How to Categorize Expenses in Notion: Complete Guide for Financial Tracking

Are you drowning in receipts and struggling to make sense of where your money actually goes each month? You're not alone. Over 60% of people admit they have no idea how much they spend on different categories like dining out, subscriptions, or impulse purchases. The good news? You don't need expensive budgeting software or complex spreadsheets to take control of your finances.

Notion's powerful database system can transform into your personal finance command center, giving you crystal-clear insights into your spending patterns while being completely customizable to your unique needs. Unlike rigid budgeting apps that force you into predetermined categories, Notion lets you build an expense tracking system that actually makes sense for your lifestyle and financial goals.

Whether you're a freelancer juggling business and personal expenses, a family trying to stick to a tight budget, or someone who simply wants to understand where every dollar goes, this comprehensive guide will walk you through creating a sophisticated expense categorization system in Notion.

You'll discover how to:

• Set up a flexible expense database that grows with your needs
• Create meaningful categories that provide actionable insights
• Build automated views and filters that save you hours of manual work
• Transform raw spending data into visual reports that guide better financial decisions

By the end of this guide, you'll have a personalized financial tracking system that not only shows you where your money goes, but helps you make smarter spending decisions and achieve your financial goals faster. Let's dive in and turn Notion into your most powerful financial tool.

Take control of your finances—automate your money management in Notion with Latwy. Connect your accounts, skip the manual data entry, and get instant insights with powerful charts and daily updates. Start your free 30-day trial today and experience effortless personal finance.

Setting Up Your Expense Database with Essential Properties

Creating a solid foundation for your expense tracking system in Notion starts with building a well-structured database equipped with the right properties. This database will serve as the backbone of your financial tracking system, allowing you to capture, categorize, and analyze your spending patterns effectively.

Creating Your Expenses Table

Begin by setting up a new database in Notion using the table view format. Navigate to a new page in your workspace, select "Table" from the database options, and give your table a descriptive name like "Expenses Tracker" or "Monthly Spending Log." The table format provides the clearest overview of your financial data and makes it easy to add, edit, and review entries at a glance.

Core Properties for Effective Expense Tracking

To build a comprehensive expense tracking system, you'll need to configure several essential properties that capture all the critical information about each transaction:

Date Property: This fundamental field tracks when each expense occurred, enabling you to analyze spending patterns over time and create time-based reports. Use Notion's built-in date property type for consistency and easy sorting.

Amount Property: Configure this as a number property to record the exact cost of each transaction. This numerical data forms the foundation for all your financial calculations and budget analysis.

Category Property: Perhaps the most crucial element for organization, set this up as a select property with predefined spending categories. Include common categories like groceries, rent, utilities, entertainment, transportation, dining out, and subscriptions. This dropdown approach ensures consistency in your categorization and prevents duplicate or similar categories from cluttering your system.

Description/Notes Field: Add a text property for capturing additional context about each expense. This field helps you remember specific details about purchases and can be invaluable when reviewing expenses later or during tax preparation.

Advanced Properties for Enhanced Tracking

Account Property: If you manage multiple bank accounts, credit cards, or payment methods, include a select property to identify the payment source. This feature is particularly useful for tracking which accounts are being used most frequently and managing account-specific budgets.

Recurring Expense Indicator: Add a checkbox property to mark expenses that occur regularly, such as monthly subscriptions, rent, or insurance payments. This helps you quickly identify fixed costs versus variable expenses in your budget analysis.

Custom Tags: Implement a multi-select property for additional classification layers. Use tags to distinguish between business and personal expenses, mark tax-deductible items, or create any other custom categories that suit your specific financial tracking needs.

Organizing Your Database Structure

When setting up these properties, consider the logical flow of data entry. Arrange your columns in an order that makes sense for your workflow – typically starting with date, followed by amount, category, and description. This organization streamlines the process of logging new expenses and makes your database more intuitive to use.

Remember that Notion's flexibility allows you to modify and expand your database structure as your needs evolve. Start with these essential properties and add more specialized fields as you discover what additional information would be valuable for your financial tracking goals.

With these foundational properties in place, you'll have created a robust framework that can accommodate detailed expense categorization and provide the data structure necessary for meaningful financial analysis and reporting.

Creating Custom Categories and Organizing Your Spending

Once you've established your basic expense database structure, the next crucial step is creating a comprehensive categorization system that truly reflects your spending patterns. This is where Notion's flexibility shines, allowing you to build a personalized system that grows with your financial tracking needs.

