The Challenge: Uncategorized Expense Entries

In many organisations, uncategorized expense entries have become a persistent headache for Finance. Employees submit expenses with vague descriptions, missing cost centers, or simply select “Other” to get their claims through. Finance teams then spend days chasing missing information, decoding receipts, and manually assigning GL accounts and project codes. Month-end closes stretch out, and no one fully trusts the spend reports.

Traditional approaches—policy PDFs, training sessions, and manual review—are no longer enough. As transaction volumes grow across travel, procurement, and subscriptions, Finance can’t scale headcount just to read receipts. ERP and expense tools help enforce some rules, but they struggle with free-text descriptions, mixed-language entries, and messy receipt photos. Static rules-based engines break whenever vendors change formats or employees get creative with descriptions.

The business impact is significant. Misposted costs distort margins by product, customer, and project. Budget owners see spend data too late to act. Controllers lose days of productive time on low-value classification work instead of analysis. Poor expense visibility undermines expense control, hides policy violations, and slows decision-making—especially critical when cash and profitability are under pressure.

The good news: this problem is very solvable with today’s AI. By combining Gemini’s multimodal understanding (text + images) with your financial coding logic, you can dramatically reduce uncategorized entries and manual touchpoints. At Reruption, we’ve helped organisations build AI-first workflows around complex document and data processing. Below, we’ll walk through practical, finance-ready ways to apply Gemini to expense classification—without disrupting your core ERP landscape.

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Our Assessment

A strategic assessment of the challenge and high-level tips how to tackle it.

From Reruption’s work building AI-powered document and data workflows, we’ve seen that uncategorized expenses are almost never a tooling issue alone—they’re a process and design issue. Gemini is a powerful engine to interpret merchant names, texts, and receipt images, but its real value comes when you embed it into a clear expense control strategy, with the right guardrails around GL logic, cost centers, and approval flows.

Anchor Gemini in Your Finance Data Model, Not Just in the Expense Tool

Before you start sending receipts to Gemini, Finance needs a clear, documented data model: which GL accounts are allowed for which cost centers and projects, what typical spend patterns look like, and which categories are “high-risk” from a policy perspective. Without this backbone, even a strong AI model will produce inconsistent classifications.

Treat Gemini as an interpreter between messy real-world inputs and your structured chart of accounts. Define explicit mappings, priorities, and override rules that reflect how your controllers already think. This keeps AI outputs aligned with your accounting logic and reduces pushback from auditors and local finance teams.

Start with a Narrow, High-Volume Use Case

Rather than “AI for all expenses”, start with one narrow but high-volume area: for example travel expenses (flights, hotels, taxis) or software subscriptions. In these domains, merchant patterns and descriptions are relatively consistent, making it easier for Gemini to learn and for Finance to validate results.

This focus lets you set clear success metrics (e.g. “reduce uncategorized travel expenses from 25% to <5% in three months”) and gather feedback from a smaller group of employees and approvers. Once the pilot is stable and trusted, you extend the same patterns to other spend types.

Design for Human-in-the-Loop, Not Full Automation on Day One

For Finance leaders, the biggest risk is not that Gemini misclassifies a taxi ride—it’s losing control over the process. To manage adoption and risk, design a human-in-the-loop workflow first: Gemini proposes categories, cost centers, and policy flags; Finance (or managers) review and accept, edit, or reject.

This approach builds trust and gives you labelled feedback data to improve Gemini’s prompts and fine-tuning. Over time, you can set confidence thresholds—e.g. auto-accept when confidence > 0.9, route to review between 0.6–0.9, and block or escalate below 0.6—so automation grows where the model has proven reliable.

Prepare Your Team and Policies for AI-Augmented Expense Management

Introducing AI-driven expense classification changes who does what in the process. Controllers spend less time coding expenses and more time defining rules, testing samples, and monitoring anomalies. Employees get faster feedback on policy breaches. To avoid resistance, make these shifts explicit.

Update your expense policy with a short section on AI support: what Gemini does, how categories are suggested, what overrides are allowed, and how data is used. Train Finance staff on reading AI outputs, understanding confidence scores, and interpreting edge cases. The more comfortable they are, the faster they will lean into automation instead of bypassing it.

Build for Auditability, Traceability, and Compliance from Day One

For Finance, a powerful model is useless if it’s a black box. From the beginning, ensure that your Gemini integration stores the input (sanitised where needed), the suggested classification, the reasoning (where technically possible via prompts), the confidence score, and the final human decision.

This traceability gives auditors comfort and lets you run periodic back-testing: How often does Gemini match final postings? In which categories does it struggle? Combined with clear data protection and access controls, this helps you meet internal controls, compliance, and works council requirements while still reaping the efficiency gains.

Used deliberately, Gemini can turn uncategorized expense entries from a chronic irritant into a largely automated, auditable workflow. The key is not just calling an API, but aligning the model with your chart of accounts, policies, and people. At Reruption, we specialise in building these AI-first finance processes end-to-end—from proof-of-concept to production-grade integrations. If you want to see what Gemini could do on your real expense data, we’re ready to help you test it in a focused, low-risk way.

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Real-World Case Studies

From Financial Services to Banking: Learn how companies successfully use Gemini.

Royal Bank of Canada (RBC)

Financial Services

In the competitive retail banking sector, RBC customers faced significant hurdles in managing personal finances. Many struggled to identify excess cash for savings or investments, adhere to budgets, and anticipate cash flow fluctuations. Traditional banking apps offered limited visibility into spending patterns, leading to suboptimal financial decisions and low engagement with digital tools. This lack of personalization resulted in customers feeling overwhelmed, with surveys indicating low confidence in saving and budgeting habits. RBC recognized that generic advice failed to address individual needs, exacerbating issues like overspending and missed savings opportunities. As digital banking adoption grew, the bank needed an innovative solution to transform raw transaction data into actionable, personalized insights to drive customer loyalty and retention.

Lösung

RBC introduced NOMI, an AI-driven digital assistant integrated into its mobile app, powered by machine learning algorithms from Personetics' Engage platform. NOMI analyzes transaction histories, spending categories, and account balances in real-time to generate personalized recommendations, such as automatic transfers to savings accounts, dynamic budgeting adjustments, and predictive cash flow forecasts. The solution employs predictive analytics to detect surplus funds and suggest investments, while proactive alerts remind users of upcoming bills or spending trends. This seamless integration fosters a conversational banking experience, enhancing user trust and engagement without requiring manual input.

Ergebnisse

  • Doubled mobile app engagement rates
  • Increased savings transfers by over 30%
  • Boosted daily active users by 50%
  • Improved customer satisfaction scores by 25%
  • $700M+ projected enterprise value from AI by 2027
  • Higher budgeting adherence leading to 20% better financial habits
Read case study →

Stanford Health Care

Healthcare

Stanford Health Care, a leading academic medical center, faced escalating clinician burnout from overwhelming administrative tasks, including drafting patient correspondence and managing inboxes overloaded with messages. With vast EHR data volumes, extracting insights for precision medicine and real-time patient monitoring was manual and time-intensive, delaying care and increasing error risks. Traditional workflows struggled with predictive analytics for events like sepsis or falls, and computer vision for imaging analysis, amid growing patient volumes. Clinicians spent excessive time on routine communications, such as lab result notifications, hindering focus on complex diagnostics. The need for scalable, unbiased AI algorithms was critical to leverage extensive datasets for better outcomes.

Lösung

Partnering with Microsoft, Stanford became one of the first healthcare systems to pilot Azure OpenAI Service within Epic EHR, enabling generative AI for drafting patient messages and natural language queries on clinical data. This integration used GPT-4 to automate correspondence, reducing manual effort. Complementing this, the Healthcare AI Applied Research Team deployed machine learning for predictive analytics (e.g., sepsis, falls prediction) and explored computer vision in imaging projects. Tools like ChatEHR allow conversational access to patient records, accelerating chart reviews. Phased pilots addressed data privacy and bias, ensuring explainable AI for clinicians.

Ergebnisse

  • 50% reduction in time for drafting patient correspondence
  • 30% decrease in clinician inbox burden from AI message routing
  • 91% accuracy in predictive models for inpatient adverse events
  • 20% faster lab result communication to patients
  • Improved autoimmune detection by 1 year prior to diagnosis
Read case study →

Pfizer

Healthcare

The COVID-19 pandemic created an unprecedented urgent need for new antiviral treatments, as traditional drug discovery timelines span 10-15 years with success rates below 10%. Pfizer faced immense pressure to identify potent, oral inhibitors targeting the SARS-CoV-2 3CL protease (Mpro), a key viral enzyme, while ensuring safety and efficacy in humans. Structure-based drug design (SBDD) required analyzing complex protein structures and generating millions of potential molecules, but conventional computational methods were too slow, consuming vast resources and time. Challenges included limited structural data early in the pandemic, high failure risks in hit identification, and the need to run processes in parallel amid global uncertainty. Pfizer's teams had to overcome data scarcity, integrate disparate datasets, and scale simulations without compromising accuracy, all while traditional wet-lab validation lagged behind.

