" brings up a myriad of results:
Unfortunately, most are not very good.
Usually, a company's management may decide what works best and simply go with that.
Or they can simply use the default COAs supplied with small business solutions such as QuickBooks, Xero, or FreshBooks, which provide a simplified list of accounts that map directly to a Schedule C or Form 1120-S.
Engineering a fully GAAP compatible COA is overkill, like using a John Deere 9RX 830 to dig up a garden.
However, the freedom dissipates when a COA must be robust enough to conform to the ASC's (link) recognition, measurement and reporting requirements particularly if the resulting report is to be submitted to the SEC (link) in XBRL (link) and must conform to the pertinent legislation.
Sarbanes–Oxley (edited):
`Sec. 1350. Failure of corporate officers to certify financial reports
(a) CERTIFICATION OF PERIODIC FINANCIAL REPORTS- Each periodic report containing financial statements filed by an issuer with the Securities Exchange Commission pursuant to section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)) shall be accompanied by a written statement by the chief executive officer and chief financial officer (or equivalent thereof) of the issuer.
`(b) CONTENT- The statement required under subsection (a) shall certify that the periodic report containing the financial statements fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)) and that information contained in the periodic report fairly presents, in all material respects, the financial condition and results of operations of the issuer.
`(c) CRIMINAL PENALTIES- Whoever--
`(1) certifies any statement as set forth in subsections (a) and (b) of this section knowing that the periodic report accompanying the statement does not comport with all the requirements set forth in this section shall be fined not more than $1,000,000 or imprisoned not more than 10 years, or both; or
`(2) willfully certifies any statement as set forth in subsections (a) and (b) of this section knowing that the periodic report accompanying the statement does not comport with all the requirements set forth in this section shall be fined not more than $5,000,000, or imprisoned not more than 20 years, or both.'.
department or agency of the United States or any case filed under title 11, or in relation to or contemplation of any such matter or case, shall be fined under this title, imprisoned not more than 20 years, or both.The GAAP (or US GAAP, as it is known in the EU) COA was not our first.
In 2009, a client was not satisfied with the answer "the IASB does not publish a COA" saying "I don't care; I want one."
Many European Union member states have local legislation that prescribes a mandated chart of accounts. Practitioners accustomed to such accounting systems were looking for a similar, standard structure to use in an IFRS context. However, the IASB focuses on principles-based guidance and delegates the procedural aspects of accounting to practitioners, so has never included a COA in IFRS.
Companies must thus either design one themselves, or use an off-the-shelf version, such as posted here.
Since the client is always right, we created one.
Then, as recycling is good for the planet, we published a sanitized, generic version on this site. Within months, the IFRS COA became our most visited page.
After we published a GAAP COA, it became our most visited page.
Since most entities apply either IFRS or GAAP, our standardized COA has always brought up the rear, though Wikipedia does seem to like it.
The basic COA is suitable for a small business and freely available in Excel format.
As a general rule, only publicly traded entities have a formal obligation to apply US GAAP guidance. As such, their accounting system must be robust enough to fulfill the extensive recognition and measurement guidance outlined in these standards.
Non-public entities in jurisdictions that do not mandate accounting practices have more flexibility and use any structure. Nevertheless, a sound account structure will help any business, regardless of size, optimize its operational efficiency and fuel data-driven decision-making regardless of size or ownership structure.
Since the ASC non-public entity guidance is the perfect backbone for accounting for all entities, COAs that reflect this guidance, such as those presented here, are useful to all but the smallest businesses.
These entities do not need to overthink their approach. They can simply use the default COAs supplied with small business solutions such as QuickBooks, Xero, or FreshBooks, which provide a simplified list of accounts that map directly to a Schedule C or Form 1120-S.
Provided they do the minimum to keep the IRS happy, no harm, no foul.
As anyone who has ever started a business knows, starting a business is the easy part. Keeping it running smoothly and profitably is where the real challenge lies. To help those just starting out, this site publishes workable, basic COAs, that can be expanded as needed, free of charge. After all, every business that survives the startup phase makes the business community richer and more diverse so is in everyone's best interest.
The expert COAs may be used by businesses of any size and also available in Excel format.
The advanced version is suitable for a single, large entity as well as a group of entities. The expanded version is a multi-dimensional COA designed for more complicated entities. The XBRL cross-referenced version is designed for publicly traded entities that face the task of drafting machine-readable financial reports required by some regulators.
A guide on how to set up the COA to serve various roles is presented on the implementation guidance page below.
