One-man Shop? Independent Contractor? Sole Proprietor? Today you’ll submit an application for your little bit of the PPP Pie!
- by Victor Cabilla
- 4 min read
Self-employed's / separate Contractors: "we do not have payroll nor workers, can we get a bit of that monetary relief?"Paycheck Protection Program: "Yes, you can now!"
To date, one-man shop business owners and separate Contractors can put on for monetaray hardship relief through the SBA's $349 Billion Paycheck Protection Program that is potentially forgivable loan. This system, which started a week previously april third, was just available simply to applications from organizations that had had payroll and workers up to at the very least.
PPP loans can be found in amounts as much as the lower of two . 5 months of payroll expenses. Here you will find the information on the PPP:
What size a loan can eligible organizations get? Loans would be the lower of two . 5 months of payroll expenses (predicated on a yearly average associated with one year ahead of the loan origination date or calendar year) OR $10 million. The CARES Act describes payroll costs because:
- Salary, wages, commissions or recommendations (capped at $100,000 yearly for every single worker); PLUS
- Re re re Payment for holiday, parental, household, medical or sick leave; PLUS
- Allowance for separation or dismissal; PLUS
- Re re Payment when it comes to supply of worker advantages composed of team healthcare protection, including insurance fees and your your retirement; PLUS
- Re re re Payment of state and neighborhood fees examined on payment of workers; PLUS
- For a completely independent specialist or single proprietor: wage, commissions, earnings or web profits from self-employment or compensation that is similar.