Transaction Rules

What are Transaction Rules?

Transaction rules automatically categorize imported transactions based on patterns you define. Instead of manually categorizing the same merchants over and over, you create a rule once, and Purpose Budget applies it to all future transactions from that merchant. This saves enormous time, especially for Premium users with bank sync.

Benefits of Transaction Rules

• Save time: Eliminate repetitive categorization of recurring merchants
• Ensure consistency: Same merchant always goes to same category
• Reduce errors: No more accidentally miscategorizing regular expenses
• Faster import review: Most transactions pre-categorized when imported
• Better reports: Consistent categorization means more accurate analytics
• Less mental load: Don't have to remember which category for each merchant

How Transaction Rules Work

The Rule Matching Process

1. Transaction imports: New transaction appears from bank sync or manual entry
2. Rule check: Purpose Budget scans your rules for matches to the payee name
3. Auto-categorization: If a rule matches, the category is automatically applied
4. Review: You verify the categorization (or it's already correct!)

Rule Components

Every rule has three key parts:

• Payee pattern: The text to match (e.g., "Starbucks", "Shell Gas", "Netflix")
• Target category: Where matching transactions should be categorized
• Match type: Exact match, contains, starts with, or ends with

Creating Your First Rule

Rule Match Types

Contains (Most Common)

Matches if the payee contains your pattern anywhere in the name.

Exact Match

Matches only if the payee exactly equals your pattern.

Starts With

Matches if the payee begins with your pattern.

Ends With

Matches if the payee ends with your pattern.

Essential Rules to Create

Start with these high-frequency merchants to get the most value from rules:

Groceries & Food

• Whole Foods → Groceries
• Safeway → Groceries
• Trader Joe's → Groceries
• Chipotle → Dining Out
• Starbucks → Coffee/Dining Out

Transportation

• Shell → Gas
• Chevron → Gas
• Uber → Transportation
• Lyft → Transportation

Subscriptions

• Netflix → Subscriptions
• Spotify → Subscriptions
• Amazon Prime → Subscriptions
• Apple.com/bill → Subscriptions

Utilities & Bills

• PG&E → Utilities
• Comcast → Internet/Cable
• Verizon → Phone
• Water District → Utilities

Income

• Your Company Payroll → Ready to Assign
• Venmo (deposits) → Ready to Assign
• Client Payment → Freelance Income

Managing Your Rules

Viewing All Rules

Navigate to Settings → Transaction Rules to see your complete rule list:

• Rules organized by category
• Payee pattern and match type displayed
• Quick edit or delete options
• Rule usage statistics (how many transactions matched)

Editing Rules

Modify rules when merchant names change or you want different categorization:

1. Find the rule in Settings → Transaction Rules
2. Click Edit icon
3. Update payee pattern, match type, or category
4. Save changes

Note: Editing a rule only affects future transactions. Past transactions keep their original categorization.

Deleting Rules

Remove rules that are no longer needed:

• Merchant closed or no longer used
• Rule causing incorrect categorization
• Duplicate rules for same merchant

Warning: Deleting a rule doesn't recategorize past transactions - it just stops auto-categorizing future ones.

Advanced Rule Strategies

Split Merchant Locations

Some merchants might need different categories depending on what you buy:

Handling Variable Merchants

For merchants that import with inconsistent names:

• Use "Contains" match type - Catches variations
• Find common substring - What text appears in all versions?
• Test with past transactions - Verify rule catches all occurrences

Rule Priority & Conflicts

If multiple rules could match a transaction:

• More specific rules take priority over general ones
• Exact match beats Contains
• Longer patterns beat shorter patterns
• First matching rule wins (if equal specificity)

Rules for Manual vs. Imported Transactions

Imported Transactions (Premium)

Rules are most powerful with bank sync:

• Transactions import with merchant names from your bank
• Rules auto-match and categorize immediately
• You review pre-categorized transactions
• Saves 80%+ of categorization time

Manual Transactions (Essential)

Rules still work with manual entry, but differently:

• You manually enter payee name when creating transaction
• If payee matches a rule, category auto-fills
• Saves typing category for each transaction
• Ensures consistency for recurring merchants

Tip: Essential users should still create rules for frequent manual entries (paycheck, rent, common merchants). It speeds up manual entry by auto-suggesting categories.

Best Practices

Start Small and Expand

• Begin with your 10 most frequent merchants
• Add rules as you encounter repeated payees
• Don't try to create rules for everything upfront
• Review rules quarterly and clean up unused ones

Use Descriptive Patterns

• Be specific enough to avoid false matches
• Too broad: "Market" (matches too many stores)
• Better: "Whole Foods Market"
• Test patterns with existing transactions before saving

Maintain Consistency

• One rule per merchant (not multiple conflicting rules)
• Same category for same merchant across all locations
• Update rules if you change category structure
• Document unusual rules for future reference

Review Auto-Categorized Transactions

• Don't blindly trust rules - verify categorization
• Catch incorrect matches early
• Refine rules that are miscategorizing
• Spot new merchants that need rules

Common Mistakes to Avoid

❌ Overly Broad Patterns

Pattern: "Market" - This will match "Whole Foods Market", "Flea Market", "Stock Market Report", etc. Be more specific!

❌ Creating Too Many Rules Too Fast

Creating 50+ rules upfront is overwhelming. Start with frequently used merchants and add incrementally.

❌ Not Testing Rules

Before saving a rule, check if the pattern matches past transactions correctly. Avoid false positives.

❌ Forgetting to Update Rules

If you reorganize categories, update corresponding rules. Otherwise, transactions go to old/wrong categories.

❌ Duplicate Rules

Multiple rules for the same merchant cause conflicts. Keep one rule per merchant pattern.

Frequently Asked Questions