Why do I have Uncategorized Income?

Hi there, 

Congrats on your first post in the Community. I'd be glad to share more info about Uncategorized income in QBO. 

When banking transactions are downloaded into QuickBooks Online, QBO can’t always figure out how to categorize the transaction. In that case, QBO assigns the Uncategorized Income account to amounts received and the Uncategorized Expense account to amounts paid.To avoid this, you'll need to categorize the transactions and I'll show you how. In the future, if you ever see Uncategorized Income in the “Category or Match” column, you should select the appropriate category (or account from your chart of accounts).

Here's how to categorize the transactions

1. On the Banking page, select the For Review tab.
2. Select the checkbox for each transaction to which to assign the same payee, category, class, or location. You can easily select multiple rows by selecting the first, holding down shift, and selecting the last.
3. From the Batch Actions drop-down menu, select Modify Selected.
4. Use the fields in the Modify Selected dialog to specify the Payee, Category, Class, or Location to assign to all of the selected transactions.
5. The Class and Location fields only appear if you have set up classes or locations on the Account and Settings (or Company Settings) Advanced tab.
6. Select Apply. 

For more info on how to handle transactions, check out this helpful link: Assign, categorize, edit, and add your downloaded banking transactions.

Let me know if you have other questions. 

I have the same problem but I don't download banking or any other information. It started in May 2019 and has hit several cheques I've posted. They all appear to be posted correctly, but there's an additional entry to uncat. income as well as uncateg. expense in each case. So weird and frustrating that I cannot clear them. I have noticed that the Payee is the same, so maybe there's something in the vendor setting(?)

Hi Kalinda. Thanks for joining the thread! 
 

Suppliers in QuickBooks Online aren't set up with a default option for accounts. It may be that you've created certain settings or recorded the cheques in a way that's causing the additional entries to Uncategorized Income/Expense to be created. I want to make sure you're given the help you need in order to resolve this. 

The best thing you can do in this case is to reach out to our tech support team here. An agent will be able to work through the specifics of your account with you, so you can get this figured out. 

I hope this helps. Have a nice day.

Kalinda

Did you ever resolve this issue of posts in the correct account and in uncategorized? I'm having the same issue and tech support hasn't been any help yet.

Hi there. Thanks for joining the discussion about this. It's vital that you're able to get the help you need when running into issues. I'd recommend reviewing this article to find helpful information about how to categorize your transactions: Categorize and match online bank transactions in QuickBooks Online. If you're still running into issues, reaching out to our tech support team is beneficial for a few reasons. First, they'll be able to remotely share your screen so that they know exactly what you're seeing in your account, as well as how things have been set up on your end. These agents also have access to your specific account information, so they'll be able to resolve any issues that may have occurred on the back-end. 

I hope this helps get you back on track. 

Take care.

I got it resolved. It was due to renaming/changing a startup account made by quickbooks. I renamed the uncategorized expense account and it caused duplication of sorts. I made a new account and reclassed all transactions to it.

Awesome! I'm happy to hear everything got resolved. :)

I had to post because this issue has been driving me nuts for WEEKS! I finally realized that I had un-checked "Require Accounts "in the company accounting preferences. 

Making sure that preference was selected fixed it, so now (once again), I am warned if a transaction doesn't balance, rather than QB forcing the balance through the uncategorized account. 

I am new to the Quickbooks community. I am part of the Treasurer team for our church, so I chose the nonprofit religious category. Obviously, we don't have jobs or sales, per se. We collect offerings which I put in the Receive Payments category. Then I do the deposits and assign the offerings to the various accounts. I'm now trying to do a P&L for the monthly to present to our Church Council and I find that the income is only showing as uncategorized. What am I doing wrong?

Hi Sandra461,

Welcome to Community!  Ensuring that offerings you've received for your nonprofit organization are correctly categorized, is essential for tracking, reporting and reconciling your transactions.  QuickBooks Online creates default accounts based on your company setup.  I'd be happy to provide more information for you!

The uncategorized income is set by default for any entries that aren't directed to a specific account.  These transactions can be edited and moved by following these steps:

1. From the Profit and Loss report, scroll down to the Uncategorized Income 

2. Select the Total to see what transactions are in that account

3. Click on the Amount of the transaction to open it

4. In the Account Details section, hit the drop-down arrow and choose the appropriate account

5.  When finished, hit Save or Save and Close

In addition, you can set up Bank Rules to automatically categorize transactions for you.  This will minimize time spent on reviewing transactions and allow you to proceed to reconciling your account(s) with confidence. 

If you have any other questions or concerns, please don't hesitate to reach back out.  We'd love to help!

I will have 100s of upcoming uncategorized income entries as members renew their annual dues.  Is there an easier way to categorized these en-mass, or import them differently so they will be assigned to the customer and account?  qbo.

Hi KHWPTC,

Thanks for joining this thread. Being able to correctly record your transactions is essential in order to keep your book up to date. QuickBooks Onilne is a flexible program that simplifies the way you manage your books. I'd be glad to point you in the right direction to categorize your transactions.

I'd encourage you to set up bank rules for the different transactions so that they're automatically categorized into the account chosen in the rules. You can review this article on how to create a bank rule in the account.

Let me know if you have any questions, I'll be happy to help.