PPP updates
- Yechiel Roth CPA, CFP, PFS
- Jun 5, 2020
- 1 min read
Today the president signed the "Paycheck Protection Program Flexibility Act (PPPFA)”.
This new law adds flexibility to the PPP program.
Some of the major changes are:
· Forgivable non payroll expenses increased from 25% to 40%.
· The timeline to use and get forgiveness has been increased from 8 to 24 weeks, however salaries are still capped at 15,385 per employee.
· The deadline to rehire is extended to December 31, 2020 from June 30, 2020, also more leeway is being given to business that are not able to rehire.
· The non-forgiven portion repayment is extended from 2 years to 5 years.
Companies that have not yet taken the PPP may want to reconsider based on the new terms.
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