May 29, 2020
Hello, and welcome to our next installment of Off the Cuff. Today, I’d like to chat a little bit about the Paycheck Protection Program. The Paycheck Protection Program was approved by Congress and signed by the president on March 27th. Many of you have received funds or are in the process of applying for funds. I have a couple of tips for you today.
PPP Money Logistics
Upon receipt of any money under the Paycheck Protection Program, we recommend setting up a separate checking account so that you can move over exactly what you are paying in the form of salaries, wages, rents, utilities, and interest on real estate debt. This keeps a clear record of the use of funds and will be helpful when applying for loan forgiveness.
Applying for Forgiveness
When it does come time for applying for forgiveness, you will apply directly to your banker. The banker will provide you with a list of required items to be able to certify that you used the funds for which they were intended for. Remember, the funds are to be used within eight weeks of receipt. You are to track and provide all backup documentation that’s going to be necessary in hopes of having your loan forgiven. We have been advised that there’s still funds available for those who have yet to apply.
This video series is meant to bring you quick sound bites with tips and news as often as we can. We’ll be analyzing information as it comes out and checking in with other experts to share the items that will be most useful. I want to remind you that all of our COVID-19 items are located at whhcpas.com/COVID-19. Until the next time, stay healthy. Thank you.
Other Off the Cuff Episodes:
Off the Cuff – PPP Eight-Week Period and Forgiveness
Off the Cuff – Intro and the Paycheck Protection Program
By Frank Hambalek, CPA
Partner
Frank specializes in high-level consulting and financial reporting work with medium- to large-sized construction and real estate companies. With his talent in managing systems and people, he has served as an outsourced CFO for many clients. Other specialties include internal fraud prevention, GAAP standards, and new leasing standards.
