QB Issue Resolution:

If the parent LLC is paying guaranteed payments to the s-corps, then the payment in an expense in the parent LLC, and income in the s-corp. You can name the s-corp income account what you wish, myself I would use guaranteed payment income.

I would put it under other income since it is not related to that s-corp sales

Resolution for Issue 'Our business involves a professional LLC taxed as a partnership where the two partner entities are S-Corps owned by individuals. The LLC pays guaranteed payments to the member S-Corps, based on a formula that accounts for the efforts towards the partnership contributed by the S-Corps through their professionals. Each of the member S-Corps also generates its own professional fee income directly. A management corporation provides back end services to all three of these entities, including bookkeeping. I’ve reviewed the discussions concerning guaranteed payments on this forum, which were very helpful, and obtained guidance from our tax CPA. I am stuck on one last thing which seems very minor but important nonetheless. In categorizing the guaranteed payments received by the member S-Corps, would these be categorized as “Fee Income” (operating) or “Investment Income” (other income). Or something else? Any advice or recommendation would be appreciated.' available: Yes (Solved).
Source: Intuit Community forum.

Our business involves a professional LLC taxed as a partnership where the two partner entities are S-Corps owned by individuals. The LLC pays guaranteed payments to the member S-Corps, based on a formula that accounts for the efforts towards the partnership contributed by the S-Corps through their professionals. Each of the member S-Corps also generates its own professional fee income directly. A management corporation provides back end services to all three of these entities, including bookkeeping. I’ve reviewed the discussions concerning guaranteed payments on this forum, which were very helpful, and obtained guidance from our tax CPA. I am stuck on one last thing which seems very minor but important nonetheless. In categorizing the guaranteed payments received by the member S-Corps, would these be categorized as “Fee Income” (operating) or “Investment Income” (other income). Or something else? Any advice or recommendation would be appreciated.: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

Support for Categorizing guaranteed payments received income
Quickbooks Repair Pro will resolve it efficiently and affordably. Guaranteed resolution of your issue, or you pay nothing!

Error Recovery for Categorizing guaranteed payments received income [Canada]
E-Tech is the #1 Quickbooks data migration and Conversion service provider.

Get 50% off Quickbooks Online

Click Here for 50% off!

Additional Support Options: