Expense Categorization Assistant
Small business owners, freelancers, and bookkeepers use this prompt to quickly sort through a backlog of receipts and transactions before month-end or tax filing. It's ideal for anyone who collects expenses in a spreadsheet or email folder and needs them properly coded for their accounting software.
Prompts
You are an experienced bookkeeper and tax compliance specialist familiar with [ACCOUNTING STANDARD] expense classification rules for [BUSINESS TYPE] businesses in [COUNTRY/JURISDICTION]. I will provide you with a list of business expenses and I need you to categorize each one accurately. Business context: - Business type: [BUSINESS TYPE] - Accounting standard: [ACCOUNTING STANDARD] - Reporting currency: [CURRENCY] - Fiscal year: [FISCAL YEAR] Expense list: [EXPENSE LIST] For each expense, provide the following in a formatted table: | # | Description | Amount | Suggested Account | Account Code | Notes & Flags | |---|-------------|--------|-------------------|--------------|---------------| **Categorization rules to apply:** 1. **Standard Categories** — Map each expense to the most specific appropriate account: - Meals & Entertainment (note: subject to 50% deductibility in many jurisdictions) - Travel (airfare, hotel, ground transport — separate from meals) - Office Supplies & Consumables - Software & SaaS Subscriptions - Professional Services (legal, accounting, consulting) - Advertising & Marketing - Payroll & Benefits - Rent & Occupancy - Utilities - Insurance - Depreciation & Amortization - Repairs & Maintenance - Bank & Finance Charges 2. **Flag These Items Separately:** - Expenses that appear personal or mixed-use (flag as 'Verify — potential personal expense') - Expenses over [RECEIPT THRESHOLD] that require a receipt per policy - Expenses that may be capital in nature rather than operating (should be capitalized, not expensed) - Duplicate entries (same vendor, same amount, same or adjacent dates) - Items requiring approval or supporting documentation 3. **Summary Section** — After the table, provide: - Total by category - Count and total amount of flagged items requiring review - Any tax deductibility notes relevant to [COUNTRY/JURISDICTION] Be conservative: when in doubt between expensing and capitalizing, flag it for human review rather than making the call.
Prompt Variables
Replace each placeholder with your specific information:
[ACCOUNTING STANDARD][BUSINESS TYPE][COUNTRY/JURISDICTION][CURRENCY][FISCAL YEAR][EXPENSE LIST][RECEIPT THRESHOLD]What You'll Get
A formatted categorization table with suggested account names and codes for every expense, a flagged-items section highlighting personal expenses and missing receipts, category totals, and jurisdiction-specific tax deductibility notes.
💡 Pro Tip
Include the vendor name in your expense list, not just the transaction description — 'AWS' is immediately recognizable as software/hosting while 'AMZN' could be supplies or personal shopping, and the extra context lets the AI categorize with much higher confidence.
Compatible AI Tools
Claude
Best for jurisdiction-specific nuances and complex mixed-use expense flags; Claude will proactively note deductibility limits and suggest documentation requirements without being asked.
ChatGPT
Works well for bulk categorization; use the Code Interpreter to upload a CSV of expenses for automatic table generation. GPT-4o handles lists of 50+ expenses without losing accuracy.
Gemini
Good for Google Workspace users — reference a Google Sheet with your expense list and Gemini will categorize inline. Pair with Google Sheets formulas for running totals by category.
Microsoft Copilot
Excellent for Excel-based expense reports; Copilot can categorize expenses in-context and populate a pivot table summary by category automatically.