The CARES Act includes financial support for both businesses and individuals due to COVID-19. Employers who sponsor benefit plans should know that insurance premiums they pay for count towards the payroll calculation for loan applications. For an overview of the CARES Act and how it applies to companies, check out this overview of the law from legal partner Lashly & Baer, P.C.
The U.S. Chamber of Commerce has put together a useful article explaining the Paycheck Protection Program in detail here and many employers have told us this simple guide from the Chamber has been particularly useful.
Most companies are working with their banks to apply for the Paycheck Protection Program loans, but not all banks have the same resources and availability. Regional leader Commerce Bank has put together some helpful tools and information as well as a very useful loan sizing calculator tool. Click here for more information and access to the downloadable loan sizing calculator in excel.
In addition to an FAQ on the Employee Retention Credit under the CARES Act the IRS has also published an FAQ on economic impact payments (rebates) that will begin in the next three weeks and will be distributed automatically, with no action required for most people.
The Small Business Administration released an interim final rule announcing the implementation of the Paycheck Protection Program (PPP).
The Treasury Department released general documents on the PPP, including a link for the application. For a top-line overview of the program, click here. If you’re a lender, more information can be found here. If you’re a borrower, more information can be found here. The application for borrowers can be found here.