📊 Chart of Accounts in SuperNova
The Chart of Accounts (CoA) is the foundation of your company's financial structure. It organizes all financial transactions using the double-entry accounting system, which is a global standard for tracking a company’s financial health.
SuperNova provides a pre-configured Chart of Accounts for each company, but you can modify it to meet your specific business and legal needs.
🔹 Why is the Chart of Accounts Important?
The Chart of Accounts helps answer key financial questions:
✅ What is your company worth?
✅ How much debt do you have?
✅ How much profit are you making?
✅ How much are you selling?
✅ What are your main expenses?
If you are new to accounting, it’s a great time to start learning! You can also work with an accountant to set up your Chart of Accounts.
🛠️ How to Access & Modify the Chart of Accounts?
📍 Go to:
Home > Accounting > Accounting Masters > Chart of Accounts
SuperNova includes a standard CoA, but you can modify it in two ways:
1️⃣ Manually Edit Accounts
- Open the Chart of Accounts.
- Click on an account to edit, delete, or add a sub-account ("child account").
- If adding a new account, enter a name, number, and type.
- Select currency (useful for international transactions).
- Click Save.
2️⃣ Use the Importer Tool
- Import a customized CoA in bulk (note: this will overwrite the existing CoA).
📂 Types of Accounts in the Chart of Accounts
SuperNova organizes accounts into two main groups:
1️⃣ Balance Sheet Accounts (Assets & Liabilities)
These accounts show what your company owns (assets) and owes (liabilities).
📌 Assets (What You Own)
- Cash & Bank Accounts (e.g., checking accounts, cash on hand)
- Accounts Receivable (money customers owe you)
- Fixed Assets (e.g., buildings, equipment, furniture)
📌 Liabilities (What You Owe)
- Accounts Payable (money you owe suppliers)
- Loans & Debt
- Taxes Payable (e.g., VAT, sales tax, income tax)
📝 Note: At the start and end of a financial year, your total assets always equal total liabilities.
2️⃣ Profit & Loss Accounts (Income & Expenses)
These accounts track your company’s revenue and expenses over time.
📌 Income Accounts (Money Coming In)
- Sales Revenue (e.g., product sales, service income)
- Other Income (e.g., interest earned, rental income)
📌 Expense Accounts (Money Going Out)
- Operational Costs (e.g., rent, salaries, utilities)
- Cost of Goods Sold (COGS) (direct costs of making/selling products)
- Depreciation (wear & tear on assets)
📝 Note: Unlike balance sheet accounts, profit & loss accounts reset to zero at the start of each financial year.
📂 Groups & Ledgers in the Chart of Accounts
SuperNova organizes accounts into Groups and Ledgers:
✔ Groups – Act like folders and can contain multiple sub-accounts.
✔ Ledgers – The final accounts where actual transactions happen.
🛑 You can only record transactions in Ledger Accounts (not Groups).
🔎 Special Account Types in SuperNova
In addition to the standard categories, SuperNova supports specialized accounts for better financial tracking:
| Account Type | Purpose |
|---|---|
| Bank Account | Holds company bank balances. |
| Cash Account | Tracks physical cash transactions. |
| Accounts Payable | Money owed to suppliers. |
| Accounts Receivable | Money owed by customers. |
| Depreciation | Records asset value reduction over time. |
| Cost of Goods Sold (COGS) | Tracks direct costs of products/services. |
| Tax Accounts | VAT, GST, sales tax, etc. |
| Stock Accounts | Tracks warehouse inventory. |
| Round Off | Adjusts small rounding differences in invoices. |
📊 Financial Statements in SuperNova
SuperNova provides built-in financial reports to help you track your company’s performance:
📌 Balance Sheet – Shows company assets & liabilities.
📌 Profit & Loss Statement – Tracks income & expenses over time.
📌 Cash Flow Report – Analyzes cash inflows & outflows.
🔢 Understanding Account Numbers
SuperNova uses account numbers to keep the Chart of Accounts organized.
✔ Each category has a unique number series (e.g., Assets start with 1000, Liabilities with 2000, etc.).
✔ Sub-accounts follow the main category’s numbering system.
✔ Gaps are left between numbers to allow future additions.
🔹 You can manually assign or update account numbers from the Chart of Accounts page.
🚀 Key Takeaways
✔ The Chart of Accounts is the backbone of your financial records.
✔ It classifies transactions into Assets, Liabilities, Income, and Expenses.
✔ SuperNova provides a pre-configured CoA but allows full customization.
✔ Financial statements like Balance Sheets & Profit/Loss Reports help track performance.
✔ Account numbers keep the structure organized and scalable.
By understanding the Chart of Accounts, you gain better financial control over your business!