> ## Documentation Index
> Fetch the complete documentation index at: https://www.adorabl.info/llms.txt
> Use this file to discover all available pages before exploring further.

# Account types and subtypes

> Group general ledger accounts by type and subtype so statements follow your chart.

Every general ledger account has an **Account type** and a **Subtype**. Statements and cash-flow suggestions read the subtype. Account types are fixed. You maintain the subtypes.

The income type is **Income**. Older charts that said **Revenue** now say **Income**.

## Open account types

**1. Navigate**

1. Open **Settings** → **Finance**.
2. Under **General ledger**, click **Account Types & Subtypes**.

The page subtitle is **Subtypes group GL accounts within each account type. Statements report by subtype. Account types are fixed.**

## Account types

The types are **Asset**, **Liability**, **Equity**, **Income**, **Cost of Goods**, and **Expenses**. You cannot add or rename a type.

A new natural account usually follows the number range on [Chart of accounts](https://www.adorabl.info/books/chart-of-accounts.md#account-type-ranges). The type stored on the account is what the statements use. Change it on the chart when a number does not match how you report.

## Subtypes

Each type lists its subtypes. You can:

* Rename a subtype.
* Turn **Active** off to retire one. Inactive subtypes stay on accounts that already use them.
* Drag a subtype to change the order statements use.
* Click **Add subtype** to create one under an existing type. You pick the type. You do not create a new type.

On **Chart of Accounts**, the **Accounts** tab has **Account type** and **Subtype** columns. The subtype list follows the type you picked. Edit the row, then **Save**. A row without a subtype shows **Unassigned** until you choose one.

Balance Sheet and Profit & Loss can group by subtype. In **Columns & grouping**, turn on **Show Subtypes**.

## Example: Trail Ridge Outfitters

Trail Ridge wants product sales separate from shipping income.

1. On **Account Types & Subtypes**, under **Income**, they add a subtype named Product sales and leave the seeded shipping subtype active.
2. On **Chart of Accounts**, they set `4010` Product revenue to **Income** / **Product sales** and click **Save**.
3. On **Reports**, they open Profit & Loss and turn on **Show Subtypes**. Product sales and shipping income are separate groups.

## Related guides

> **[Chart of accounts](https://www.adorabl.info/books/chart-of-accounts.md)**
>
> Set type and subtype on each account, then run a statement.

> **[Segments and dimensions](https://www.adorabl.info/books/setup/chart-of-accounts-setup.md)**
>
> The natural account the type hangs on.

> **[Finance setup](https://www.adorabl.info/books/setup/finance-setup.md)**
>
> The rest of the finance checklist.


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