Designing Your Category Structure

Start by setting up your primary Category property as a select dropdown in your expense database. This will serve as your main classification tool. Begin with broad, universally applicable categories such as:

• Housing (rent, mortgage, utilities, maintenance)
• Food & Dining (groceries, restaurants, takeout)
• Transportation (gas, public transit, car payments, insurance)
• Entertainment (streaming services, movies, hobbies)
• Healthcare (medical bills, prescriptions, insurance)
• Personal Care (clothing, grooming, fitness)
• Subscriptions (software, memberships, recurring services)

The key is to start simple and expand as needed. You can always add new categories or split existing ones as your tracking becomes more sophisticated.

Advanced Categorization Techniques

For more detailed financial insights, consider implementing a multi-level categorization system. You can achieve this by adding a Subcategory property alongside your main categories. For example:

• Food & Dining → Groceries, Restaurants, Coffee Shops, Meal Delivery
• Transportation → Fuel, Maintenance, Parking, Ride Sharing
• Entertainment → Streaming, Gaming, Books, Concerts

This approach provides granular detail while maintaining the ability to view expenses at both macro and micro levels.

Visual Organization with Color Coding

Notion's color-coding feature transforms your expense tracker from a simple list into an intuitive visual dashboard. Assign consistent colors to each category—perhaps green for food, blue for utilities, and red for entertainment. This visual system makes it instantly clear where your money is going when scanning through your expenses.

Creating Dynamic Views for Better Analysis

The real power of Notion's categorization comes through filtered and grouped views. Set up dedicated views for different perspectives on your spending:

• Monthly Category Breakdown: Group expenses by category with monthly filters
• Recurring vs. One-time: Separate views for regular bills versus variable expenses
• High-Spend Categories: Filter to show only categories above a certain threshold
• Tax-Deductible Expenses: Filter by business or tax-related tags

Maintaining Category Consistency

As you build your system, establish clear rules for category assignment. Create a brief description or guideline for each category to ensure consistent classification over time. For shared expense trackers, this becomes even more critical—consider adding a Category Guide page that explains when to use each classification.

Remember that your categorization system should evolve with your financial situation. Regularly review your categories monthly or quarterly, merging unused ones and splitting categories that have grown too broad. This ongoing refinement ensures your expense tracker remains a powerful tool for financial insight rather than a cluttered database.

By thoughtfully designing your category structure and leveraging Notion's organizational features, you'll create a robust foundation for understanding your spending patterns and making informed financial decisions.

Building Filtered Views and Visual Reports for Better Insights

Once you've established your expense database with proper categorization, the real power of Notion emerges through creating filtered views and visual reports. These features transform your raw expense data into actionable insights that help you understand your spending patterns and make informed financial decisions.

Creating Strategic Filtered Views

Filtered views are your gateway to focused financial analysis. Start by duplicating your main table view and applying specific filters to create targeted perspectives on your spending data.

Category-Specific Views Create dedicated views for each major spending category. For example, establish a "Groceries Only" view by filtering where Category equals "Groceries." This allows you to quickly analyze your food spending trends without distraction from other expenses. Similarly, create views for utilities, entertainment, transportation, and other significant categories to track performance against your budgets.

Time-Based Analysis Views Set up monthly and quarterly views by filtering the Date property. A "Current Month" view using date filters helps you monitor real-time spending against monthly budgets, while a "Last Quarter" view enables periodic financial reviews. These temporal filters are crucial for identifying seasonal spending patterns and tracking progress toward financial goals.

Conditional Spending Views Create specialized views for specific financial scenarios. A "Recurring Expenses" view filtered by your recurring checkbox helps you review fixed costs, while a "High-Value Transactions" view filtering amounts above a certain threshold (like $100) highlights significant purchases that deserve closer scrutiny.

Implementing Grouped Views for Visual Clarity

Grouped views transform your expense table into a visually organized summary that automatically clusters expenses by category and calculates totals for each group.

To create a grouped view, duplicate your main table and select "Group by Category" from the view options. This arrangement displays all expenses organized under their respective categories with automatic subtotals, making it easy to see at a glance how much you're spending in each area. The visual hierarchy helps identify which categories consume the largest portions of your budget.

Leveraging Calendar Views for Pattern Recognition

The calendar view provides a temporal perspective on your spending habits that's impossible to achieve with traditional tables. Switch to calendar view and configure it to display expenses by date, showing the amount and category for each entry.

This visualization reveals spending patterns you might otherwise miss—such as clustering of entertainment expenses on weekends, regular utility payments on specific dates, or increased grocery spending before holidays. The calendar format makes it easy to spot irregular spending spikes and identify opportunities for better financial timing.

Building Dashboard-Style Summary Views

Create a comprehensive financial dashboard by establishing multiple views on the same page. Use Notion's ability to display different database views simultaneously to build a control panel that shows:

• A summary table with grouped categories and totals
• A calendar view showing recent spending patterns
• Filtered views for the current month's top spending categories
• A simple list view highlighting upcoming recurring expenses

This dashboard approach provides immediate visual feedback on your financial status without requiring navigation between different pages.

Advanced Filtering Strategies

Combine multiple filter conditions to create sophisticated analysis views. For example, create a "Large Discretionary Spending" view by filtering for amounts over $50 AND categories like Entertainment, Dining Out, or Shopping. This combination helps identify areas where small changes in behavior could yield significant savings.

Use formula properties in conjunction with filters to create dynamic views. A "Days Since Last Expense" formula combined with category filters can help you track spending frequency in different areas, revealing whether you're maintaining consistent budgeting habits.

Maintaining View Organization

As your filtered views multiply, organize them logically to maintain efficiency. Use clear, descriptive names like "Monthly Food Budget" rather than generic labels like "View 2." Consider creating a dedicated "Financial Reports" page that links to your most important views, making them easily accessible for regular review.

Archive or delete views that no longer serve your analysis needs to prevent clutter. Regular maintenance of your view library ensures that your financial tracking system remains focused and functional.

These filtered views and visual reports transform your Notion expense tracker from a simple data repository into a powerful financial analysis tool. By implementing these strategies, you'll gain deeper insights into your spending patterns and develop the awareness needed to make more informed financial decisions.

Automating Recurring Expenses and Advanced Tracking Tips

Once you've established your basic expense categorization system in Notion, the next step is to streamline your tracking process through automation and advanced techniques. These methods will save you time while providing deeper insights into your financial patterns.

Setting Up Recurring Expense Automation

Creating Recurring Expense Templates

The most effective way to handle recurring expenses is by creating reusable templates. Start by identifying your regular monthly expenses such as rent, utilities, subscriptions, and insurance payments. For each recurring expense:

• Create a template button that automatically populates common fields
• Set up the template to include the typical amount, category, and description
• Use formulas to calculate the next due date based on billing cycles

Using Checkboxes for Recurring Identification

Add a "Recurring" checkbox property to your expense database. This simple addition allows you to:

• Quickly filter and view all recurring expenses
• Create separate views for one-time versus recurring costs
• Generate reports that distinguish between fixed and variable expenses
• Set up reminders for upcoming recurring payments

Formula-Based Automation

Leverage Notion's formula capabilities to automate calculations and categorization:

if(prop("Recurring"), "🔄 " + prop("Category"), prop("Category"))

This formula automatically adds a recurring symbol to your categories, making it easy to identify fixed expenses at a glance.

Advanced Filtering and Reporting Techniques

Multi-Level Filtering Systems

Create sophisticated views that combine multiple filters for granular analysis:

• Monthly Business Expenses: Filter by date range, "Business" tag, and specific categories
• Variable Costs Only: Exclude recurring expenses to focus on discretionary spending
• High-Value Transactions: Filter amounts above a certain threshold for expense review

Automated Monthly Reports

Set up template views that automatically generate monthly summaries:

• Group expenses by category with sum totals
• Create rolling 12-month views for trend analysis
• Build comparison views between current and previous months

Smart Categorization Strategies

Dynamic Category Assignment

Use Notion's relation properties to create hierarchical categorization:

• Link expenses to a separate "Category Master" database
• Include budget limits and category descriptions
• Enable automatic budget tracking through rollup properties

Conditional Formatting with Formulas

Implement formulas that automatically flag unusual spending patterns:

if(prop("Amount") > 100, "⚠️ High Value", "")

This creates visual alerts for expenses that exceed your normal spending thresholds.