Data can be loaded into an ERP in various ways (SQL, APIs, migration tools), but Excel remains the lingua franca of accounting, immediately understandable to virtually everyone. As illustrated on the implementation guide page (link), a COA may be flat or multidimensional, set up to handle multiple sub-ledgers or to include additional metadata.
To simplify the process of creating an ERP training file, Pro view includes a Python script that illustrates how to generate a dynamic hierarchical COA from the Excel source file, with posting and summation accounts defined automatically and, more importantly, flexibly. It also includes a script to map the output to a balance sheet and income statement (also in Excel).
Additional guidance on how to implement a COA is provided on this page.
Basic GAAP COA or go to Excel download page in Pro.
| Account Title | Account # | Depth | Balance | 1 |
| Assets | 1 | 0 | Dr | 2 |
| Cash, Cash Equivalents, and Short-term Investments | 1.1 | 1 | Dr | 3 |
| Cash and Cash Equivalents | 1.1.1 | 2 | Dr | 4 |
| Investments | 1.1.2 | 2 | Dr | 5 |
| Receivables and Contracts | 1.2 | 1 | Dr | 6 |
| Accounts, Notes and Loans Receivable | 1.2.1 | 2 | Dr | 7 |
| Contracts With Customers | 1.2.2 | 2 | Dr | 8 |
| Nontrade and Other Receivables | 1.2.3 | 2 | Dr | 9 |
| Inventory | 1.3 | 1 | Dr | 10 |
| Merchandise | 1.3.1 | 2 | Dr | 11 |
| Raw Material, Parts and Supplies | 1.3.2 | 2 | Dr | 12 |
| Work in Process | 1.3.3 | 2 | Dr | 13 |
| Finished Goods | 1.3.4 | 2 | Dr | 14 |
| Other Inventory | 1.3.5 | 2 | Dr | 15 |
| Accruals and Additional Assets | 1.4 | 1 | Dr | 16 |
| Prepaid Expense | 1.4.1 | 2 | Dr | 17 |
| Accrued Income | 1.4.2 | 2 | Dr | 18 |
| Additional Assets | 1.4.3 | 2 | Dr | 19 |
| Property, Plant and Equipment | 1.5 | 1 | Dr | 20 |
| Land and Land Improvements | 1.5.1 | 2 | Dr | 21 |
| Buildings, Structures and Improvements | 1.5.2 | 2 | Dr | 22 |
| Machinery and Equipment | 1.5.3 | 2 | Dr | 23 |
| Furniture and Fixtures | 1.5.4 | 2 | Dr | 24 |
| Right of Use Assets (Classified as PP&E) | 1.5.5 | 2 | Dr | 25 |
A right to use an asset is a contractual right. Thus, the right-to-use asset (ROU) is, strictly speaking, always intangible. Nevertheless, the FASB-defined XBRL taxonomy includes: PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortizationAbstract.
This implies that the right to use, for example, a building would comprise PP&E.
Note: provided the right-of-use asset is recognised on the balance sheet, the guidance (ASC 842-20-45-1 to 3) is flexible about how it is presented. For example, a leased building may be presented within the “Buildings” line item rather than on a separate “right-of-use asset” line, as long as the notes explain that the amount relates to a leased (right-of-use) building rather than an owned building. From an internal accounting perspective, the building could thus be posted either to the Buildings account with a metadata flag indicating that it is an ROU or to the ROU account with metadata describing the underlying asset as a building.
| Additional Property, Plant and Equipment | 1.5.6 | 2 | Dr | 26 |
| Construction in Progress | 1.5.7 | 2 | Dr | 27 |
| Intangible Assets Excluding Goodwill | 1.6 | 1 | Dr | 28 |
| Intellectual Property | 1.6.1 | 2 | Dr | 29 |
| Computer Software | 1.6.2 | 2 | Dr | 30 |
| Trade and Distribution Assets | 1.6.3 | 2 | Dr | 31 |
| Contracts and Rights | 1.6.4 | 2 | Dr | 32 |
| Right of Use Assets | 1.6.5 | 2 | Dr | 33 |
A right to use an asset is a contractual right. Thus, the right-to-use asset (ROU) is, strictly speaking, always intangible. Nevertheless, the FASB-defined XBRL taxonomy includes : PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortizationAbstract.
This implies the right to use, for example, a building should be classified an ROU within PP&E (above) even though the right is clearly intangible.
With intangible assets, such issues do not arise.
