# Create a new accounting category

_This feature is available only for those that subscribe monthly to our Accounting and Reporting services._

_If you are NOT a monthly subscriber and would like more information, please view: [How to upgrade to add Accounting and Reporting features to my Autobooks account.](https://4147193.hs-sites.com/knowledge/how-to-upgrade-to-add-accounting-and-reporting-features-to-your-autobooks-account?hsLang=en)_

#### What is an Accounting Category?

Accounting categories (also known as Chart of Accounts) are used in the categorization of the transactions that impact your bookkeeping (i.e. income, expenses, etc.), that then drive the various reports offered through the application.

#### How to create a new accounting **Category:**

Navigate to **Accounting** from the Autobooks side menu. Click **Categories** in the navigation bar.

Click the **New Category** button and enter the following details:

- **Category:** Name of the accounting category(e.g. Office Supplies).
- **Category #:** Enter a number to keep your new category distinct. This number is used to keep like categories organized together. For example, your business' asset categories will fall between 1000-1999 by default.

- **Group:** What accounting Group does this new Category belong to? Think of a Group as a set of Categories. For example, if your new category is called "Office Supplies", you could set the Group as Expense.
- **Subgroup:** Organize your categories into smaller sub-groups to filter your view of them in even smaller slices within a Group.

Click **Save** to finish creating your new category.

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