In the training it says to automatically create the household name, leave it blank. But on my fresh NPSP install the account field is required on all new contacts, so it can't be left blank.
My settings are:
Account Model = Household Account
Household Account Record Type = Household Account
One-to-One Record Type = None
Automatic Household Naming = Enabled
But it still required you to select an account on creation.
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