How to Fix Uncategorized Transactions in QuickBooks
'Uncategorized' is what happens when bank feeds import transactions that don't match a rule. It's the fastest-growing account in most neglected QuickBooks files. Here's how to fix it and stop the growth.
Batch review — the fast way
Go to Banking > For Review.
Sort by Vendor/Payee to group similar transactions.
Batch select a group and categorize all at once.
For each vendor group, create a bank rule so future transactions auto-categorize.
Use bank rules aggressively
Create a rule for every recurring vendor: rent, utilities, software subscriptions, fuel stations, food delivery, payroll provider.
Rules can auto-add or ask-first. Ask-first is safer for the first month, then flip to auto after you trust the rule.
Clean up already-categorized 'Uncategorized' entries
If entries have already posted to Uncategorized Income or Uncategorized Expense: open each transaction and re-categorize.
Batch approach: run a P&L, drill into the Uncategorized accounts, and re-categorize from that list.
Common vendors and their categories
Costco, Sam's Club: usually Office Supplies or COGS depending on what you buy.
Amazon: split — this one always needs manual review because it's mixed.
Stripe, Square, PayPal fees: Merchant Processing Fees.
Google, Meta ads: Advertising.
AWS, hosting, SaaS: Software Subscriptions.
Prevention going forward
Review bank feed at least weekly. Daily if high volume.
Set aside 30 minutes on Friday to clear the For Review queue.
Never let it accumulate more than 30 days — that's when categorization becomes guesswork.
A quick disclaimer
This article is general information for Montana small business owners, not tax, legal, or accounting advice for your specific situation. Rules change, and how they apply depends on facts we don't know about you. Before acting on anything you read here, talk to a qualified professional. If you're a Montana business owner and want a real conversation about your books, payroll, or tax, that's what Marlow Accounting is here for — call 406-290-1214 or schedule a discovery call.