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“’Genuine Expert’ is the phrase that pops into my mind when I think about John.”

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“’Genuine Expert’ is the phrase that pops into my mind when I think about John. I have known John for many years both personally and professionally and consider him one the best partners that I’ve had the pleasure of working with. During my career I’ve rarely came across a real professional with his integrity and principles. John has earned my highest recommendation!”

–Rob Kemmerer, Sales Manager @ Smart Payroll Solutions

In 2021 We Helped Our Clients Manage Over 135 Million in Cash Flow.

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In 2021 We Helped Our Clients Manage Over 135 Million in Cash Flow.

www.HisCPA.com A Christian CPA Firm and Virtual CFO

Be Sure You CPA Works as Hard as You Do Towards Your Business Success

PPP Reporting & Forgiveness Applications

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Hopefully you are having a good year in spite of the Pandemic!!!!!!!!

Please be reminded to obtain Forgiveness for a PPP loan you have to request it from the bank where you received the loan from. I understand SBA is still working on some of the Forgiveness criteria and I have not heard of but one bank (a smaller regional) that has actually opened the forgiveness application process.

I bank with Wells Fargo and from last I heard they have not yet begun application process. It is my understanding that until you get a letter confirming monies are forgiven they are still owed.

If you want help with the application just let me know and send me a copy of the initial PPP loan agreement from the bank and a draft of your application and before its submission to the bank. 

It remains my understanding many/most banks will require you to submit your application using their form and they will send you a link to on their web site. Be sure to stay posted with your bank/me/the news on the process.

At present it is my understanding present law will require once any PPP monies are forgiven business owners are not going to be allowed a tax deduction for the PPP monies used for covered expenses when/if they are forgiven. There has been talk in Congress on changing this but at this time best to do your 2020 tax planning on the basis of present tax law.

Thanks and be safe.

Tracking Loan Proceeds to Your Business for the Payroll Protection Program/Stimulus Monies

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Tracking Loan Proceeds to Your Business for the Payroll Protection Program/Stimulus Monies

I am suggesting to all who received a loan for the Payroll Protection Program/Stimulus Monies that Congress approved for small business owners for covered payroll expenses, rent & utilities to:

Set up a separate bank account and deposit the full amount of the loan so that all of the loan proceeds are in one account.

Pay all/only covered expenses directly out of new established bank account so that there is a clear audit trail of what has been paid out of this account.

If for any reason it is not possible to pay all covered expenses out of the newly established loan account then as soon as monies are paid for covered expenses reimburse the account where monies were paid from.

Keep a file of all covered expenses, bank statements, canceled checks and supporting documentation in one place.

This will help ensure all of your covered expenses to be tracked are in one account and for all of the covered expense documentation to be readily available when/if requested at the end of the eight week reporting period.

Blessing and be safe.

www.HisCPA.com

Stimulus Monies for Small Business Owners

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Stimulus Monies for Small Business Owners

Have client with 75 employees set to fund today.

www.HisCPA.com

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act)

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The Coronavirus Aid, Relief, and Economic Security Act (CARES Act)

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act), enacted on March 27, 2020, is designed to encourage Eligible Employers to keep employees on their payroll, despite experiencing economic hardship related to COVID-19, with an employee retention tax credit (Employee Retention Credit).

The Families First Coronavirus Relief Act (FFCRA) requires certain employers to pay sick or family leave wages to employees who are unable to work or telework due to certain circumstances related to COVID-19. Employers are entitled to a refundable tax credit for the required leave paid, up to specified limits. [See FAQs]. The same wages cannot be counted for both credits.

Entities that take out loan under the Paycheck Protection Program are not eligible for this credit.

Calculation of the credit is 50% of qualified wages between 3-12-2020 through the end of 2020 with wages capped @10K per quarter/per employee creating a $5K per employee maximum credit. For more information and to see if your business might qualify see https://www.irs.gov/newsroom/faqs-employee-retention-credit-under-the-cares-act

Help for Mortgage Holders During Convid-19

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Help for Mortgage Holders During Convid-19

https://fortune.com/2020/03/23/mortgage-deferment-forbearance-modification-coronavirus/

www.HisCPA.com

Senate Unanimously Passes 2.2 Trillion Stimulus Bill: Surviving COVID – 19

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Senate Unanimously Passes 2.2 Trillion Stimulus Bill: Surviving COVID – 19

The Senate Just Unanimously Passes 2.2 Trillion Stimulus Bill. Most agree the House will follow suit with the President Signing as well. The bill includes:

$1,200 to every single adult earning $75K or less or for a couple filing jointly $150K or less. Also provided is a $500 credit for children who are 16 years old or less. Incomes will be based upon 2019 returns if filed and if not the 2018 return will be used.

Unemployment Insurance Benefits will increase by $600 extra per week for four months and coverage extended to 39 weeks.

Zero interest loans to companies who spend proceeds on payroll, rent & utilities which even might be forgiven if you keep your workforce intact.

It was announced taxpayers can defer their 2019 IRS income tax payments by up to 90 days.

These are just outlines of the proposed changes with more to come.

Economic Survival During Coronavirus

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Economic Survival During Coronavirus

Much of what one does during a down economic time will either positively or negatively impact much of what occurs during this time. 

Stay Alert. Plan. Plan & Plan Again. Life, as well as our financial security, is indeed a journey rather than a destination. Any missteps along the way will cause delays and undue roadblocks in achieving some semblance of financial security. 

Little Expenditures Will Hurt You/Monitor Small Outlays. Keeping tabs on the little things are what makes good companies great and what allows us to save little by little towards greater financial freedom. Just as an athlete rehearses all their mechanics over and over again, focusing on each individual step, so we should train ourselves to be wise stewards of our God given resources. Recurring monthly expenditures are a specific area in which we can easily see how quickly our spending can get out of hand.