Month-end: explain the top 5 expense changes
Compare this month's P&L with last month's and get a short, checked explanation of the five biggest expense changes.
Time: 30 min first time, 15 min after
You need
- Accounting software that can export a Profit and Loss report (CSV, Excel or PDF)
- General chat assistant on a company account
Before you start
- Export the report with two columns side by side: this month and last month. Many accounting tools let you compare periods on the P&L; look for a compare or columns option on the report.
- Upload only the P&L. No bank statements, account numbers, payroll detail by employee or tax forms.
- AI can make arithmetic mistakes. Every number in the answer gets checked against the report.
- Some accounting plans have their own AI that answers questions about your books. Check the Finder (/tools/ai-finder) for yours.
Steps
- {"do":"Close the month in your books first, or at least finish categorizing and reconciling.","tip":"An explanation of unfinished books explains the mess, not the month."}
- {"do":"Run the Profit and Loss for this month and last month, side by side, and export it.","tip":"Look for Export, often at the top of the report. CSV or Excel is easier for the AI than PDF."}
- {"do":"Start a new chat, upload the file and paste the prompt below."}
- {"do":"Check the math: for each of the five lines, find both months in your report and subtract them yourself.","tip":"A calculator is fine. This is the step that makes the rest trustworthy."}
- {"do":"For each change, open the account's transactions in your accounting software and find the actual cause.","tip":"The AI can only suggest questions. The transactions have the answers."}
- {"do":"Write one plain sentence per change with the real reason, and keep it with your month-end records."}
- {"do":"If an explanation goes to your accountant or a partner, send your checked version, not the raw AI output."}
The prompt
Attached is the Profit and Loss for [BUSINESS NAME] with two columns: [THIS MONTH] and [LAST MONTH]. 1) Find the five expense accounts with the largest change in dollars, up or down. For each, show the account name, both amounts exactly as they appear in the report, the dollar change and the percent change. 2) Show your subtraction for each one so I can check it. 3) For each change, list up to three questions I should look into in the transactions (for example: 'Was an annual bill paid this month?'). Label these as questions, not answers. Don't state a reason as fact, because you can't see the transactions. Use only the numbers in the file; do not estimate or round the report amounts. If the columns, dates or account names are unclear, or the file looks incomplete, ask me before you answer. Finish with total expenses for both months as shown in the report.
Check the result
- Both amounts for each line match the P&L exactly, and your own subtraction matches the AI's.
- Total expenses for both months match the report's totals.
- Each final explanation comes from the actual transactions, not from the AI's questions.
- The five lines really are the five biggest dollar changes; scan the report for any it missed.
Written, not yet tested.