Your chart of accounts lists all of the accounts you use to label entries in your general ledger. You can think of these accounts as bookkeeping categories, or labels for each transaction you record.
Every time your therapy practice earns revenue, it’s entered in the general ledger. Every time it spends money, it’s entered in the general ledger. By using the accounts listed in your chart of accounts to categorize these transactions, you can track how your practice earns and spends money.
Categories in your chart of accounts
Every account listed in your chart fits into one of the following five categories:
The chart of accounts
Heard is the financial back-office for therapists in private practice.
After working with over a thousand therapy practices, we’ve created the complete chart of account for therapists.
You can adapt this chart to your own needs by adding or removing categories. If you do, we’d love to hear about your experience—your feedback helps us develop even more useful tools for therapists. Feel free to drop us a line.
The complete chart of accounts for therapists
* Account numbers are used by bookkeepers to more easily track accounts.
Heard handles bookkeeping, taxes, and payroll for your therapy practice—so you spend less time managing your finances, and more time focused on your clients.
This post is to be used for informational purposes only and does not constitute legal, business, or tax advice. Each person should consult their own attorney, business advisor, or tax advisor with respect to matters referenced in this post.
Bryce Warnes is a West Coast writer specializing in small business finances.