An accounting plan is a structured list of accounts that a business uses to organize and classify its financial transactions.

It is similar to a chart of accounts and includes:

Asset accounts

Liability accounts

Capital accounts

Income accounts

Expense accounts

The accounting plan helps:

Record transactions systematically

Maintain uniformity in bookkeeping

Prepare financial statements easily

In simple terms, an accounting plan is a systematic list of accounts used to manage and organize a company’s financial records.