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amother

Ginger

Tue, May 12 2020, 5:40 pm

amother [ Natural ] wrote:

Do you want to tell me what is so difficult. Did you actually apply for it and receive it or are you Actually talking about it through hearsay? Which accountant said that it’s so difficult I’m hearing school
Owners saying how lucky they are they can get it.

The business I work for got the loan and we are very concerned about the forgiveness aspects because they arent as clear cut as you are making them sound. That's why I joined the webinar by Roth and Co and Agudas Yisroel yesterday, to make sure we follow the rules properly.

The people giving the webinar were very clear that the guidelines arent finalized yet and keep changing. They said the SBA themselves cant answer a lot of the questions, because the answers dont exist yet.

They were also very clear that the rules are different and more complicated for schools. Because schools are dealing with different issues than for profit businesses.

I really recommend that you do more research to make sure you comply with all the rules and have your loan forgiven. Otherwise you may end up with more debt instead of the windfall you are hoping for.

cnc

Tue, May 12 2020, 5:43 pm

To clarify to my above post. Let’s say I apply and get 2 million dollars. I need to prove that 1.5 million dollars was spent on payroll and .5 million on rent .

I spend it and then for whatever reason , my loan is not forgivable. I now have a debt of 2 million dollars plus interest.

Another scenario: I get 2 million dollars and leave it in my bank account . In 2-3 months I apply for forgiveness. I need to now prove that the money was spent on XYZ.
So either I will need to falsify documents OR actually have 2 million dollars of my own money that I spent ....
I can’t just let it sit in the bank and not spend it . In order to apply for forgiveness I need to prove that it was spent!

amother

Ginger

Tue, May 12 2020, 6:00 pm

amother [ Natural ] wrote:

So let me ask you this why wouldn’t you apply and then don’t use the money until you are sure it’s forgivable? What’s so complicated about that many people are doing that? Just leave it in your account but why would you give up on so much money?

This proves that you dont know what you're talking about. They said on the webinar to carefully document EVERYTHING. There are even businesses opening separate bank accounts for their PPP loans to leave less room for mistakes and misunderstandings.

amother

Natural

Tue, May 12 2020, 9:15 pm

cnc wrote:

How are you supposed to know if it’s forgivable until you try applying and get rejected ?!

And if I leave it in my account, how can I prove that it was spent on payroll?? By falsifying pay stubs?!

That might work for people that already have the amount of money they received to use at their disposal, but not for the businesses that don’t have that money to spend !

Honestly you are making something so simple complicated. I filled out ppp it took me fifteen minutes I did it online. It’s very simple. Fill out your payroll and no I was honest the amount given in based on your payroll. Maybe because my business is all legal I got it and yours isn’t but if you are running a legal business and you pay your employees taxes yearly and everything is legally recorded it’s not hard. If you pay under the table and do other stichk then yes it’s complicated. But when you get the money don’t use it if you are scared and continue paying your payroll however you were paying it until now. I don’t get your question. Your payroll is coming out of the same account and the proof you have to show is that you paid your employees which is what I’m doing and have been doing consecutively so what’s so complicated. I am not doing any fake payroll I’m very honest please don’t accuse me. It’s simple if you find it complicated then you shouldn’t be running a business. I know so many people who got ppp Jewish people and it wasn’t so difficult or hard to get.

amother

Natural

Tue, May 12 2020, 9:17 pm

amother [ Ginger ] wrote:

I always have everything documented. Every check I pay to an employee is documented. That’s what I don’t get my business is completely honest and on the books I can prove everything. Maybe businesses that pay cash now have to document payroll but I always have records of everything this is nothing new to me. Is everyone really so dishonest in business that their payroll isn’t documented.

amother

Natural

Tue, May 12 2020, 9:20 pm

cnc wrote:

I don’t understand if you pay payroll weekly or biweekly then the money was spent. But if you have one million in your business account and now you got another million dollars still keep the million dollars in but at the same time continue paying your employees. That’s the point of ppp it’s helping you pay your regular bills I didn’t lie on application the amount is according to your payroll so yes I have proof that I spent that money. Why is this so difficult to understand?

cnc

Tue, May 12 2020, 9:53 pm

amother [ Natural ] wrote:

The point is that many businesses (including schools ) don’t have their regular income coming in now which is why this program was created. Therefore your suggestion to keep the money in a bank account and use other money to pay the bills is worthless. There is no available money, that’s the problem .
As to how these businesses will cover payroll, .... that’s a very good question.

