How do I correct a past contractor payment category?

Correcting a past contractor payment category will depend on the payment method you used, sc96.

If you made the payment via check, simply edit the account associated with that transaction. Follow these steps to do so:

1. Go to Expenses, then Contractors.
2. Select your contractor.
3. Choose the Payments tab and look for the payment you want to update. Then, hit Edit. 
4. Edit the account in the designated field located below the amount.
5. Click Save. 

If you paid the contractor through direct deposit, you'll need to cancel or void the transaction to correct the payment category. However, please note that if the direct deposit payment has already been processed, you won't be able to perform this task. Instead, you can create a journal entry to offset the amount of the contractor's direct deposit transaction.

To delete or void unprocessed direct deposit payments, here's how: 

1. Go to Expenses, then Vendors.
2. Select your contractor.
3. Look for the payment you want to delete or void, then select View/Edit.
4. Choose Delete or Void.
5. Click Yes to confirm changes.

For more insight, please see this article: Void or cancel contractor payments.

Additionally, if you wish to correct your 1099-NEC or 1099-MISC forms after e-filing, refer to this article for guidance: Correct or change 1099s.

Also, if you're looking to elevate your payroll processing, I highly recommend exploring QuickBooks Payroll. With its robust time-tracking features and the speed of faster direct deposits, you may find these enhancements can truly transform how your business operates.

Please don't hesitate to drop a comment if you need further help fixing a contractor payment in QuickBooks. We're determined to help you succeed.