Categorising Invoices and Bank Transactions

AI Finance Team gives your invoices and bank transactions a category on its own, and learns from every correction an accountant makes.

How Categories Work

Every workspace keeps two separate sets:

Invoice categories, applied to each line of an invoice.
Cash categories, applied to a bank transaction.

Both live under Master data → Accounting categories, on the Invoice and Cash tabs. Creating, editing and archiving a category needs "Edit master data", which accountants hold; the Cash and Examples tabs are accountant-only, and a client-side member sees the invoice list read-only.

A new workspace starts with no categories

AI Finance Team ships no ready-made list. Every office keeps its own chart of accounts, and a generic list would only have to be undone. Until the list exists, nothing is categorised: invoices and transactions still arrive and match, but an uncategorised record is not exported, because the accounting system would refuse it.

Four ways to fill the list:

From a spreadsheet: Import on either tab. See Importing master data.
From Business Central, on either tab, when the client's Business Central is connected. See Business Central.
From the invoice list to the cash list: Copy from invoice categories on the Cash tab.
By hand, one at a time.

Once the list is in place, select records on the Invoices or Bank transactions page and use Re-categorize to let the AI book what arrived earlier.

What a Category Holds

Code, optional: your own identifier, typically the GL account number.
Name.
Direction: income, expense, or neither. This decides what the AI may choose for a line or a transaction, and what the picker offers. A category with no direction is always offered.
Description, optional, and worth writing: the AI reads it when a case is ambiguous.
Active.
On a cash category only, Books without invoice: transactions in this category book straight to their GL account and are marked as needing no invoice.

The drawer also shows where the category is used: the report lines that sum it and the partners whose fixed category it is.

On the Invoice tab a search box above the list filters by name or code, with or without accents. Sorted by code, the rows are grouped by account class (the first digit of the code, for example Account class 5), with inactive categories at the end.

Archiving a Category

Categories are archived, never deleted, because records are already booked to them.

One row: Deactivate, and Activate to bring it back. If a partner rule depends on it, you are asked to confirm and shown which partners.
Many at once: Bulk archive in the toolbar opens the whole list as a table with three usage columns: Records (how many booked lines or transactions carry it), Report lines (how many report lines sum it) and Partner rules (how many partners have it as their fixed category). Categories used nowhere start ticked; anything in use carries an amber In use pill and you decide deliberately. Nothing is locked. The table itself works like every other one of its kind: see Working in the Spreadsheet Interface.

What archiving does:

	Archived category
Records already booked to it	Keep it
Pickers and the AI	It is gone from both
Report lines that sum it	Keep the membership; the line simply sums less
Partner rules using it	Become inactive

How the AI Picks a Category

Both taxonomies work the same way, and differ only in where the bar sits.

A learned correction that matches exactly books the line straight away, without asking the AI at all.
Otherwise the AI proposes a category with a confidence.

An invoice line

The AI reads the line and proposes a category.

0.85Applied
0.60Suggested only
0Suggested, and the invoice is flagged for review

A bank transaction

A transfer between your own accounts is applied whatever the score.

0.70Applied
0.60Suggested only
0Suggested, and the transaction is flagged for review

0.98A learned correction that matches exactly books the record straight away, without asking the AI at all.

Where a confidence lands. The bars are the app's own thresholds.

On an invoice line:

0.85 and above: the category is applied.
Between 0.60 and 0.85: the proposal is kept beside the line as a suggestion, and nothing is booked.
Below 0.60: the invoice is marked for review.

On a bank transaction:

0.70 and above: the category is applied. A transfer the AI recognises between your own accounts is applied whatever the score.
Below 0.70: the proposal is kept as a suggestion.
Below 0.60: the transaction is marked for review.

Confidence is shown as a word, not a percentage: High from 0.85, Medium from 0.60, Low below it. You see it on the invoice's lines and on a transaction's detail panel.

Correcting a Category

On an invoice: open the invoice, and on a line click the pencil next to the category to pick another. This needs "Edit invoices".
On a bank transaction: open the transaction and choose in the Category field. This needs "Edit bank transactions", and an archived category is refused.

Only categories whose direction fits are offered, plus any category with no direction.

What a correction teaches

Every correction is recorded for that workspace only. Nothing you fix for one client ever affects another.

The corrections the workspace makes most often are given to the AI as examples on the next run, so the same supplier and the same wording land in the right place without being asked again. The number of examples is a workspace setting, 30 by default; setting it to zero turns this learning off.

Two details worth knowing: a correction is also recorded when you fill in a category the AI left empty, not only when you overrule it. And a learned correction only books a line by itself when the amount is in the range it was learned at, never across currencies.

Accountants can see, edit and pre-load what the AI has learned on the Examples tab. See How AIFT Learns Your Categories.

Where the Work Shows Up

On an invoice line: a status badge while the AI is working (Pending, Processing, Failed), the suggested category where nothing was booked, and the confidence.
On the invoice: a Review label when the invoice needs attention, whether that came from categorisation, extraction or VAT.
On a transaction: the category with its confidence in the detail panel, and Edited when a person set it.
In Mission Control: a rung for invoices with uncategorised lines, and one for categorisation that failed, with a retry.

Re-categorising in Bulk

Select records on the Invoices or Bank transactions page and choose Re-categorize. It re-runs the AI over AI-assigned and uncategorised records only: anything a person set by hand is left exactly as it is. It runs in the background, and a very large selection is refused.

Adding or editing a cash category also queues any transaction still waiting to be categorised. Transactions that were settled without a category, because the workspace had none at the time, are not picked up automatically: use Re-categorize for those. Bulk archiving never queues anything.

Two Settings That Change What You See

Use cash-flow categories for bookkeeping only: the category is hidden on transactions that still expect an invoice.
AI categorisation can be switched off for a workspace, in which case Re-categorize says so instead of running.

Tips

Write descriptions. One sentence per category, on the ones that are easy to confuse, is the cheapest accuracy you can buy.
Correct confidently. A clear correction is worth more than an ambiguous item left unreviewed, because it becomes an example.
Do not prune a long list for the AI's sake. Hundreds of categories are normal for a real chart of accounts, and the pages load all of them. Archive what the office no longer uses, not what the AI finds hard.