![What the Coronavirus Relief Package Means to SMBs [Infographic]](https://paycor.imgix.net/ample_admin/attachments/files/000/031/201/screen_sm/coronavirus-relief-package.jpg?ixlib=rails-2.1.4&auto=format%2Ccompress)
What the Coronavirus Relief Package Means to SMBs [Infographic]
The Senate approved a relief package of paid sick leave, unemployment benefits, free coronavirus testing and food and medical aid.
What’s in the Families First Coronavirus Response Act?
- Loans to Keep Small Business Afloat:
- Emergency Paid Sick Leave to Cover COVID-19
- Aid for Employees Who Need to Stay Home With Sick Family Members
- Payroll Credit for Employers Covers Costs of Emergency Paid Sick Leave
- Free COVID-19 Testing
Most employers with 500 employees or less can apply for loans equal to six weeks of payroll up to $1,540 per employee. Fine print: employers who accept the assistance must continue to pay employees for 8 weeks after receiving the loan.
Employers must provide two weeks of emergency paid sick leave at regular pay rate. Furthermore, employees employed for at least 30 days can qualify for pay continuance of at least 2/3 of “regular pay” under FMLA rules for an additional ten weeks. Note employers with 500 employees or more are exempt.
Amendments to the Family Medical Leave Act (FMLA) provide 12 weeks of job-protected leave related to coronavirus. This applies to companies with fewer than 500 employees and requires that the employee has worked for the organization for at least 30 days.
The bill provides for a refundable tax credit equal to 100% of qualified paid sick leave against employer Social Security taxes. For sick leave paid for an employee with respect to coronavirus, the credit is capped at $511 per day. For amounts paid to employees caring for a family member, the credit is capped at $200 per day. Agency guidance regarding how and when the credit will be applied have not been released by the Internal Revenue Service.
The goal is to provide free testing to anyone and everyone who may have been exposed to coronavirus. Note that as of this writing tests are not yet widely available. (Here’s a report on nationwide testing efforts.)
Paycor is Here for You
For expert advice and support during this public health emergency, visit Paycor’s Coronavirus Support Center.
Paycor builds HR software for leaders of medium & small business. For 30 years, we’ve been listening to and partnering with leaders, so we know what they need: HCM technology that saves time, powerful analytics and expert HR advice to help them solve problems and achieve their goals.
Share This Infographic On Your Site
More to Discover
Paycor's COVID-19 Command Center
We're excited to announce the release of Paycor's COVID-19 Command Center, a new analytics solution that delivers instant insights for crisis management. With the COVID-19 Command Center, you'll be able to: Prepare with real time insights Plan with actionable data Respond with the help of HR experts Recover quickly by playing the long game now Discover how your organization can make the best possible decisions with real time data, actionable insights and expert HR counsel.
Webinar: COVID-19 Summit - Why Leaders Need Technology More than Ever - 4/23/20 @12pm ET
The HCM industry has reached a fundamental crossroads. Now more than ever, leaders need HCM technology to help them see around corners. They also need to harness the power of their people for growth, but they lack the right tools. Join Paycor’s Chief Product Officer, Ryan Bergstrom, to get an insightful deep dive into the evolution of HCM technology and why the moment where in right now is such a critical time for SMB leaders. Speaker: Ryan Bergstrom Ryan is the Chief Product Officer for Payor and is responsible for setting the strategy for Paycor’s HCM suite to meet SMB market needs. Ryan spent 7 years at Ultimate Software, where he served as VP of Product Management. Prior to Ultimate Software, Bergstrom held manager and director...
Webinar: COVID-19 Summit: (KEYNOTE) How HR & Finance Can Reduce Costs - 4/23/20 @11am ET
Businesses are facing the difficult task of sustaining operations and serving customers while also limiting expenses during this crisis. Join Paycor’s Chief Human Resources Officer, Karen Crone and Chief Financial Officer, Adam Ante, to discover the top ways SMBs can reduce short-term costs and prepare to return to future growth. Speakers: Karen Crone and Adam Ante For today’s speaker, we have Karen Crone, Chief Human Resources Officer at Paycor. Karen is responsible for scaling Paycor’s people practices in support of its rapid growth and for reinforcing its strong culture across an evolving geographic footprint. Over the last nine years, Karen has helped Paycor grow from 400 to over 1,800 associates. Her current focus is on enhancing...