We are no longer accepting PPP Loan Applications.
PPP Loan Forgiveness
What are the requirements for potential Forgiveness of this next round of PPP funds?
To be eligible for full loan Forgiveness, PPP Borrowers will have to spend no less than 60% of the funds on payroll over a covered period of either 8 or 24 weeks. Other uses of the funds that will be potentially forgivable include:
How do I calculate my requested loan amount?
You can receive a loan amount of up to 2.5 times your average monthly payroll costs in the year prior to the loan or the calendar year, the same as the previous PPP round, but the maximum loan amount allowed for this round is now $2 million. PPP Borrowers with NAICS codes starting with 72 (accommodation and food service) can receive up to 3.5 times their average monthly payroll costs up to $2 million. Seasonal employers may calculate their maximum loan amount based on a 12-week period beginning February 15, 2019 through February 15, 2020.
Has PPP Forgiveness been impacted?
The new law creates a simplified Forgiveness application process for both existing PPP loans as well as Second Draw loans of $150,000 or less. This means a borrower will receive Forgiveness if they sign and submit a one-page certification, and no other documentation is required. However, please note that this new simplified Forgiveness application must be developed by the SBA and may not be available until February 2021. Borrowers are required to retain relevant records related to employment for four years and other records for three years, as the SBA may review and audit these loans.
Newtown Savings Bank customers with questions about their PPP loan forgiveness application may contact us at PPPQuestions@nsbonline.com