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I've been seeing a lot of questions going around about government assistance, and as someone who has applied for most available programs and spoken to my accountant, I wanted to share some information. In this thread, I'll cover unemployment and resources for small businesses!
2/12 UNEMPLOYMENT:
You may have heard some people are getting around $1100/wk from unemployment. I'm going to explain how to try to do that. Basically, the 1100 = 504 (state max unemployment insurance or UI) + 600 (pandemic unemployment insurance or PUI).
You may have heard some people are getting around $1100/wk from unemployment. I'm going to explain how to try to do that. Basically, the 1100 = 504 (state max unemployment insurance or UI) + 600 (pandemic unemployment insurance or PUI).
3/12 At least in NY, it takes forever to file, but the website has been relaunched and improved to streamline the process so don't get scared away by the process. Under the CARES act, *self-employed individuals now qualify for unemployment insurance* (up to $504/wk).
4/12 The amount of standard unemployment insurance for self-employed individuals is based on your highest earning quarter on your 2019 tax returns (e.g., this is why it is *up to* 504 per week). The more you reported in 2019, the more UI you get.
5/12 IF YOU HAVEN'T FILED TAXES, you may think it's a waste of time to file for standard UI. However, and this is important:
!!! You will not receive that extra $600 (PUI) per week unless you file for the standard UI and are rejected !!! You can still get this without taxes !!!
!!! You will not receive that extra $600 (PUI) per week unless you file for the standard UI and are rejected !!! You can still get this without taxes !!!
6/12 Once you get approved for PUI, you will receive 600/wk backdated to 4/1 through 7/31 (18 wks total). That's $10,800. If you're in NY, you can file online here: https://labor.ny.gov/unemploymentassistance.shtm
7/12 SOLE PROPS, CORPS & LLCs: Economic Injury Disaster Loan (EIDL)
This is a $10k grant for small businesses, including sole props & self employed. The EIDL is a $10k loan that will not have to be repaid. The application is fairly simple & fast. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/economic-injury-disaster-loan-emergency-advance
This is a $10k grant for small businesses, including sole props & self employed. The EIDL is a $10k loan that will not have to be repaid. The application is fairly simple & fast. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/economic-injury-disaster-loan-emergency-advance
8/12 It's confusing because it's free money but it's framed as a loan, so you have to make sure you check the box at the end that says you want to be considered for a $10k advance. In theory, this "loan" is supposed to be dispersed within 3 days of an app being approved.
9/12 However, no one has received their advance yet and bc the trump admin is deeply inefficient, it is unclear whether everyone who applies will actually be eligible for the full 10k. That said, it's still worth applying since the application is short. https://www.nytimes.com/2020/04/09/business/smallbusiness/small-business-disaster-loans-coronavirus.html
10/12 SOLE PROPS, CORPS & LLCs: Paycheck Protection Program
This is a zero fee, 1% interest loan that CAN BE FORGIVEN if you use 75% of it for payroll costs and the rest for rent and utilities. This can be used to cover three months of payroll. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program-ppp#section-header-5
This is a zero fee, 1% interest loan that CAN BE FORGIVEN if you use 75% of it for payroll costs and the rest for rent and utilities. This can be used to cover three months of payroll. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program-ppp#section-header-5
11/12 SOLE PROPS, CORPS & LLCs: State Level Assistance
Do not forget to look into additional assistance being offered at the local level, many states and cities are providing grants and low interest forgivable loans to small businesses as well. https://www.forbes.com/sites/advisor/2020/04/10/list-of-coronavirus-covid-19-small-business-loan-and-grant-programs/#5a4e63a8cc4b
Do not forget to look into additional assistance being offered at the local level, many states and cities are providing grants and low interest forgivable loans to small businesses as well. https://www.forbes.com/sites/advisor/2020/04/10/list-of-coronavirus-covid-19-small-business-loan-and-grant-programs/#5a4e63a8cc4b
12/12 I hope this thread was helpful. I'll continue to update it as new resources become available. Feel free to DM me if you have any questions about anything above and I'll try my best to answer!
