Equivalent Accounts for an S Corp in Wave?

jtaylorvo

Hi, I know Wave creates a set of accounts based on the business structure you select at set-up. I chose S-corp. Which would be the equivalent accounts Wave created for these items I've listed below? I'm sole shareholder, fyi. Thanks for any info!

Shareholder Distributions
Capital Stock
Additional Paid-In Capital
Retained Earnings
Net Income

Samd

Hey @jtaylorvo, Wave should automatically calculate Retained Earnings and Net Income for you in your general ledger report. If you wanted to be able to categorize transactions into these categories however, I'd recommend creating accounts for each (in Accounting > Chart of Accounts). They'd be broken down as follows.

Assets: Net Income,
Equity: Retained Earnings, Paid-in Capital, Capital Stock.

From what I understand, Shareholder Distributions would also be an Equity account type, but I'd recommend running this by an accountant just to make sure everything is setup correctly, especially when it comes to investments, stocks, and shareholder management.