Equity Account Classes

The equity account group refers to the net worth of a business to its owner.

Each account group in Sage 50 Accounting can be further divided into account classes. All accounts grouped from 3000 to 3999 are equity accounts. Unless your accountant specifies otherwise, use the default account group Equity.

Table showing the account classes in the equity account group

Account classes in the equity account group

Account Class	Description
Equity	The net worth of a business to its owner. This class encompasses all equity classes and can represent any type of equity.
Cash	Can be used to classify equity, but we do not recommend you use it as an equity.
Bank	Can be used to classify equity, but we do not recommend you use it as an equity.
Credit Card Payable	Can be used to classify equity, but we do not recommend you use it as an equity.
Owner/Partner Contributions	Amounts contributed to the company by an owner or partner.
Owner/Partner Withdrawals	Withdrawals of cash from the company by an owner or partner.
Share Capital	Amount contributed to the company through the sale of stock.
Dividends	Amounts distributed to shareholders. This class is similar to Owner/Partner Withdrawals.
Retained Earnings	Accumulated total net income (less owner/partner withdrawals).
Current Earnings	Net difference between the revenues and the expenses. You can only have one Current Earnings account. You cannot process transaction entries directly to this account.