Going for a new PPP loan? SBA revises rules on employee and owner salaries, bonuses
The Small Business Administration’s Paycheck Protection Program is now up and running — at least for some lenders — and it comes with new rules on how much small businesses can pay their employees and still get full forgiveness. Small businesses are still limited to $100,000 salary caps, annualized over the period during which the business spends the PPP loan proceeds. But the covered period, which used to be a choice between either eight weeks or 24 weeks, is now any number of weeks between eight and 24, which means every small business will have to carefully watch its spending.
