Expense Categorization Is Tedious and Error-Prone
Bookkeepers spend hours categorizing bank transactions, credit card charges, and cash expenses. Generic merchant names like "Amazon" or "Walmart" could be office supplies, inventory, or personal expenses. Rules-based systems fail on edge cases, requiring manual review of 30-40% of transactions. Miscategorization causes tax problems and inaccurate financial reports.
AI That Understands "Amazon" Is not One Category
LLM-powered expense categorizer that reads transaction descriptions, considers context (amount, date, merchant), references attached receipts, and categorizes with 95% accuracy. Learns from your corrections and handles multi-category splits (e.g., Target purchase with groceries + office supplies).
Connects to bank feeds, credit cards, and expense apps
Reads full transaction descriptions, not just merchant codes
Considers transaction amount and historical patterns
Analyzes attached receipts for detailed categorization
Handles split transactions (part meals, part supplies)
Learns from corrections and approvals
From Bank Feed to Categorized Books
Import Transactions
System pulls bank feeds, credit card transactions, and expense reports via Plaid or direct API integration.
AI Categorization
GPT-4 reads merchant name, amount, and description. Considers historical patterns and attached receipts.
Confidence Scoring
Each categorization gets confidence score. High-confidence auto-approved, low-confidence flagged for review.
Learn & Improve
When you correct a category, AI learns the pattern. Next similar transaction categorized correctly.
Key Features
Context Understanding
Knows "Uber" is rideshare for client visits but meals when at dinner time. Context-aware categorization.
Receipt Analysis
Reads receipt images to categorize line items. "Office Depot" receipt with printer = Equipment, not Supplies.
Multi-Category Splits
Automatically splits transactions: "Costco $500 = $300 Inventory + $200 Office Supplies" based on receipt.
Tax Rule Engine
Applies IRS rules for deductibility. Flags 50% meals, 100% deductible travel, and non-deductible items.
Expense AI Stack
Who Benefits?
Fractional CFOs
Categorize multiple clients' books faster. Scale to 20+ clients without adding staff.
E-Commerce Businesses
Separate inventory purchases from shipping supplies, marketing, and overhead. Clean COGS tracking.
Consultants & Freelancers
Auto-categorize business vs. personal expenses. Maximize tax deductions without manual sorting.