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Economics for Yogis-002 Paycheck Protection Plan Extended to August 8, 2020

 

Federal Government Extends “The Paycheck Protection Program.” Here’s a link to an article: https://www.businessinsider.com/paycheck-protection-program-extended-what-owners-need-to-know-2020-7

If you haven’t already, I suggest you discuss with your financial advisor the benefits of this program. If you’re eligible, you can get a loan up to the equivalent 2.5 months of your 2019 income. One good thing about this loan is that up to 100% of it can be “forgiven.” That is, you won’t have to pay back the loan if you spend the funds according to the program’s guidelines. An example I used in a previous post assumes you reported $40,000 in income in 2019. You might receive a loan of $8,333, and if you spend the money consistent with the guidelines, you don’t won’t have to repay the $8,333.

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