diff --git a/blueprints/ynab/tools.py b/blueprints/ynab/tools.py
index 8418c33..469b5d4 100644
--- a/blueprints/ynab/tools.py
+++ b/blueprints/ynab/tools.py
@@ -456,19 +456,34 @@ async def ynab_spending_report(
             GROUP BY 1 ORDER BY {order}""",
         *params,
     )
+    rows = [r for r in rows if r["spent"] > 0]
     if not rows:
         return f"No spending found from {start} to {end}."
 
-    total = sum((r["spent"] for r in rows), Decimal(0))
+    totals = await _query(
+        f"""{LINES_CTE}
+            SELECT COALESCE(-SUM(LEAST(l.amount, 0)), 0) AS outflows,
+                   COALESCE(SUM(GREATEST(l.amount, 0)), 0) AS inflows
+            FROM lines l
+            JOIN ynab_accounts a ON a.id = l.account_id
+            LEFT JOIN ynab_categories c ON c.id = l.category_id
+            WHERE {" AND ".join(conditions)}""",
+        *params,
+    )
+    outflows, inflows = totals[0]["outflows"], totals[0]["inflows"]
     top = max(1, top)
     shown = rows if group_by == "month" else rows[:top]
-    lines = [f"Spending by {group_by} from {start} to {end}: total {_usd(total)}"]
+    lines = [
+        f"Spending by {group_by} from {start} to {end}:",
+        f"- Total spending (outflows): {_usd(outflows)}",
+        f"- Inflows (deposits into budget accounts, not spending): {_usd(inflows)}",
+    ]
     lines += [f"- {r['key']}: {_usd(r['spent'])} ({r['n']} txns)" for r in shown]
     if len(rows) > len(shown):
         rest = sum((r["spent"] for r in rows[len(shown) :]), Decimal(0))
         lines.append(f"- {len(rows) - len(shown)} others: {_usd(rest)}")
     if group_by == "month" and len(rows) > 1:
-        lines.append(f"Monthly average: {_usd(total / len(rows))}")
+        lines.append(f"Monthly average: {_usd(outflows / len(rows))}")
     artifact = make_artifact(
         "ynab.spending_report",
         f"Spending by {group_by.replace('_', ' ')} · "
@@ -482,7 +497,7 @@ async def ynab_spending_report(
                     {"key": r["key"], "amount": _amount(r["spent"]), "count": r["n"]}
                     for r in rows
                 ],
-                "total": _amount(total),
+                "total": _amount(outflows),
             }
         ),
     )
diff --git a/tests/unit/test_ynab_tool_artifacts.py b/tests/unit/test_ynab_tool_artifacts.py
index ece9dfe..16ff211 100644
--- a/tests/unit/test_ynab_tool_artifacts.py
+++ b/tests/unit/test_ynab_tool_artifacts.py
@@ -247,12 +247,22 @@ SPENDING_ROWS = [
 
 
 async def test_spending_report(monkeypatch):
-    fake_db(monkeypatch, {"GROUP BY 1": SPENDING_ROWS})
+    fake_db(
+        monkeypatch,
+        {
+            "GROUP BY 1": SPENDING_ROWS,
+            "AS outflows": [
+                {"outflows": Decimal("710.50"), "inflows": Decimal("100.00")}
+            ],
+        },
+    )
 
     msg = await call(tools.ynab_spending_report, {"top": 2})
 
     assert msg.content == (
-        "Spending by category from 2026-10-01 to 2026-10-12: total $610.50\n"
+        "Spending by category from 2026-10-01 to 2026-10-12:\n"
+        "- Total spending (outflows): $710.50\n"
+        "- Inflows (deposits into budget accounts, not spending): $100.00\n"
         "- Groceries: $400.00 (10 txns)\n"
         "- Dining Out: $150.50 (5 txns)\n"
         "- 1 others: $60.00"
@@ -269,7 +279,7 @@ async def test_spending_report(monkeypatch):
             {"key": "Dining Out", "amount": 150.5, "count": 5},
             {"key": "Gas", "amount": 60.0, "count": 2},
         ],
-        "total": 610.5,
+        "total": 710.5,
     }
 
 
@@ -278,14 +288,23 @@ async def test_spending_report_by_month(monkeypatch):
         {"key": "2026-09", "spent": Decimal("100"), "n": 1},
         {"key": "2026-10", "spent": Decimal("200"), "n": 2},
     ]
-    fake_db(monkeypatch, {"GROUP BY 1": rows})
+    fake_db(
+        monkeypatch,
+        {
+            "GROUP BY 1": rows,
+            "AS outflows": [
+                {"outflows": Decimal("400.00"), "inflows": Decimal("100.00")}
+            ],
+        },
+    )
 
     msg = await call(
         tools.ynab_spending_report,
         {"group_by": "month", "start_date": "2026-09-01"},
     )
 
-    assert msg.content.endswith("Monthly average: $150.00")
+    assert msg.content.endswith("Monthly average: $200.00")
+    assert msg.artifact["data"]["total"] == 400.0
     assert [r["key"] for r in msg.artifact["data"]["rows"]] == ["2026-09", "2026-10"]
 
 
@@ -425,3 +444,28 @@ async def test_db_error(monkeypatch, tool):
 def test_text_only_tools_unchanged():
     assert tools.ynab_account_balances.response_format == "content"
     assert tools.ynab_recent_changes.response_format == "content"
+
+
+async def test_spending_report_omits_nonpositive_groups(monkeypatch):
+    rows = SPENDING_ROWS + [
+        {"key": "Uncategorized", "spent": Decimal("-5000"), "n": 1},
+        {"key": "Fully refunded", "spent": Decimal("0"), "n": 2},
+    ]
+    fake_db(
+        monkeypatch,
+        {
+            "GROUP BY 1": rows,
+            "AS outflows": [
+                {"outflows": Decimal("710.50"), "inflows": Decimal("5100.00")}
+            ],
+        },
+    )
+    msg = await call(tools.ynab_spending_report, {})
+    assert "Total spending (outflows): $710.50" in msg.content
+    assert "not spending): $5,100.00" in msg.content
+    assert "Uncategorized" not in msg.content
+    assert "Fully refunded" not in msg.content
+    assert [r["key"] for r in msg.artifact["data"]["rows"]] == [
+        r["key"] for r in SPENDING_ROWS
+    ]
+    assert msg.artifact["data"]["total"] == 710.5