If you are making your own meatballs, mix together ground beef and egg. Season with salt and pepper. Form into 1-inch meatballs.
Dice potatoes and carrots into small pieces, about 1-inch in size.
In a large pot or dutch oven, sauté onions in oil over medium heat until translucent. Add sugar and continue sautéing until golden brown.
Add drained sauerkraut. Continue sautéing for a few minutes. Add paprika.
Add beef broth, meatballs, carrots, and potatoes. Bring to a boil. Lower heat to a gentle simmer and cook, covered, for about 15 to 30 minutes.
Season soup with salt and pepper, if desired.
Serve in individual bowls with a dollop of crème fraîche or sour cream, along with a fresh salad and crusty bread for an easy meal.
