Use bank rules to categorize imported transactions

Bank rules are decision criteria you define so Manager can automatically categorize or post transactions to correct accounts when you import bank statements. Procedures for importing statements are described in another Guide.

Define, edit, or delete a bank rule

Bank rules can be defined, edited, or deleted in the Settings tab after clicking Bank Rules:

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To define a new bank rule, click New Bank Rule and complete the description. Click Create when finished. To edit or delete a bank rule, click the Edit button to the left of the rule. Edit as desired and click Update or click Delete.

Jose knows his domestic wire transfer charges are always described in his bank statements as ELECTRONIC XFER FEE. So he creates a bank rule to automatically post any transaction in his main bank account with the words ELECTRONIC XFER FEE to his Bank charges expense account. Jose also knows that bank charges are subject to a 10% goods and services tax (GST). He tracks income and expenses for his branch offices separately using tracking codes. So he makes matching selections in appropriate fields. (If no tax or tracking codes exist, these fields are not visible):

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You can allocate transactions to control accounts, such as Accounts receivable or Accounts payable, with a bank rule. In such cases, subsidiary ledgers are identified in the allocation dropdown list:

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Define a bank rule during categorization

After a bank statement has been imported, Manager returns you to a list of uncategorized transactions. Here, imported transactions are displayed in one of two ways:

Xuan imports a bank statement. All transactions are initially uncategorized because none matched existing bank rules:

Uncategorized transactions must be categorized, either by manual editing or with a new bank rule and bulk categorization.

Xuan sees that international wire transfer fees always show the same way in her bank statements. So she creates a bank rule for them by clicking the New Bank Rule button on the applicable transaction line:

She sets a description that Manager will recognize for such fees, directing all bank account transactions from the Business bank account containing NAB INTL TRAN FEE in their descriptions to be categorized under her Bank charges expense account:

After creating a bank rule, you are taken back to the uncategorized transactions screen, where you will notice the bank statement transaction has successfully been matched by the new bank rule.

Xuan’s bank charge now has a tentative allocation:

You should create bank rules for all transactions likely to recur, being careful not to include in the bank rule any transaction details that are unique, such as reference numbers, invoice numbers, or dates. Once-off transactions that are infrequent should be categorized individually by clicking Edit rather than by creating bank rules. Transactions you edit will disappear from the bulk categorization screen.

Once you have added all your bank rules, select all transactions matched by new bank rules by checking their boxes. Click Bulk Update at the bottom. All selected bank transactions with matching bank rules will be recategorized and taken off the list. Bank rules you created will be saved, so when you import bank statements again, Manager will match new bank transactions to existing bank rules, reducing the time needed to categorize them.

Xuan defines additional bank rules, then checks all boxes for the bulk update:

Define a bank rule after categorization

If transactions are not categorized automatically by existing bank rules or by defining new bank rules, they show as Uncategorized under the Bank Accounts tab:

Northwind Traders has three uncategorized transactions in its checking account:

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These are revealed by clicking on the blue number:

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From this screen, Northwind can define new bank rules or edit transactions the same way as when importing a bank statement.

The possibility always exists that a bank rule will incorrectly categorize a transaction with unanticipated characteristics. When you complete the categorization process, review the results.



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