The Coronavirus Aid, Relief, and Economic Security Act Paycheck Protection Program Update - Bim Group

The Coronavirus Aid, Relief, and Economic Security Act Paycheck Protection Program Update

The Department of the Treasury (Treasury) and the Small Business Administration (SBA) issued frequently asked questions (FAQs) on the Paycheck Protection Program (PPP) established under the Coronavirus Aid, Relief and Economic Security Act (CARES Act). The PPP provides small employers with an incentive to keep workers on their payroll during the COVID-19 crisis. Under the PPP, which is an extension of the SBA Section 7(a) loan program, qualifying small businesses are eligible to borrow up to $10 million in order to maintain their workforce from February 15, 2020, until June 30, 2020. All or a portion of the loan may be forgiven if the borrower follows the SBA guidelines. The FAQs provide much-needed guidance to businesses and individuals by clarifying several of the PPP requirements that lacked specificity due to the understandable rush to enact the CARES Act and the rapid issuance of the SBA’s interim final regulations on April 3, 2020.

Download our full Advisor to learn more about the issues discussed in the FAQs, including:

  • Smal Business Eligibility
  • SBA Affiliation Rules
  • Payroll Substantiation Requirements
  • Payroll Calculation Period
  • Seasonal Employer Eligibility
  • Leased Employee Payroll
  • Accounting for Federal Taxes
  • Loan Forgiveness Period

Please note that due to the daily issuance of guidance from regulatory agencies, information is subject to change.

Recent Insights

January 4, 2021
News

New York Life’s Acquisition of CIGNA Group Insurance is Complete

The New York Life acquisition of Cigna Group Insurance (CGI) is complete and Cigna Group Insurance is now New York Life Group Benefit Solutions. The full transition to New York Life will take several months. Your CIGNA service team is not changing and at this time there are no changes to your service sites, customer […]
Read more
December 30, 2020
News

Happy Holidays from Bim Group!

Thank you for the confidence and trust your company has placed in Bim Group to manage your employee benefit plan throughout this challenging and at times uncertain year. As we reflect on the privilege to serve our clients, we are honored to contribute to the following organizations that make a meaningful difference in the lives […]
Read more
December 28, 2020
Compliance Alert, COVID 19, Webinar

Webinar: COVID-19 Compliance Considerations for Group Health Plans in 2021

Tuesday, January 12, 2021 2:00 p.m. ET / 11:00 a.m. PT Register Now Due to the COVID-19 pandemic, Congress has issued legislation affecting group health plan requirements and the Department of Labor (DOL), Department of Health and Human Services (HHS), and Internal Revenue Service (IRS) have issued guidance on requirements for group health plans as […]
Read more
December 16, 2020
Affordable Care Act (PPACA), CMS, Compliance Alert

Proposed 2022 Benefit Payment and Parameters Rule

( 3 MINUTE READ ) The Centers for Medicare & Medicaid Services (CMS) has released a proposed rule and fact sheet for benefit payment and parameters for 2022. CMS has also released its draft 2022 actuarial value calculator and draft 2022 actuarial value calculator methodology. According to CMS, the proposed rule is intended to reduce […]
Read more