Care Act reading

The CARES Act provides fast and direct economic assistance for American workers and families, small businesses, and preserves jobs for American industries.

The Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed by Congress with overwhelming, bipartisan support and signed into law by President Trump on March 27th, 2020.  This over $2 trillion economic relief package delivers on the Trump Administration’s commitment to protecting the American people from the public health and economic impacts of COVID-19.

The CARES Act provides fast and direct economic assistance for American workers, families, and small businesses, and preserve jobs for our American industries.


Small Business PPP and PPP Loan Forgiveness Application Form 3508S

You (the Borrower) can apply for forgiveness of your Paycheck Protection Program (PPP) loan using this SBA Form 3508S only if the total PPP loan amount you received from your Lender was $50,000 or less. However, a borrower that, together with its affiliates (see 85 FR 20817 (April 15, 2020) regarding application of SBA’s affiliation rules and the exemption of otherwise qualified faith-based organizations from SBA’s affiliation rules), received PPP loans totaling $2 million or more cannot use this form. If you are not eligible to use this form, you must apply for forgiveness of your PPP loan using SBA Form 3508 or 3508EZ
(or lender’s equivalent form).
SBA Form 3508S requires fewer calculations and less documentation for eligible borrowers. Borrowers that use SBA Form 3508S are exempt from reductions in loan forgiveness amounts based on reductions in full-time equivalent (FTE) employees or in salaries or wages. SBA Form 3508S also does not require borrowers to show the calculations used to determine their loan forgiveness amount. However, SBA may request information and documents to review those calculations as part of its loan review process.
Complete this SBA Form 3508S in accordance with the instructions below, and submit it to your Lender (or the Lender that is servicing your loan). Borrowers may also complete this application electronically through their Lender.


CARES (Signed into law March 27)

HEROES 2.0 (Passed House Oct. 1)

Heroes (Passed House May 15)

HEALS (Introduced by Senate July 27)
Total cost of stimulus package$2.2 trillion$2.2 trillion$3 trillion$1 trillion
Stimulus check maximum payment amount$1,200 to single filers earning under $75k per year, $2,400 for joint filers under $125k. Reduced $5 per $100 of income above limits.Same as CARES.Same as CARES.Same as CARES.
How much stimulus money you get for dependents$500 for all dependents 16 and under. College students 24 and under are not eligible.$500 for all dependents, no age limit.$1,200 for dependents, maximum of three.$500 for all dependents, no age limit.
Enhanced unemployment benefit$600 per week in addition to state benefits.Same as CARES.Same as CARES.Initially $200 per week. Then up to $500 per week to match 70% of lost wages when added to state benefits.
How long enhanced unemployment lastsExpires July 31.Until Jan. 31, 2021, with a transition period extending until March 31, 2020. Allocates $925 million to help states process claims.January 2021 for most workers, through March 2021 for gig workers, independent contractors, part-time workers and self-employed.$200 per week bonus through September. Then 70% matching of lost wages. Extends expiration of federal benefits until Dec. 31.
Paycheck Protection ProgramAllocated $659 billion total in forgivable loans for small businesses, who must use 75% on payroll to be eligible for forgiveness. $130 billion remains, but expires Aug. 8.Allocates over $30 billion, additional. Allows second loans to small businesses with fewer than 200 employees that have experienced a 25% reduction in quarterly revenue. Excludes publicly traded firms from eligibility for second loans. Puts limits on businesses with more than one physical location. Streamlines forgiveness process.Expands eligibility, eliminates 75% payroll requirement and extends application period to Dec. 31.Injects another $190 billion into the PPP fund, expands eligibility and allows businesses to request a second loan. Eliminates 75% payroll requirement and expands approved uses of funds for loan forgiveness.
Employee tax creditTax credit on 50% of up to $10,000 in wages.Enhances tax credit established in CARES Act.Increases tax credit to 80% of up to $15,000 in wages.Increases tax credit to 65% of up to $30,000.
Bonus for employees who start new jobs or are rehiredDoes not address.Does not address.Does not address.There could be a return-to-work bonus of up to $450 per week for unemployed workers who secure a new job or are rehired.
Eviction protections and moratoriumBans late fees until July 25 and evictions until Aug. 24 on properties backed by federal mortgage programs (Fannie Mae, etc.) or that receive federal funds (HUD, etc.)$59.1 billion allocated for rent relief and other housing services. (Eviction moratorium already established by CDC order.)Expands to cover nearly all rental properties in the US, extends eviction moratorium an additional 12 months, allocates $200 billion for housing programs and another $100 billion for rental assistance.Does not address.
School reopeningsDoes not address.$182 billion for K-12, $39 billion for higher education, $57 billion for childcare.$58 billion for grades K-12, $42 billion for higher education.$70 billion to K-12 that open for in-person classes, $29 billion for higher education, $1 billion to Bureau of Indian Education, $5 billion state discretion.
Liability protection from coronavirus illnessDoes not address.Does not address.Does not address.5 year liability shield to prevent schools, businesses, hospitals, from being sued over coronavirus related issues.
Coronavirus testing, tracing and treatmentDoes not address.$75 billion.Does not address.$16 billion.

The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.  Information on this website may not constitute the most up-to-date legal or other information.  This website contains links to other third-party websites.  Such links are only for the convenience of the reader, user or browser; We do not recommend or endorse the contents of the third-party sites.

Readers of this website should contact their attorney/accountant to obtain advice with respect to any particular matter.  No reader, user, or browser of this site should act or refrain from acting on the basis of information on this site without first seeking legal/accounting advice in the relevant jurisdiction.

The content on this posting is provided “as is;” no representations are made that the content is error-free.


Do you run out of money before you run out of month? Many do, but it doesn’t have to be that way! Wealth is the result of widening the gap between what you earn and what you spend. Most of us make the mistake of ramping up our spending as our disposable incomes rise. This is self-defeating. If you do not develop a respect for money, it will always elude you.

Continue reading “Budgeting”