However, while both are clearly intangible, a, for example, leased patent differs from an owned patent. Nevertheless, recognizing both owned and leased patents on the same "Patents" account would not be incorrect, and would actually be preferable, provided additional metadata (facilitating the required footnoted discloses) is associated with the leased patents.
Alternatively, while not particularly elegant, separate "Patent" and "Right-to-use Patent" accounts could be used. While it would lead to fragmented and counterintuitive accounting, it would not be inconsistent with the the guidance.
ASC 842-20-45-1 states (emphasis added): A lessee shall either present in the statement of financial position or disclose in the notes all of the following: a. Finance lease right-of-use assets and operating lease right-of-use assets separately from each other and from other assets ...
ASC 842-20-45-2 clarifies this guidance by stating: If a lessee does not present finance lease and operating lease right-of-use assets and lease liabilities separately in the statement of financial position, the lessee shall disclose which line items in the statement of financial position include those right-of-use assets and lease liabilities.
In practice, the preferred approach would be to recognize, for example, both owned and leased patents as "Patents" and simply provide additional discourse of the values of the leased versus owned patents.
It would not, however, be incorrect to recognize owned patents as "Patents" and leased patents as "Rights to Use Patents" in which case, assuming the values are clearly distinguished on the balance sheet, they would not need to be reiterated in the footnotes.
| Crypto Assets | 1.6.6 | 2 | Dr | 34 |
While crypto assets have more in common with financial assets than intangible assets, ASC 350-60-15-1.a defines: a. Meet the definition of intangible assets as defined in the Codification ... d. Are secured through cryptography... The 2026 FASB-approved XBRL taxonomy (link) likewise places CryptoAssetFairValue on the balance sheet as a separate line item directly below intangible assets and above right-of-use assets.
| Additional Intangible Assets | 1.6.7 | 2 | Dr | 35 |
| Acquisition in Progress | 1.6.8 | 2 | Dr | 36 |
| Goodwill | 1.7 | 1 | Dr | 37 |
| Liabilities | 2 | 0 | (Cr) | 38 |
| Payables | 2.1 | 1 | (Cr) | 39 |
| Trade Payables | 2.1.1 | 2 | (Cr) | 40 |
| Interest Payable | 2.1.2 | 2 | (Cr) | 41 |
| Dividends Payable | 2.1.3 | 2 | (Cr) | 42 |
| Other Payables | 2.1.4 | 2 | (Cr) | 43 |
| Accruals, Deferrals and Additional Liabilities | 2.2 | 1 | (Cr) | 44 |
| Accrued Expenses | 2.2.1 | 2 | (Cr) | 45 |
| Deferred Revenue and Refund Liabilities | 2.2.2 | 2 | (Cr) | 46 |
| Taxes Other Than Payroll | 2.2.3 | 2 | (Cr) | 47 |
| Additional Liabilities | 2.2.4 | 2 | (Cr) | 48 |
| Financial Liabilities | 2.3 | 1 | (Cr) | 49 |
| Notes Payable | 2.3.1 | 2 | (Cr) | 50 |
| Loans Payable | 2.3.2 | 2 | (Cr) | 51 |
| Bonds | 2.3.3 | 2 | (Cr) | 52 |
| Other Debts and Liabilities | 2.3.4 | 2 | (Cr) | 53 |
| Lease Obligations | 2.3.5 | 2 | (Cr) | 54 |
| Derivative Liabilities | 2.3.6 | 2 | (Cr) | 55 |
| Commitments and Contingencies | 2.4 | 1 | (Cr) | 56 |
| Customer Related Contingencies | 2.4.1 | 2 | (Cr) | 57 |
| Litigation and Regulatory | 2.4.2 | 2 | (Cr) | 58 |
| Additional Obligations | 2.4.3 | 2 | (Cr) | 59 |
| Commitments | 2.4.4 | 2 | (Cr) | 60 |
