What does the Payments with 2023 Federal Extension mean? During 2023 I made payments on my 2022 federal taxes owed. I am unsure if this qualifies.

No. It's referring to any amounts paid for tax you anticipate you might owe on your 2023 return when you filed the extension.  It is not referring to the 2022 tax return payments when you filed your federal extension last year.

Thank you for the answer!