When we first started, the Category you selected to spend from stayed active until your next transaction came in. This created a problem where transactions would sometimes get automatically categorized to the wrong Category.
For example, if you selected your Entertainment Category for spending but the tickets were sold out and you didn't end up make a transaction, then your Entertainment Category would stay active. Later, if you bought groceries without checking your app, the grocery purchase would get categorized into your Entertainment Category.
We believe it's important for you to be able to have confidence that all your transactions are categorized correctly. There are many software programs that try to automatically categorize transactions but they only can correctly categorize about 80% of the transaction. The problem is you don't know which transactions were miscategorized so you still have to go through and confirm each and every transaction manually to have confidence your budget is correct.
We've found the quickest and easiest way to get transactions categorized accurately is by allowing you to select the Category you'd like to spend from ahead of time (while it's fresh on your mind) Of course we also allow you to Categorize transactions after the fact as well if you need to.