QuickBooks Tip: How to Create a Bank Rule (and Use It Safely)
If you're managing your own bookkeeping in QuickBooks Online, bank rules can be a huge time-saver. But when used incorrectly, they can do more harm than good. Here's what you need to know to use them wisely and keep your books accurate.
What Is a Bank Rule in QuickBooks?
A bank rule is an automation tool in QuickBooks Online that categorizes transactions for you based on criteria you define. For example, if every month you pay Zoom for your business meetings, you can create a rule that automatically categorizes that payment as a "Software Subscription."
When used properly, this helps streamline your workflow, save time, and reduce repetitive data entry.
How to Create a Bank Rule in QuickBooks
Go to Banking > Rules.
Click “New Rule.”
Name your rule (e.g., “Zoom Subscription”).
Choose whether the rule applies to Money In, Money Out, or both.
Set the conditions (e.g., description contains "Zoom").
Choose how to categorize it (e.g., “Software/Subscriptions”).
Assign to the correct account and click Save.
Best Practices for Using Bank Rules
Use rules for recurring, consistent vendors (Zoom, Canva, Gusto, etc.)
Regularly review rules and match accuracy to real transactions.
Be cautious when rules are applied to vendors with variable services.
Never "set and forget" — always monitor.
What to Avoid
Over-automation: If a rule miscategorizes transactions, it can snowball into major errors.
Wrong accounts: Misapplied rules can result in income showing as expense—or vice versa.
No reviews: Always reconcile accounts and double-check automatically categorized items.
FAQ
What’s the benefit of using bank rules?
They save time by automating repetitive transaction categorization.
Can I use bank rules for all my transactions?
No — they’re best for consistent, recurring charges. Manual review is still essential.
Will bank rules override manual changes?
No — if you manually change a transaction, QuickBooks will respect your change unless the rule is reapplied.
Can a bookkeeper manage my rules for me?
Absolutely. A professional bookkeeper can build accurate rules and audit them regularly.
📌 Avoid costly bookkeeping errors — and save hours each month.
Book a free call with Dr. Bryan Raya, QuickBooks ProAdvisor:
👉 https://calendly.com/dbr_bookkeeping/book-a-free-call-with-dbr
Let’s start Doing Business Right.
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