You can take a distribution is your equity section is positive since S-Corp earnings will run through your personal return. Set up an equity account and call it Shareholder's distributions. Code the check to this account.
Hello there, Venture115.
Allow me to share some details about taking a distribution as the owner of an S-corp.
You can take a distribution and post from the Equity account since this will go through your personal return. This is nothing to do with your payroll.
Also, I'd suggest reaching out to your accountant to verify the process and make sure that the equity account is being set up correct.
I've added these articles to help you with the process:
Please don't hesitate to let me know if there's anything else I can help you with. I'm always happy to assist you further. Take care.
I have done this, can I take the distribution though quickbooks payroll? If so, how do I do that?
Thank you for joining this thread, Kcroyaljosh.
I recognize your concern regarding taking an S-corp distribution through QuickBooks payroll. Allow me to provide you with guidance on how to address this matter.
We'll have to set up an addition item to track the distribution. To ensure the accuracy of your payroll records, I recommend consulting with an accountant for further assistance. They can recommend which specific paytype to use. When you have the information handy, follow these easy steps to set up the payroll item:
Here are a few resources that provide insights on how to effectively track fringe benefits on your employees' paychecks and maintain records of S corporation medical insurance:
In addition, these links will guide you how to handle various retirement plans and prepare for the upcoming year-end tasks:
Reach out to me again if you have additional questions or concerns about tracking S Corp in QBO. I'm always ready to respond to them. Enjoy the rest of the day, Kcroyaljosh.
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