"A (Joomla!) plugin is a kind of Joomla! extension. Plugins provide functions which are associated with trigger events.
Source: Official Joomla! Documentation
It is not vital you know about Plugins when you first start using the Joomla! CMS.
Some knowledge of Plugins is however useful.
The Plugins Screen
Select the Plugins button in the Site Panel of your website's Dashboard to browse installed Plugins.
Core Supported Joomla! Plugins
The Joomla! CMS includes a diverse set of useful Plugins.
Here are a few examples.
3rd Party Joomla! Plugins
A 3rd Party Plugin is one created by a developer, and which does not form part of the core Joomla! CMS.
The installation and uninstallation process is the same for all 3rd Party extensions including Plugins.
Read more: How to install an Extension.
Read more: How to uninstall an Extension.
Read more: How to update an Extension.
You can see the diverse range of available 3rd Party Plugins in the Joomla! Extensions Directory.
Visit: Joomla! Extensions Directory
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