When the Google Analytics Settings variable was introduced in May 2017, it resulted in a significant change in the Google Analytics tag user interface in Google Tag Manager. The default UI for editing a tag was stripped down of all GA-specific settings, and the new Google Analytics Settings drop-down was the replacement. Unfortunately, the bulk of Google Tag Manager articles online (including those on this blog) still refer to the old interface in screenshots and instructions.
Let's face it - most of us use Google Tag Manager for one main purpose: to deploy and configure Google Analytics tracking on a website. I'd wager that once you start using GTM, you won't be implementing Universal Analytics the old-fashioned way, with on-page code, any more. But running Universal Analytics tags through GTM isn't yet a perfect workflow. We're still missing things like proper plugin support and the option to properly differentiate between the tracker and the hit - both of which are easy to do with an on-page implementation.