Lösung

Pfizer deployed AI-driven pipelines leveraging machine learning (ML) for SBDD, using models to predict protein-ligand interactions and generate novel molecules via generative AI. Tools analyzed cryo-EM and X-ray structures of the SARS-CoV-2 protease, enabling virtual screening of billions of compounds and de novo design optimized for binding affinity, pharmacokinetics, and synthesizability. By integrating supercomputing with ML algorithms, Pfizer streamlined hit-to-lead optimization, running parallel simulations that identified PF-07321332 (nirmatrelvir) as the lead candidate. This lightspeed approach combined ML with human expertise, reducing iterative cycles and accelerating from target validation to preclinical nomination.

Ergebnisse

  • Drug candidate nomination: 4 months vs. typical 2-5 years
  • Computational chemistry processes reduced: 80-90%
  • Drug discovery timeline cut: From years to 30 days for key phases
  • Clinical trial success rate boost: Up to 12% (vs. industry ~5-10%)
  • Virtual screening scale: Billions of compounds screened rapidly
  • Paxlovid efficacy: 89% reduction in hospitalization/death
Read case study →

NatWest

Banking

NatWest Group, a leading UK bank serving over 19 million customers, grappled with escalating demands for digital customer service. Traditional systems like the original Cora chatbot handled routine queries effectively but struggled with complex, nuanced interactions, often escalating 80-90% of cases to human agents. This led to delays, higher operational costs, and risks to customer satisfaction amid rising expectations for instant, personalized support . Simultaneously, the surge in financial fraud posed a critical threat, requiring seamless fraud reporting and detection within chat interfaces without compromising security or user trust. Regulatory compliance, data privacy under UK GDPR, and ethical AI deployment added layers of complexity, as the bank aimed to scale support while minimizing errors in high-stakes banking scenarios . Balancing innovation with reliability was paramount; poor AI performance could erode trust in a sector where customer satisfaction directly impacts retention and revenue .

Lösung

Cora+, launched in June 2024, marked NatWest's first major upgrade using generative AI to enable proactive, intuitive responses for complex queries, reducing escalations and enhancing self-service . This built on Cora's established platform, which already managed millions of interactions monthly. In a pioneering move, NatWest partnered with OpenAI in March 2025—becoming the first UK-headquartered bank to do so—integrating LLMs into both customer-facing Cora and internal tool Ask Archie. This allowed natural language processing for fraud reports, personalized advice, and process simplification while embedding safeguards for compliance and bias mitigation . The approach emphasized ethical AI, with rigorous testing, human oversight, and continuous monitoring to ensure safe, accurate interactions in fraud detection and service delivery .

Ergebnisse

  • 150% increase in Cora customer satisfaction scores (2024)
  • Proactive resolution of complex queries without human intervention
  • First UK bank OpenAI partnership, accelerating AI adoption
  • Enhanced fraud detection via real-time chat analysis
  • Millions of monthly interactions handled autonomously
  • Significant reduction in agent escalation rates
Read case study →

Mastercard

Payments

In the high-stakes world of digital payments, card-testing attacks emerged as a critical threat to Mastercard's ecosystem. Fraudsters deploy automated bots to probe stolen card details through micro-transactions across thousands of merchants, validating credentials for larger fraud schemes. Traditional rule-based and machine learning systems often detected these only after initial tests succeeded, allowing billions in annual losses and disrupting legitimate commerce. The subtlety of these attacks—low-value, high-volume probes mimicking normal behavior—overwhelmed legacy models, exacerbated by fraudsters' use of AI to evade patterns. As transaction volumes exploded post-pandemic, Mastercard faced mounting pressure to shift from reactive to proactive fraud prevention. False positives from overzealous alerts led to declined legitimate transactions, eroding customer trust, while sophisticated attacks like card-testing evaded detection in real-time. The company needed a solution to identify compromised cards preemptively, analyzing vast networks of interconnected transactions without compromising speed or accuracy.

