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Posted

Running a CB proposal for a LLC taxed as a partnership. 3 partners, each with 1/3rd ownership. Each partner's spouse is listed as having guaranteed payments of $200,000 in 2016. Assuming that this is not really W-2, is there any legitimate reason a spouse could have guaranteed payments?  

Posted

Do you mean guaranteed payments from the LLC?

Is this a death benefit (i.e., triggered only on the death of the employee/partner)?

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

Posted

They are showing compensation for each spouse as "guaranteed payments" from the LLC. It may really be W-2 but that is not the way they are showing it on the spreadsheet.

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