Government Grants and Loans
| A | B | C | D | E | F | |
|---|---|---|---|---|---|---|
1 | FFCRA Credit | Paycheck Protection Program (PPP) Loan | Economic Injury Disaster Loan (EIDL) | Employee Retention Credit (ERC) | Payroll Tax Deferral (PTD) | |
2 | What Can It Be Used For? | · To help pay for COVID-19 related sick and family leave pay obligations. | · Payroll
· Benefits · Mortgage interest · Rent · Utilities · Interest on other debt obligations | · Paid sick leave
· Payroll · Materials · Rent/mortgage · Repay obligations that cannot be met due to revenue loss | · Offset payroll taxes | · Defer tax payments to help manage cash flow |
3 | How Much? | · 80 hours per employee for sick leave; up to $10k per employee for family leave | · 250% of average monthly defined payroll costs, no more than $10M. Up to 8 weeks can be forgiven. Remainder becomes loan with low very interest rates. | · Up to $2M | · 50% of up to $10,000 in qualified wages, for a max credit of $5,000 per employee | · Only applied to Employer Social Security |
4 | Covered Period | 4/1/2020 to 12/31/2020 | 2/15/ 2020 to 6/30/2020 | 1/31/2020 to 12/31/2020 | Wages paid after 3/12/2020 and before 1/1/2021 | Deposits due for the period: 3/27/20 – 12/31/20 |
5 | Who is eligible? | · Business with no more than 500 Employees (Independent Contractors are not eligible)
· Ability to track and report COVID- 19-eligible sick time and family leave wages paid | · Business with no more than 500 Employees
· Sole proprietors · Independent Contractors · Other self- employed · 501(c)(3) and 501(c)(19) · Loan can be forgiven Details Here | · Business with no more than 500 Employees
· Sole proprietor · Independent Contractors · Private non-profits · Must meet disaster criteria) | · Business shutdown by gov.
· Significant reduction in gross receipts: (Seen 50% drop or more in rev. in the quarter Effective until gross receipts greater than 80% of gross receipts compared to the same quarter of the previous year) | · Any Business
· Repaid in 2021 & 2022 |
6 | Combine With Others' COVID-19 Programs? | · N/A, except PPP loan proceeds cannot be used/forgiven for FF wages covered by credit | · Tax deferrals and loans cannot be combined with PPP in most situations | · Bus. can apply for EIDL and PPP, as long as the money is used for different purposes. Review with your bank. | · ERC and PPP cannot be combined | · PTD and PPP cannot be combined in most circumstances. |
7 | How to apply? | Pay COVID-19-eligible sick time and family leave wages paid via new earning codes
· EPSL-Self · EPSL-Other · EFMLA Credit applies to payroll immediately | · Apply through SBA lender
· Ask Journey Payroll Specialist for “PPP Loan Reports” | · Apply through SBA | · Tell your Journey Payroll Specialist
· Credit applies to payroll immediately · Discount once receipts go above 80% of comparable quarter 2019 | · Tell your Journey Payroll Specialist |
8 | When Funded? | Employers can apply the credit to payroll tax liability, seek immediate refund for excess or request a refund on their quarterly tax return | Program started on April 3, 2020. | Advanced funds, up to $10,000, will be received within three days of SBA receiving application | Immediate, if elected | Immediate, if elected |
9 | More… | Journey Video Over Details | SBA.gov Intel | SBA.gov Intel | IRS.gov Intel | IRS.gov Intel |