Lösung

Mastercard's Decision Intelligence (DI) platform integrated generative AI with graph-based machine learning to revolutionize fraud detection. Generative AI simulates fraud scenarios and generates synthetic transaction data, accelerating model training and anomaly detection by mimicking rare attack patterns that real data lacks. Graph technology maps entities like cards, merchants, IPs, and devices as interconnected nodes, revealing hidden fraud rings and propagation paths in transaction graphs. This hybrid approach processes signals at unprecedented scale, using gen AI to prioritize high-risk patterns and graphs to contextualize relationships. Implemented via Mastercard's AI Garage, it enables real-time scoring of card compromise risk, alerting issuers before fraud escalates. The system combats card-testing by flagging anomalous testing clusters early. Deployment involved iterative testing with financial institutions, leveraging Mastercard's global network for robust validation while ensuring explainability to build issuer confidence.

Ergebnisse

  • 2x faster detection of potentially compromised cards
  • Up to 300% boost in fraud detection effectiveness
  • Doubled rate of proactive compromised card notifications
  • Significant reduction in fraudulent transactions post-detection
  • Minimized false declines on legitimate transactions
  • Real-time processing of billions of transactions
Read case study →

Best Practices

Successful implementations follow proven patterns. Have a look at our tactical advice to get started.

Use Multimodal Inputs: Combine Merchant, Text, and Receipt Images

Gemini’s strength for Finance is its ability to interpret multiple input types together. For each expense line, send merchant name, transaction amount, currency, employee free-text description, and a receipt image (where available). This helps Gemini distinguish, for example, between a hotel’s restaurant and room charges, or between personal and business items on the same receipt.

Structure your API payload to keep financial metadata separate from raw text, so prompts can explicitly reference them. Where your expense tool already extracts some OCR data from receipts, pass both the original image and the OCR text so Gemini can correct or enrich it.

Example Gemini prompt template (conceptual):
You are an expense classification assistant for the Finance department.
You receive: merchant, amount, date, employee description, and a receipt image.

Tasks:
1. Propose the most likely expense category (GL account) from this list: [...].
2. Propose cost center and project, if clearly inferable.
3. Flag potential policy violations (e.g. weekend spend, first-class travel).
4. Return a JSON object with fields: category_code, cost_center, project,
   policy_flags[], confidence_score, reasoning.

Now classify the following expense:
MERCHANT: {{merchant}}
AMOUNT: {{amount}} {{currency}}
DATE: {{date}}
DESCRIPTION: {{description}}
RECEIPT_IMAGE: <binary or URL>

Standardise Outputs with JSON Schemas and Confidence Thresholds

For reliable downstream posting, enforce a strict JSON schema for Gemini responses. Define required fields (e.g. category_code, confidence_score), permissible values (e.g. list of GL accounts), and default behaviours when the model is unsure.

On the consuming side (your middleware or expense tool), implement confidence thresholds. For example, if confidence_score >= 0.9, auto-apply the classification; if 0.7–0.9, route to a controller’s review queue with Gemini’s reasoning pre-filled; if < 0.7, keep the line as “uncategorized” but attach the suggestion for faster manual handling.

Expected Gemini response structure:
{
  "category_code": "6130_TRAVEL_HOTEL",
  "cost_center": "CC_102_MKT_DE",
  "project": "PRJ_4567_CAMPAIGN_Q4",
  "policy_flags": ["WEEKEND", "NO_APPROVAL_FOUND"],
  "confidence_score": 0.92,
  "reasoning": "Merchant is a hotel chain, date matches conference…"
}

Integrate Gemini into Existing Expense and ERP Workflows

Instead of building a separate tool, embed Gemini classification into the workflows your employees and controllers already use. Typical patterns include a middleware service between the expense app and ERP, or an API extension inside the expense management system.

Implementation sequence could look like this: (1) Employee submits an expense as usual; (2) Webhook triggers a Gemini API call with all inputs; (3) Middleware writes back suggested category, cost center, and flags into custom fields; (4) Approver or controller sees the pre-filled suggestions and can accept or adjust; (5) Final data posts to the ERP. This minimises change management and speeds up adoption.

Continuously Retrain Prompts with Feedback from Finance

Set up a simple loop where Finance feedback directly improves Gemini’s performance. Whenever a controller overrides a category or cost center, log both Gemini’s suggestion and the final choice. Regularly sample these overrides and update your prompt instructions (e.g. “for <merchant> in Germany, prefer cost center X unless description mentions Y”).

Even without model fine-tuning, iterative prompt refinement can move accuracy from “roughly helpful” to “good enough to automate most cases”. Schedule monthly prompt reviews with Finance and your technical team to adjust rules, add new merchant patterns, and refine policy checks.

