PPP updates

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.