How do I remove out-of-date vendor, customer and employee names from the Select payee dropdown when categorizing bank transactions?

Hi there, @joycelang.klipsa. 

I'm here to help you remove vendor, customer, and employee names from the select payee when categorizing bank transactions in QuickBooks Online. To do so, you'll need to make them inactive. Follow the steps below.

Here's how to make a vendor inactive:
 

1. Go to the Expenses menu and select Vendors.
2. Choose the vendor you want to make inactive.
3. From the Edit dropdown, select Make inactive.
4. Click Yes to confirm.
    

To make a customer inactive:
 

1. Go to the Sales menu, then select Customers.
2. Click the customer's name to open the profile.
3. From the Edit dropdown, select Make inactive.
4. Click Yes to confirm.

Once done, you'll see the word deleted beside the name and the transaction of the customer.

Moreover, you can delete an employee if you haven't created any paychecks for them yet. That said, employees with existing paychecks can't be deleted. However, you can change their status instead. 

Here's how:
 

1. Go to Payroll, then Employees.
2. Select your employee. If the employee isn't on the list, select All employees from the Active Employees dropdown.
3. From Employment details, select Start or Edit.
4. From the Status dropdown, select Terminated or another appropriate status: Paid Leave of Absence, Unpaid Leave of Absence, Deceased. Select Not On Payroll if you layoff or furlough an employee
5. Select Save.

Note that changing the status won't make their names disappear from the select payee. You can still see their names with an asterisk, which indicates that this employee has been inactive.

Once everything is fine, you can now categorize and match online bank transactions in QuickBooks Online. 

Feel free to leave a reply if you have other questions about managing transactions in QBO. I'd be around to help. Take care!