Ten days ago, MUAC began reading and interpreting the Cares Act that was signed into law on Friday. Over the past seven days, we developed a task force to assist clients with each section of the Act and have been daily in contact with banks in our community to ensure the process can be as efficient as possible.
While we are currently awaiting further clarification from the SBA regarding the Payroll Protection Program, we are recommending that our clients gather the following documents which will likely be needed in the calculation of the loan value.
- 2019 IRS Quarterly 940, 941 or 944 payroll tax reports.
- Last 12 months of Payroll Reports beginning with your last payroll date and going backwards 12 months.
- Payroll report must show the following for the time period above:
- Gross wages for each employee, including the officer(s) if paid W-2 wages.
- Paid time off for each employee.
- Vacation pay for each employee.
- Family medical leave pay for each employee.
- State and Local taxes assessed on the employee’s compensation for each employee.
- 1099s for 2019 for independent contractors that would otherwise be an employee of your business.
- Do NOT include 1099s for services.
- Documentation showing total of all health insurance premiums paid by the Company Owner under a group health plan.
- Include all employees and the company owners.
- Document the sum of all retirement plan funding that was paid by the Company Owner (do not include funding that came from the employee’s out of their paycheck deferrals).
- Include all employees, including company owners.
- 401K plans, Simple IRA, SEP IRAs.
Our taskforce is ready to assist in preparing this calculation and with the application process. If you would like to utilize our services, please contact Mike Edwards.