For photos, JPG is the right call. For text and screenshots, PNG usually is.
"PNG files are not accepted." "File too large." Those are the two usual reasons to turn a PNG into a JPG. But converting is not always an improvement — it depends on what is in the picture.
So a photo saved as PNG — common with screenshots of photos and some capture tools — shrinks dramatically as a JPG. A screenshot full of text, on the other hand, gets fuzzy edges around the letters and barely shrinks.
If a result came out larger than the original, the result line says why — usually it is the text-and-lines case above. Keep those as PNG.
Convert a logo or icon with a transparent background to JPG and the transparent area is filled with white, because JPG has no transparency. That is fine on a white page; on a coloured background, keep it as PNG or choose WebP, which keeps transparency.
If the place you are uploading to accepts WebP, it is the better choice: smaller than JPG at the same quality, and it keeps transparency. Some forms still only take JPG or PNG, so check first.