The Small Business Administration (SBA), in consultation with the Department of the Treasury, has provided guidance to assist businesses in calculating their payroll costs for purposes of determining the amount of a Paycheck Protection Program (PPP) loan businesses can apply for. The following questions are answered in the document linked below.

  1. I am self-employed and have no employees, how do I calculate my maximum PPP loan amount?
  2. I am self-employed and have employees, how do I calculate my maximum PPP loan amount (up to $10 million)?
  3. I am a self-employed individual who reports my income on IRS Form 1040 Schedule F. What documentation must I provide in place of Schedule C and how should my maximum loan amount be determined (up to $10 million)?
  4. How do partnerships apply for PPP loans and how is the maximum PPP loan amount calculated for partnerships (up to $10 million)? Should partners’ self-employment income be included on the business entity level PPP loan application or on separate PPP loan applications for each partner?
  5. How is the maximum PPP loan amount calculated for S corporations and C corporations (up to $10 million)?
  6. How is the maximum PPP loan amount calculated for eligible nonprofit organizations (up to $10 million)?
  7. How is the maximum PPP loan amount calculated for eligible nonprofit religious institutions, veterans organizations, and tribal businesses (up to $10 million)?
  8. I am an LLC owner. Which set of instructions apply to me?
  9. What other documentation can be provided for the purpose of substantiating the applied-for PPP loan amount?

Click here to view the SBA’s guidance document for answers and formulas.

If you have any questions, please reach out to your personal Sciarabba Walker contact or email us at info@swcllp.com.