The Coronavirus Aid, Relief, and Economic Security (CARES) Act became law on March 27, 2020, the third of three congressional relief bills. Below summarizes what we know so far about resources available to businesses and individuals due to the pandemic.
DISCLAIMER: Information provided here is for general education only. Please consult as needed with your tax professional, financial planner, banker and attorney to make the best decisions for your business and personal circumstances.NOTIFY ME WHEN UPDATES ARE MADE TO THIS PAGE
Note: The funding for EIDL grants is currently not open to anyone other than agricultural business.
Usually grant money is difficult to obtain, but during the coronavirus pandemic there are government and private entities trying to help. Below are some resources. This is not an exhaustive list and programs.The CARES Act includes a provision for loans that may be forgivable and well as disaster relief loans and grants.
- Read through all the options below, full instructions for any application and the entire Small Business Owner's Guide to the CARES Act before making a decision. Page 9 of the guide has resources to free or low cost get assistance to applying for loans and grants.
- Ensure your business accounting records are up to date. You will need, at a minimum, a Profit and Loss Statement showing your income, payroll and other expenses by month, for 2019 and 2020 to date. If you need help updating your accounting contact [email protected] or check out the Simple Profit Spreadsheets.
- Determine how much business you have lost or additional expenses you have incurred since the pandemic began. Knowing where you stand will help you make an informed decision.
- Assess your ability to financially survive the shut down until June 30, 2020, how much money you may need and your ability to repay any loans after June. This requires estimating, which is difficult in uncertain times. Do your best.
The link below includes a comparison of unemployment, EIDL and PPP loan programs as well as a FAQ.
Paycheck Protection Program (PPP) Forgivable Loans
SBA Economic Injury Disaster Loans (EIDL) and Emergency Grants
Local Government Grants
Credits for Paid Leave
Payroll Tax Credits
Other Business Provisions
The CARES Act offers two main forms of personal relief: 1) Individual payments of up to $1,200 per adult and $500 per child under age 17 and 2) Increased unemployment benefits. Other relief such as delayed tax day and help with federal mortgages and student loans are also listed below.
ACTION TO TAKE NOW:
- If you have not filed your 2019 IRS tax return and are prepared to do so now, contact your tax professional to discuss the option to file now.
- If the IRS does not have your banking info or current address, make sure the post office has your forwarded address.
Economic Impact Payments: $1,200 per adult and $500 per child
Expanded Unemployment Benefits
IRS: Delayed Tax Day
Federal Student Loans
Avoid Coronavirus Scams
Jennie Schottmiller is a CPA. She simplifies complicated topics for small business owners and helps them make business decisions with confidence. Jennie is also a licensed family therapist and runs a private practice in Pennsylvania.