I find it entertaining how you’re the only one that keeps saying it’s so simple while others have tried explaining to you it’s not as simple as you make it sound. If you won’t take the word of accounting firms, the Agudah and others that have tried their luck then I can’t really help you .

amother

Natural

Tue, May 12 2020, 10:02 pm

cnc wrote:

You told me that it’s so complicated to get it and no one got it and I’m telling you I did and so did many others do I’m just thinking maybe you make things complicated.

Schools are getting their regular tuition. And ppp is supposed to be used to pay your payroll so if you use it for that there is nothing wrong. What is so complicated? Explain it?

And are you now saying you got it because you siad it’s too hard to apply.

amother

Navy

Tue, May 12 2020, 10:09 pm

amother [ Natural ] wrote:

I’m impressed that your payroll reports and tax information and retirement account paperwork and the other 15 documents they wanted are all organized neatly that you could upload them so fast. It took me far longer than that to organize the paperwork I needed to submit in the way the bank wanted.

amother

Ginger

Tue, May 12 2020, 10:38 pm

amother [ Natural ] wrote:

We also have everything fully documented, nobody gets paid cash, employees punch in and out, we have a payroll company that processes our payroll, theres no funny business going on.

But, what they were saying in the webinar is that there are a lot of complicated situations. For instance your business might not even qualify for the loan if business is running as usual. The loan is only for businesses undergoing hardship due to covid19.

For my business its complicated because a lot of our employees are home with their children and cant come back to work right now. So we got the loan, need to maintain payroll for the next 8 weeks, but we dont have enough employees working that it even makes sense.

Every business has it's own complicated circumstances.

For schools it can be complicated if they cant prove hardship because parents are still paying tuition.

Also schools have parsonage and some other way of paying staff that I didnt understand. The rules about those two types of salary payments aren't clear yet according to the SBA guidelines. So although they got their money, they dont know yet how much if any will be forgiven.

amother

Ginger

Tue, May 12 2020, 10:42 pm

amother [ Navy ] wrote:

That's the one place I have to agree with natural. It only took me about a half hour to apply. Because we use a payroll processing company everything is totally clear and I had all paperwork available. It probably also helps that we're a small company with only 25 employees.
A bigger company will have more complicated scenarios.

For instance we dont have any retirement account, paid healthcare or employees making over $100,000 a year.

cnc

Wed, May 13 2020, 2:49 pm

If anyone wants to register for the webinar to get up to date info , here’s the information:

Dear New York State Princinpal/Administrator,

The Jewish Federations of North America (JFNA) will be hosting a webinar tomorrow Thursday, May 14 with updated information on how forgiveness works and how new SBA language on liquidity requirements affect your organizations' ability to benefit from these PPP loans.

You can register for the webinar by clicking here. (SEE BELOW)

Further clarification:

Additional guidance has just been issued by the SBA regarding liqiudity requirements and which loans are subject for review. It includes the following key points:

1. A new, permanent "safe harbor" has been created for all PPP loans less than $2 million. These loans will not be subject to review based on question 31 of the FAQ guidelines.

2. PPP loans above $2 million will be subject to review. At that time, the borrower will have an opportunity to demonstrate that the criterion for receiving the loan was met. If the SBA determines that the standard was not met, the consequence is that the loan would not be forgiven, and the borrower would be required to repay the loan. If repayment is made, there would be no further enforcement action taken.

This means that borrowers with loans under $2 million can rely entirely on their original certification of need. Borrowers with loans over $2 million do not need to take any action unless their loan comes up for review.

This will be further discussed at the memo JNFA will be hosting tomorrow. (see above)

As always, please feel free to reach out to us at yeshivaservices@agudah.org.

Mrs. Deborah Zachai
Director of Education Affairs
Ami Bazov, Esq.
Coordinator of Education Affairs

https://zoom.us/webinar/regist.....Zjkbg