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I am quite new to qbittorrent, so please bear with me.

I have a category "software".

Let's say the destination for "software" is /Users/myname/qbittorrent/software and the default for undownloaded software is /Users/myname/qbittorrent/ and I am dowloading a package called foo.pkg

I have noticed that Users/myname/qbittorrent/foo.pkg is not moved to /Users/myname/qbittorrent/software/foo.pkg immediately after the download has completed.

What am I doing wrong, or what do I need to tweak in order to have foo.pkg moved to the desired categories folder?

Go into Settings, Downloads on left, and put "Automatic" Torrent Management Mode. Below I have "When...", I have those on Relocate too.