Contractors - Payee vs Vendor

Thanks for choosing QuickBooks, SnoKingRef.

I agree with aj4fluentbiz. A Vendors are those people or companies that you pay money to, such as a store, utility, landlord, or subcontractors who do work for you. On the other hand, Customers are people who owe you money for products purchased or service rendered.

I'd be happy to walk you through on how to add Customer/Vendors by following the steps below:

To add Customers:

1. Click on the Sales on the left menu bar.
2. Choose Customers.
3. Click New Customer.
4. Enter the necessary information.
5. Click Save.

To add Vendors:

1. Click on the Workers on the left menu bar.
2. Click Contractors.
3. Click Add a contractor.
4. Enter the necessary information.
5. Click the Add a contractor tab.

I've attached some screenshots below so you can have a better view.

Should you have additional questions about vendors and customers or anything else QuickBooks, don't hesitate to ask me here in the Community. I'll be around to help you out

Thanks for following this thread, @tastehgrc. I'm here to help ensure you're able to pay your vendors/contractors using direct deposit. 

To pay contractors by direct deposit, you'll need to have an active QuickBooks payroll subscription even you don’t run payroll for employees. 

First off, you'll need to set up your vendor/contractor's profile. Here's how:

1. Go to the Employees tab, then scroll down to Contractors.
2. Select + Add a Contractor, then choose Individual or Business for the Contractor Type.
3. Enter your contractor’s Federal EIN. You can ask them (contractors) for their Social Security number. 
4. Enter their business name, and address, then select Direct deposit. Select the checkbox under Other since you've paid your contractor outside through manual checks this calendar year. This helps us enter past payments so QuickBooks can track them for the current year’s 1099.
5. Enter their direct deposit info, then select Save.

Once done, you're ready to set up for their direct deposit. Follow Step 2: Set up direct deposit outlined in this help article:  Pay a contractor with direct deposit.

For future reference, read through this article: How to set up contractors and track them for 1099s in QuickBooks. It helps you learn about adding and tracking contractor's payments in QuickBooks Online. 

Feel free to post more questions in the Community. I look forward to answering your next posts.