Coronavirus Resource Page
In recent weeks, the Federal Govt. has pass multiple Bills creating borrowing opportunities, payroll tax credits, stimulus checks, and other tax law changes that impact us all.
We want to make sure you are aware of what is available so can take advantage of any opportunities available now. We have listed some of the resources below that are aimed at helping individuals and businesses have enough cash to function and operate until things return to normal.
Received your PPP loan? The tools below can assist you in tracking and planning for forgiveness
8 Week Forgiveness Tracker Tool
SBA Application Form
$10,000 Emergency Grant and Disaster Loan Application.
$10 Billion total allocated, grant expected to not be available for long once funds run out. Disaster Loan portion likely still available even without $10k grant with repayment terms up to 30 years at below 4% interest.
List of items to apply
Prior year Gross revenue
Address, phone number, SSN, for business owner
Bank info for where to deposit $10,000 grant
Utah 0% Bridge loan.
Up to 5 year repayment period with no payments due for 12 months. $5,000 to $20,000 total loan amounts if approved.
Paycheck Protection Program (PPP) Loan
What is it?
This is the loan creating a massive opportunity for qualified businesses with a portion that might be forgivable. It is an SBA loan obtained through an SBA lender (bank, credit union, etc) where potentially all of the loan can be forgiven.
Who can apply?
Businesses or sole proprietors
How to calculate the total potential loan amount:
Multiply your total 2019 average payroll cost (includes wages, health insurance, retirement benefits, and employer portion of payroll taxes) by 2.5. For Sole Proprietors we expect that the "payroll cost" will be the net profit of the business.
How much can be forgiven?
For the 8 weeks following the date of the loan, is expected that the amounts paid for payroll costs, rent, loan interest, and utilities will combined to total the forgivable portion of the loan.
What are the terms for loan amounts not forgiven?
1% interest rate to be paid over 2 years with first payment not due for 6 months
When to apply?
Applications are expected to be available to submit on April 3rd (April 10th for self-employed). Some banks are expecting delays. Limited, and ever changing information is being provided by the Treasury and SBA daily.
How and where to apply?
This loan will need to be processed by an SBA lending but you can prepare now. We have provided a link to download the PDF application that you can complete. You'll need the total "payroll cost" mentioned above, and your business information. This is the same application form that has been provided to the banks.
Individual Stimulus Checks
As part of the CARES Act, individuals showing $75,000 ($150,000 for married joint filers) of Adjusted Gross Income or less on their 2019 tax return (or 2018 if not filed 2019 yet) will receive $1,200 each. There will be an additional $500 for each dependent. Use the calculator linked below to see if you qualify for the full amount.
Sadly many have either temporarily or permanently lost their jobs during this time. This Bill has expanded unemployment options and amounts for individuals both W-2 and self-employed. These can be applied for through the State unemployment offices. The Bill provides an additional $600 per week of federal money in addition to the State benefits.
General Information & Resources
Full text of the CARES Act Bill
As signed into law on March 27th
Paycheck Protection Loan Summary from US Chamber
Answers questions: Am I eligible? What will lenders be looking for? How much can I borrow? Will the loan be forgiven?
Payroll Retention Tax Credit
This credit is available for employers that continue to pay their employees during this time. I’ve provided some information on this credit below.
50% of qualified wages
Qualified wages is for wages paid between 3/12/2020 and 12/31/2020
Capped at $10,000 per employee
Reduces FICA taxes for the quarter, and any excess is refunded to the employer.
Claimed on quarterly payroll tax return.
Employers with more than 100 employees
Qualified wages are only for amounts paid to employees who are not performing services. (Mandatory lockdown, mandatory leave, etc.)
For employers with fewer than 100 employees
Qualified wages for any amounts paid to employees (working or not working)
Credit can still be claimed even if employees are still working and providing services to the business.