# Category Selection

This article explains **Category Selection** for variables in Model Reef.

You will learn:

* How categories differ from types.
* How categories affect P\&L, Balance Sheet and Cashflow layout.
* How to keep category usage consistent.

Categories are reporting buckets. They do not change accounting logic but they do change how numbers are presented.

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### Type versus category

* **Variable type** controls accounting behaviour.
* **Category** controls how the variable is grouped inside statements and reports.

Example:

* A Revenue variable might have category `Revenue - Product A`.
* A Staff variable might have category `Opex - Staff`.

Both are still governed by their type rules, but categories make outputs readable.
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### Where to choose categories

You select categories in:

* The **Category Picker** inside the Variable Editor.
* The **import mapping** step when creating variables from external data.
* The **Data Library** when tidying up central definitions.

Categories are usually chosen from a predefined list to keep structures consistent.
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### Impact on statements

Category selection determines:

* Which row the variable contributes to in P\&L.
* Which section of Assets or Liabilities it appears under in the Balance Sheet.
* Which bucket it belongs to in the Cashflow Statement and Cash Waterfall.

Changing category:

* Does not change the time series values.
* Only changes where those values are shown.

This allows you to reformat reports without rebuilding the model.
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### Category schemes

You can define category schemes such as:

* Revenue split by product, channel or geography.
* Opex grouped into logical blocks like Marketing, Operations, Rent and so on.
* Asset classes grouped into tangible, intangible and other categories.
* Liability and equity groups.

Agreeing on a scheme across the organisation makes comparing models easier.
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### Categories during import

When importing from systems or files:

* Model Reef proposes categories based on account names, headings or context.
* You review and adjust these in the mapping screen.
* The selected category is stored with the variable and in the Data Library.

Correct mapping at this stage greatly reduces later cleanup work.
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### Governance and maintenance

Over time you may:

* Merge rarely used categories.
* Rename categories for clarity.
* Align categories as your chart of accounts evolves.

Owners or lead modellers typically manage the category scheme to avoid fragmentation.
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## Related articles

* [Category Picker](/syntax/understanding-the-interface/category-picker.md)
* [Subcategory Selection](/syntax/variables-syntax/subcategory-selection.md)
* [Amortisation](/help/financial-outputs-and-valuation/amortisation.md)
* [Build a KPI Dashboard](/how-tos/dashboards-and-reporting/build-a-kpi-dashboard.md)


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