Can you use the PPP money for hazard pay or bonus pay to your employees?
The technical answer is “Yes”…I am waiting on guidance from my accountant to post here before EOD Tuesday…more to come
I’m following this as well - trying to figure out if we can increase staffs hours as well (to above where they were before covid).
Here’s what my accountant said:
Question: Is it permitted to pay hourly employees a “stipend” or “retention bonus” to ensure we exceed the 75% threshold referenced in #3 above as long as we do not go over the individual pro-rated $100k limit? If so, could we run an off-cycle payroll run of $500 per hourly employee and expect that to be forgiven?
Accountant’s Response: This is another question that we also believe will be addressed. There does not seem to be any language prohibiting the payment of bonus (if they stay below the $100k prorated amount for the 8 weeks) but there is also some question of whether those bonuses would meet the definition of ‘incurred’ during the 8 week period so we again have to wait for the final rules.