When using a Transfer Category, it's important to remember that there are two sides to a transfer -- the initial transaction moving money from one account and a second transaction depositing the money into the other account.
Since money is only being moved between accounts, Transfers do not qualify as income or an expense. For example, making a payment to your credit card balance does not change your net worth; your balance in each account changes, but the sum of the accounts remains the same. As such, Simplifi does not automatically include these transactions in the Spending Plan or Reports by default.
Managing Linked Transfers
Simplifi will search for and identify transfers between accounts automatically. While we work hard to ensure proper detection of transfers, there may be a time when you'll need to categorize a transaction as a "Transfer" manually.
If you'd like to categorize a transaction as a Linked Transfer, you must select the "to" account for the Category. Simplifi will attempt to link the Transfer in the "from" account to the correct transaction in the "to" account. However, if there is no existing transaction to link to, Simplifi will create a corresponding transaction in the "to" account.
Click the Menu icon (the three lines in the upper left corner).
Select the account that contains the transfer transaction.
Locate the transfer transaction and click on it.
If the Category doesn't reflect the second account involved in the Transfer, click on the Category field to open the menu.
Scroll through the Category List or use the search bar to locate the correct account name, select it, and then click Apply.
Click Save in the upper right corner.
Accurately categorized Linked Transfers will have the corresponding account name in the Category field, and Simplifi will tell you if it's a transfer "from" or a transfer "to" the other account:
Other "Transfer" Options
We also offer a couple of other Transfer options that you can use in place of a Linked Transfer. For example, Simplifi has a built-in Category of "Credit Card Payment" and a built-in Category of just "Transfer." You can use these options on any transaction to keep it neutral (neither income nor an expense) without requiring a corresponding transaction in the "to" account.
If you have any questions about using Transfers in Simplifi, please don't hesitate to reach out to our amazing Support Team!
To learn about using Transfers on the Simplifi Web App, please click here!