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This video tutorial teaches you how to categorize income and expenses in QuickBooks Online. The program will try to help you name the payee and categorize transactions, but it may not always be accurate in the beginning. You must review and change categories as needed. Over time, QuickBooks Online will learn your spending patterns and vendors, making the process more automated. Initially, you will need to do more manual work, but as QuickBooks learns, it will start to do more of the work for you.