Thanks for getting back with the Community, Matteo_S.
When you create your company in QuickBooks, some default accounts are created in the Chart of accounts. The ones created for you will depend on which business entity you selected. Other special accounts will also be created when certain actions are taken or features are activated.
Some of these default accounts can't be changed or deactivated.
Here's the accounts that can be deleted by merging:
- Markup - This account tracks differences between your cost of a product/service and the price you sell it for.
- Billable Expense Income - This account tracks money your business gets from customers to cover expenses for their services.
Here's the accounts that can be edited, but not deactivated or merged:
- Uncategorized Asset - This account records any asset that can't be matched to an account.
- Uncategorized Expense and Uncategorized Income - These accounts are created automatically and track money your business earned or spends that still needs to be categorized.
- Owner's Equity (also called Owner Draws, Owner's Investment, or Owner's Pay & Personal Expense) - This account represents the cash or assets you've invested in your company.
- Services - This is the default income account. It functions in the same way as other income accounts, but neither it nor the corresponding product/service item can be deleted. You can however edit names of both to reflect your main income type.
Here's the accounts that can't be deactivated:
- Undeposited Funds (also called Payments to Deposit) - This is used when you record a payment to your company. The funds are added to it until you deposit them into your bank account.
- Opening Balance Equity - This is a default account for adjustments. You can only edit its name.
- Inventory/Stock Asset and Cost of Goods Sold/Cost of Sales - If you try to edit or deactivate these accounts, any changes to your products/services will recreate them.
- Retained Earnings - This account reports the net income of your company on the Balance Sheet report. You can edit its name if necessary.
- QuickBooks Checking - This account is created when you're approved for a QuickBooks Checking account.
- (Sales tax agency name) Payable - This account is created if you set up sales taxes for a tax agency. It reports your tax for each transaction.
- Unapplied Cash Payment Income - This account is created if you record a cash payment from a customer without applying it to a sales form, such as an invoice.
- Reconcile/Reconciliation Discrepancies - This account is created if you reconcile and account and its transactions don't match the transactions reported on your bank statement.
- Sales of Product Income - This is used to track sales for inventory items. If it's deleted or renamed, QuickBooks will create a new account in its place.
If you'd still like to purge your account data and start over, you can refer to the steps in our Delete your data & start over article.
I've also included a detailed resource about working with the Chart of accounts screen which may come in handy moving forward: Manage default & special accounts
Please feel welcome to send a reply if there's any additional questions. Have a wonderful Friday!