Prompt refinement snippet:
Previous errors: Taxi rides for client visits were coded as "office travel".
Update instruction:
- If description contains words like "client", "customer", "meeting" and
  merchant type is taxi/ride-sharing, classify under
  6145_CLIENT_VISIT_TRAVEL instead of 6140_INTERNAL_TRAVEL.

Use Gemini for Policy Violation Detection and Anomaly Flags

Beyond basic categorisation, use Gemini to flag policy violations and anomalies in real time. For example, detect first-class or business-class fares from the ticket image, weekend or holiday expenses, or duplicate receipts submitted across different reports.

Design prompts that explicitly ask Gemini to reason about context: time of day, location vs. employee office, unusual amounts relative to typical spend for that merchant. Route flagged items into a specific queue with clear labels so controllers can quickly decide whether to approve, reject, or request more information.

Example policy check snippet:
In addition to classification, check for:
- Travel class (economy vs business/first) from the ticket or receipt.
- Weekend or public holiday dates.
- Multiple similar receipts in a short time window.
Return a "policy_flags" array with reasons, e.g. [
  "BUSINESS_CLASS_FLIGHT",
  "WEEKEND_EXPENSE"
]

Define KPIs and Dashboards to Track Impact

To prove value, track a small set of expense automation KPIs before and after Gemini deployment. Common metrics include: percentage of uncategorized lines, average time from submission to posting, manual touch rate per expense, and reclassification rate after monthly close.

Visualise these KPIs in your existing BI or ERP reporting, ideally by department and country. This helps you see where the model performs well, where additional training is needed, and where process issues (not AI) are causing delays. Use these insights to prioritise future improvements and justify further investment in AI-enabled Finance workflows.

Implemented pragmatically, Finance teams typically see 30–60% fewer uncategorized entries within the first 2–3 months, a 20–40% reduction in manual expense coding effort, and materially faster visibility into spend by cost center and project—enough to make a noticeable difference in month-end closing and budget steering.

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Frequently Asked Questions

Gemini combines text and image understanding to interpret what an expense really represents. It reads merchant names, employee descriptions, transaction amounts, and even receipt photos, then maps them to your predefined expense categories, cost centers, and projects.

Instead of employees guessing a category or choosing “Other”, Gemini proposes a concrete GL account and coding suggestion in real time. Finance can review and adjust these suggestions, and over time you can automate high-confidence cases, dramatically reducing the number of uncategorized lines that reach controllers.

You typically need three capabilities: (1) a Finance lead who understands your chart of accounts and expense policies, (2) a technical owner who can work with APIs or your expense tool’s integration layer, and (3) someone to handle security, data protection, and access control.

You do not need a large data science team to get started. A small cross-functional squad—Finance, IT, and one engineer—can set up a first Gemini-based classification pilot in a few weeks, especially if you use existing middleware or iPaaS tools as the integration backbone.

For a focused use case (e.g. travel expenses), organisations usually see tangible results within 4–8 weeks. In the first weeks, you’ll configure prompts, wire up the API, and run Gemini in suggestion-only mode alongside your current process.

Once Finance is comfortable with the quality of suggestions, you can start auto-applying high-confidence classifications. At that point, you should see a clear reduction in uncategorized entries and manual coding time. Expanding to additional spend categories is typically faster, because you can reuse the same technical foundation and only adapt the financial logic.

Cost has two components: (1) Gemini usage costs (API calls, which are typically low per transaction) and (2) your one-time integration and change effort. For most mid-sized and larger organisations, the main driver is internal or partner implementation time, not the model usage cost.

ROI comes from reduced manual classification work, faster month-end closing, fewer reclassifications, and better visibility into spend (enabling concrete savings actions in travel, procurement, and subscriptions). In practice, even a modest reduction of a few FTE-days per month plus avoided mispostings and better spend steering usually outweighs the ongoing cost of running Gemini.

Reruption supports you end-to-end, from idea to working solution. With our AI PoC offering (9,900€), we first validate that Gemini can reliably classify your real expense data: we define the use case, build a prototype that connects to sample receipts and ledger data, and measure accuracy, speed, and cost per run.

Beyond the PoC, our Co-Preneur approach means we embed with your Finance and IT teams, design the target workflow, implement the Gemini integration, and help set up KPIs, monitoring, and governance. We don’t stop at slides—we build and ship the actual automation inside your P&L so that uncategorized expenses become the exception, not the norm.

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