Integration and Workflow Optimization

Mobile-First Data Entry

Optimize your expense tracker for mobile use by:

• Creating simplified templates for quick entry
• Using select properties instead of text fields when possible
• Setting up location-based templates for common expense types

Cross-Database Connections

Link your expense tracker to other financial databases:

• Connect to a budget tracking database for real-time budget monitoring
• Relate expenses to project databases for business cost allocation
• Link to savings goals to track progress toward financial objectives

Maintenance and Continuous Improvement

Regular Category Audits

Schedule monthly reviews to:

• Identify unused or redundant categories
• Merge similar categories that have evolved over time
• Add new categories based on changing spending patterns

Performance Monitoring

Track the effectiveness of your system by monitoring:

• Data entry consistency and frequency
• Category usage patterns
• Time spent on expense tracking versus insights gained

By implementing these automation and advanced tracking techniques, you'll transform your Notion expense tracker from a simple logging tool into a sophisticated financial management system. The key is to start with basic automation and gradually add complexity as you become more comfortable with the system and identify areas for improvement.

Remember that the most effective expense tracking system is one you'll actually use consistently. Focus on automating the repetitive tasks while maintaining flexibility for your unique financial situation and goals.

Best Practices for Maintaining Your Expense Categories

Creating an expense categorization system in Notion is just the beginning—maintaining it effectively is what transforms it into a truly powerful financial tool. Here are the essential best practices to keep your expense categories organized, accurate, and actionable over time.

Regular Category Review and Refinement

Schedule Monthly Category Audits

Set aside time each month to review your expense categories and assess their effectiveness. Look for patterns that suggest your current categories might need adjustment:

• Categories with very few entries might be too specific and could be merged with broader ones
• Categories with an overwhelming number of entries might benefit from subdivision
• New spending patterns that don't fit existing categories indicate it's time to add new ones

Evolve Categories with Your Lifestyle

Your spending habits change over time, and your categories should reflect these changes. For example, if you start a new hobby, begin working from home, or move to a new city, you'll likely need to adjust your categorization system accordingly. Don't be afraid to add, remove, or modify categories as your financial life evolves.

Maintain Consistency in Data Entry

Establish Clear Naming Conventions

Consistency is crucial for accurate financial tracking. Create and follow clear rules for how you name and categorize expenses:

• Use consistent terminology (e.g., always use "Dining Out" rather than switching between "Restaurants," "Eating Out," and "Dining")
• Define specific criteria for each category to avoid confusion when classifying borderline expenses
• Document your category definitions in a separate Notion page for reference

Implement a Regular Entry Schedule

The most effective expense tracking happens when data entry becomes a routine habit:

• Log expenses daily or weekly rather than trying to catch up monthly
• Set reminders to review and categorize recent transactions
• Consider linking your system to bank notifications or receipt photos for more timely entry

Database Hygiene and Organization

Archive Unused Categories

Rather than deleting old categories that might contain historical data, create an "Archived" status or move unused categories to a separate section. This preserves data integrity while keeping your active category list clean and focused.

Merge Redundant Categories Carefully

When you identify categories that overlap or are too similar, merge them thoughtfully:

• Update all existing entries to use the consolidated category
• Ensure the merged category name accurately represents all included expenses
• Document the change for future reference

Optimize Views and Filters

Create Category-Specific Views

Set up dedicated database views for different analysis needs:

• Monthly spending by category
• High-impact categories (those representing the largest portion of your budget)
• Discretionary vs. essential expenses
• Tax-deductible business expenses (if applicable)

Use Templates for Recurring Expenses

For expenses that happen regularly with the same category and description, create templates or use Notion's button feature to quickly add these entries with pre-filled information. This reduces data entry time and ensures consistency.

Monitor Category Performance

Track Category Trends

Use Notion's grouping and sorting features to identify spending trends within categories:

• Which categories are growing month-over-month?
• Are there seasonal patterns in certain categories?
• Which categories consistently exceed your budget expectations?

Set Category-Based Alerts

Consider adding formula properties that flag when spending in a particular category exceeds predetermined thresholds. This creates an early warning system for budget overruns.

Backup and Documentation

Document Your System

Create a separate page in Notion that documents:

• Category definitions and criteria
• Data entry procedures
• View purposes and filtering logic
• Any automated rules or formulas you've implemented

Regular Data Backup

Export your expense data periodically to ensure you don't lose historical information. Notion's export feature allows you to download your data in various formats for safekeeping.

By following these best practices, your Notion expense categorization system will remain a reliable, insightful tool for financial management. Remember that the goal isn't perfection—it's creating a system that provides valuable insights while remaining manageable to maintain over the long term.