Create a Categorization Rule

New rules can be created in Settings / Categorization Rules.

Rule conditions can reference fields in the transaction object itself, as well as Expected Payments and Payment Orders reconciled to that Transaction. For a primer on reconciliation, refer to Reconciliation Overview.

Conditions

We currently support the condition fields below. Contact [email protected] if you require support for additional condition fields.

Object	Condition Field	Supported Operators
Transaction	Vendor Description	Equal To; Not Equal To; Contains; Does Not Contain
Transaction	As of Date	Greater Than or Equal To; Lower Than or Equal To
Transaction	Amount	Equal To, Not Equal To; Greater Than or Equal To; Lower Than or Equal To;
Transaction	Currency	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Transaction	Type	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Transaction	Direction	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Transaction	Internal Account	Is; Is Not
Reconciled Expected Payment	Counterparty	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Reconciled Payment Order	Counterparty	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Reconciled Payment Order	Originating Account	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Reconciled Payment Order	Purpose Code	Contains; Does Not Contain
Reconciled Payment Order	Creation Method	Equal To; Not Equal To; Is Any Of; Is Not Any Of
Reconciled Payment Order	Type	Equal To; Not Equal To; Is Any Of; Is Not Any Of

For examples of how to use these fields for different use cases refer to Sample Categorization Rules

Rule Timing

When creating a new rule, you can define the time it should apply. Rules can run either when a transaction is created in Modern Treasury, or when it is reconciled.

Run rule at creation: if you intend to report unreconciled transactions, this option allows you to apply tags as soon as Modern Treasury ingests the transaction object from your vendor, regardless of reconciliation. This can help categorize unexpected transactions, such as interest, fees, or charges. Note that a rule that runs at creation cannot refer to Payment Orders or Expected Payment condition fields, as these are available only after reconciliation. We recommend using this option if you require to apply general tags to all your transactions.
Run rule at reconciliation: in this case, the rule will apply when a transaction is reconciled. This is best used for rules that require referencing to the reconciled Expected Payment or Payment Order to tag. These rules allow you to reference fields such as counterparty, purpose code, or type in the reconciled EP or PO. We recommend using this option for more granular tagging logic.

Many Expected Payments or Payment Orders

In the event of many Expected Payments or many Payment Orders reconciled to the same transaction, the condition fields for all reconciled Expected Payments or Payment Orders need to be evaluated to true for the metadata to be applied.

For example, a rule that applies the metadata tag payment category: vendor payout to ACME if the reconciled Expected Payment counterparty is ACME Co would only apply when all reconciled Expected Payments have counterparty ACME Co.