Uncat vs. The Spreadsheet: Exploring Uncategorized Expense Management
Estimated Reading Time: 6 minutes
Let’s take a trip back in time to the dawn of modern accounting. Hunched over a massive double-entry log, we see a Bob Cratchitt like figure scratching away in his ledger book with a quill pen. Some time passes and leather bound journals are replaced by spreadsheets: still paper, still more prone to error, still good at absorbing spilled drinks, but not quite as cumbersome.
Fast forward about 100 years to 1969 and LANPAR goes on record as the first digital spreadsheet. Although most businesses and consumers wouldn’t use this technology for decades, this early system pioneered the way for more recognizable spreadsheets from makers like Lotus, MS-DOS, and (your favorite) Microsoft Excel.
Now let’s look at the present. There’s Barb Cratchitt over in the corner on the phone with her client’s administrative assistant for the third time asking about a list of uncategorized expenses. She sent three or four emails about the same transactions, attached a trusty spreadsheet each time, sent follow up emails, and in the end had to resort to a phone call.
After all these years and advancements in technology, shouldn’t there be something that makes this manual process easier, or eliminates it all together?
There’s a big lesson to learn here, and it’s summarized by the old adage “use the right tool for the job.”
See how real Uncat customers are saving time on uncategorized transactions in our new Trends Report 👇!
Spreadsheets are great… for some things.
After almost 60 years since the invention of the modern digital spreadsheet, how can we say it’s still a great tool?
Because it is! Among all the tools in an accountant's toolbox, nothing quite has the staying power of the spreadsheet. Today’s finance and accounting professionals would still be lost without it. It even drives the syntax of accounting language. We throw around terms like “spreadsheet,” “vlookup,” “pivot table,” and “slicer” and expect people to know what we’re talking about.
Even outside of accounting, spreadsheets are part of our software landscape and we forgive the uninitiated for using things like Google Sheets.
Fun fact: “Bookkeepers emerged when societies used the barter system and needed to record the agreements that they were making regarding goods or service transactions” (Investopedia, 2022).
Why do we sing the praises of spreadsheets?
They’re really good at a lot of things:
Storing information (numbers, lists, variables, and more)
Sorting and slicing data (columns, rows, slicers, and data filter options make it easy to pull out the information you need)
Filtering data (zoom in or zoom out on specific groups or subsets of data)
Visualizing data (some spreadsheet tools include built-in data visualization tools)
Basic and complex numerical calculations (the options are almost endless)
As you can see, a simple spreadsheet can become a powerful business tool. But why don’t we just use spreadsheets for everything?
Because there are some really important things they just can’t do.
SPOILER: Keep reading, but we think Uncat does a great job at saving you time on uncategorized transactions. See for yourself here ⬇️.
Spreadsheets are NOT so great at…
Since the dawn of accounting, many tools have come and gone. The abacus? Not really much use for that any more.
You can’t say the same thing about a spreadsheet. It’s here to stay even with some significant limitations.
To illustrate the idea, let’s say I notice a few loose nails hanging out of a loose board. Should I grab the screwdriver or a hammer? The answer is obvious, but if we want to get nitpicky, you really can hammer a nail with a screwdriver. It’s going to take longer, you may break the screwdriver, and you’ll spend more time chipping away at a task that could be completed in seconds with a hammer.
Using the right tool for the job can make all the difference.
Processes help, too. Grab your free copy of the Uncat Month End Close Checklist here, and make it your own 👇!
So where do spreadsheets fall short?
Accountant/ client communication (download, add info, save, send, type instructions into an email, repeat 👎)
Managing uncategorized transactions (they’re already in QuickBooks… why keep a separate list that has to be constantly updated and resent?)
Keeping track of updates (modern spreadsheets are cloud-based, but who knows what version you’re really updating?)
A lack of automation or syncing with other software (cobble a solution together and work out the technical details yourself, or upload a CSV file)
Getting to the point/ saving time (with so many rows, columns, and the propensity for making accidental changes, you have to reorient yourself every time you open it up)
See what we mean? Spreadsheets can be great tools when used for the right kind of work, but mismatches can easily become frustrations.
A better way to fix uncategorized transactions
By all means, we recommend putting spreadsheets to their highest and best use.
For the things they’re not so good at, like managing uncategorized expenses and deposits, try a tailor-made solution like Uncat.
Here’s how most accounting professionals do this (a.k.a. The Old Way):
And here’s a way to save time and keep your clients happy…
This easy-to-use software is made for accountants and bookkeepers with one simple goal in mind: saving you loads of time by simplifying the process of getting uncategorized transaction info.
Uncat is loved by customers, 10x faster than a spreadsheet, syncs automatically with QuickBooks Online, integrates with Xero, automatically notifies your clients, and it’s a major bargain at just $5 per client per month 👌.
“Moved a customer to Uncat, away from sending an Excel spreadsheet of questions. After just one interaction with it, they replied that Uncat was much easier to use.” — Bruce Beaumont @ Ascendwise
No more exporting spreadsheets, emailing them back and forth, and repeating that cycle over and over again.
Get started with a free 14-day trial today, or set up a demo to learn more.
