Xero FAQsWhat is a Xero Chart of Accounts Template?A Xero chart of accounts template is a predefined structure of account codes used to categorize income, expenses, assets, liabilities, and equity in Xero.It helps businesses maintain consistent accounting records from the beginning.A chart of accounts template in Xero usually includes:– Sales and revenue accounts – Cost of goods sold accounts – Operating expense accounts – Bank and cash accounts – Accounts receivable and payable – Tax-related accounts – Payroll and salary accounts – Assets, liabilities, and equity accountsBusinesses use a Xero chart of accounts template to reduce setup time and maintain proper reporting structure.A good chart of accounts template should match your business model, industry, reporting needs, and tax requirements. For example, an eCommerce business may need separate accounts for marketplace sales, payment gateway fees, refunds, shipping income, and inventory costs.Before importing or creating a chart of accounts in Xero, businesses should review account names, account codes, tax rates, and reporting categories carefully.