What is a nominal account?
When you enter figures into an accounting system, they are allocated to different 'accounts' so they can be analysed. Accounts which don't relate to specific customers or suppliers are usually called nominal accounts.
Each nominal account has a unique number, called a nominal code. Different accounting systems use different terminology:
- KashFlow uses the word 'Type' to describe nominal accounts, and each type has its own code.
- In QuickBooks Online, the unique number is disabled by default, so you will not see them unless you change the settings.
If you use our 'Export to Accounting' feature, you will need to decide which nominal account to use for each figure. You can set these on the Accounts System Configuration page by entering the nominal codes, or the account names if you use QuickBooks Online. The nominal account for gross pay can be overridden on the Tax Details page for each employee.