Why is payroll marked as a non-specified expense? I use QB online and 3rd party payroll. I set Payroll as the Payee. There is not class option.

Thank you for reaching out about your payroll categorization issue in QuickBooks Online, @lori132. I completely understand how vital it is for you to have accurate records, especially when it comes to tracking your employee wages and tax expenses. I will share my insights and recommendations to help you resolve this issue so you can continue with your tasks.
 

Payroll problems usually happen when the settings for your payroll categories aren't set up completely. Since you’re using a third-party payroll service, QuickBooks depends on the correct data that comes from that service. Therefore, I recommend reviewing the settings within your payroll service to ensure that each category is correctly assigned to the imported transactions.
 

To address this, log into your third-party payroll service account and navigate to the settings or account configuration section. Ensure that all payroll categories, such as salaries and taxes, are accurately linked to their corresponding accounts in QuickBooks. Additionally, verify that the mapping of payroll categories during the data import is correctly set up to reflect the intended accounts in QuickBooks.

In addition to this, explore this resource for future reference: Reconcile an account in QuickBooks Online. This process is necessary to make sure your financial records are correct and to keep your books balanced.

If you have any questions or need a bit of extra help as you go through these steps, don’t hesitate to reach out to me. I’m dedicated to making sure you get the support you need for a smooth and accurate payroll process. Your success truly matters to me, and I’m always here to assist you. Until then, I hope you have a great day.