| Equity | 3 | 0 | (Cr) | 61 |
| Equity, Attributable to Parent | 3.1 | 1 | (Cr) | 62 |
| Stockholders Equity at Par | 3.1.1 | 2 | (Cr) | 63 |
| Additional Paid-in Capital | 3.1.2 | 2 | (Cr) | 64 |
| Retained Earnings (Accumulated Deficit) | 3.2 | 1 | (Cr) | 65 |
| Appropriated | 3.2.1 | 2 | (Cr) | 66 |
| Unappropriated | 3.2.2 | 2 | (Cr) | 67 |
| Deficit | 3.2.3 | 2 | Dr | 68 |
| In Suspense | 3.2.4 | 2 | Zero | 69 |
| Accumulated Other Comprehensive Income | 3.3 | 1 | Dr or (Cr) | 70 |
| Other Equity Items | 3.4 | 1 | Dr or (Cr) | 71 |
| ESOP Related Items | 3.4.1 | 2 | (Cr) | 72 |
| Stock Receivables | 3.4.2 | 2 | Dr | 73 |
| Treasury Stock | 3.4.3 | 2 | Dr | 74 |
| Additional Equity Items | 3.4.4 | 2 | (Cr) | 75 |
| Owners Equity | 3.5 | 1 | (Cr) | 76 |
| Partner's Capital | 3.5.1 | 2 | (Cr) | 77 |
| Member's Equity | 3.5.2 | 2 | (Cr) | 78 |
| Non-share Equity | 3.5.3 | 2 | (Cr) | 79 |
| Non-controlling Minority Interest | 3.6 | 1 | (Cr) | 80 |
| Revenue | 4 | 0 | (Cr) | 81 |
| Recognized Point of Time | 4.1 | 1 | (Cr) | 82 |
| Goods | 4.1.1 | 2 | (Cr) | 83 |
| Services | 4.1.2 | 2 | (Cr) | 84 |
| Recognized Over Time | 4.2 | 1 | (Cr) | 85 |
| Products and Projects | 4.2.1 | 2 | (Cr) | 86 |
| Services | 4.2.2 | 2 | (Cr) | 87 |
| Adjustments | 4.3 | 1 | Dr | 88 |
| Variable Consideration | 4.3.1 | 2 | Dr | 89 |
| Consideration Paid Payable to Customers | 4.3.2 | 2 | Dr | 90 |
| Other Adjustments | 4.3.3 | 2 | Dr | 91 |
| Expenses | 5 | 0 | Dr | 92 |
| Expenses (Classified by Nature) | 5.1 | 1 | Dr | 93 |
| Material and Merchandise | 5.1.1 | 2 | Dr | 94 |
| Employee Benefits | 5.1.2 | 2 | Dr | 95 |
| Services | 5.1.3 | 2 | Dr | 96 |
| Rent, Depreciation, Amortization and Depletion | 5.1.4 | 2 | Dr | 97 |
| Expenses (Classified by Function) | 5.2 | 1 | Dr | 98 |
| Cost of Revenue | 5.2.1 | 2 | Dr | 99 |
| Selling, General and Administrative Expense | 5.2.2 | 2 | Dr | 100 |
| Other Non-operating Income and Expenses | 6 | 0 | Dr or (Cr) | 101 |
| Other Revenue and Expenses | 6.1 | 1 | Dr or (Cr) | 102 |
| Other Revenue | 6.1.1 | 2 | (Cr) | 103 |
| Other Expenses | 6.1.2 | 2 | Dr | 104 |
| Gains and Losses | 6.2 | 1 | Dr or (Cr) | 105 |
| Taxes Other Than Income and Payroll and Fees | 6.3 | 1 | Dr | 106 |
| Income Tax Expense or Benefit | 6.4 | 1 | Dr or (Cr) | 107 |
| Intercompany and related party accounts | 7 | 0 | Dr or (Cr) | 108 |
| Intercompany and related party assets | 7.1 | 1 | Dr | 109 |
| Intercompany balances eliminated in consolidation | 7.1.1 | 2 | Dr | 110 |
| Related party balances reported or disclosed | 7.1.2 | 2 | Dr | 111 |
| Intercompany investments | 7.1.3 | 2 | Dr | 112 |
| Intercompany and related party liabilities | 7.2 | 1 | (Cr) | 113 |
| Intercompany balances eliminated in consolidation | 7.2.1 | 2 | (Cr) | 114 |
| Related party balances reported or disclosed | 7.2.2 | 2 | (Cr) | 115 |
| Intercompany and related party income and expense | 7.3 | 1 | Dr or (Cr) | 116 |
| Intercompany and related party income | 7.3.1 | 2 | (Cr) | 117 |
| Intercompany and related party expenses | 7.3.2 | 2 | Dr | 118 |
| Income loss from equity method investments | 7.3.3 | 2 | Dr or (Cr) | 119 |
Updated: January 2026.
The 2026 XBRL version has been updated with cross-references to the 2026 FASB issued XBRL taxonomy.
The COA published on this page may be republished provided the following citation is provided: