Xero Chart of Accounts – How to Add an Account


Adding an account to the general ledger in Xero is easy. In this tutorial, we will add an expense account for software licence costs to the ledger of Xero’s demo company.

Chart of Accounts Section in Xero

To get to the right area of Xero, go to Accounting → Chart of accounts from the main menu.


How to Add an Account

Once you are in the Chart of Accounts screen, click on the + Add Account button on the left-hand side:


In the Add New Account pop-up that appears, do the following:

  • Account Type: select Expense from the drop-down list.
  • Code: type in 442.
  • Name: type in Licences.
  • Description: type in Software licences.
  • Tax: select GST on Expenses from the drop-down list.
  • Show on Dashboard Watchlist: leave un-ticked.
  • Show in Expense Claims: tick the box.
  • Enable payments to this account: leave un-ticked.
  • Click on Save when ready.


That’s all you need to do. The new general ledger account Licences has been created and should appear in the chart of accounts list:


You’re All Set!

That’s it for this lesson. Find lots more helpful articles via the main menu or check out our main blog page here.