PPP loan question

We have a FTE Nurse who has requested not to work in the office (or from home) during this time due to her age (67) and health concerns. We have not officially furloughed her but have been paying her small amounts from her earned PTO & sick leave as requested by her throughout this time and have continued her benefits. Will this affect our PPP forgiveness since she isn’t receiving pay for at least 30 hrs per week? She is also considering retirement, and the group wanted to know if it would be in our best interest to have her continue with us through June 17th which is the end of our 8 week period.

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You will need to run some testing to see if you will still have at least 75% of your FTE’s without her. It’s probably best to get with your accountant to run the numbers and see how things shake out…if you had 50 employees and one leaves, it shouldn’t make a difference as you would still be above the 75%…it comes down to some nitty gritty math calculating the FTE’s

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I thought the total number of FTEs had to be the same, and they each had to receive at least 75% of their regular pay–is this incorrect?

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This is where the confusion is…my understanding is that it is based on total numbers across all employees…as such, the numbers used will be for all employees with a max of pro-rated $100k. The flexibility comes from the fact that the PPP does not require the exact employees are retained as the gov’t realized some people may move on to other jobs. The tests I’ve seen are simply counts and ratios across all employees.

We just got our PPP approved and are awaiting funding. I was thinking of readjusting our staffing-- instead of re-hiring the NP and a MA (the latter who I think is still afraid to come back), I would hire a marketing person and an IT person to re-build up the practice before I really need to get a NP and another MA onboard. I doubt that we will be up to capacity in order for the clinical positions to be useful, while these other, perhaps temporary, positions are more valuable now I was also thinking of giving a raise to the staff who stayed on at work during these times.

I do not know if this has been discussed in previous webinars but as I am figuring out payroll this week, I have come across a questions for which I do not see a clear answer to. Maybe someone could clarify this for me.

I have a doctor for whom we capped at 100,000 annually per PPP requirements, when applying for the loan. The capitation occurred when submitting calculator for the loan amount. If we pay the provider over that capitation amount, will that impact forgiveness on loan?

We figured that since we already justified the capitation for that employee on the original loan application and was included in loan amount provided, what we pay above that loan amount should not impact forgiveness on entire loan, or am I wrong?

Only up to $8333 per month is forgiveable…you could pay the physician $12k for the month but when you apply for the forgiveness, you will set aside the amount over $8,333

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