These are the Dental Practice Covid Stimulus Options You Need to Know
It goes without saying that we live in unprecedented times and it makes sense to look into what your dental practice covid stimulus options are. If your dental practice has recently suffered a mild or complete loss in patients then an extra $10,000 in your bank account over the next 3-days could make a difference in your personal life and perhaps your teams. In today’s article we’re going to go over parts of the new $2.2 Trillion Federal Stimulus Bill (aka the “Coronavirus Aid, Relief, and Economic Security Act” or the “CARES Act”)that aims to encourage growth throughout the economy.
After some initial reading I’m excited to say that: I don’t think there will ever be a better time to be alive as an entrepreneur or business owner who understands how to use these funds in this bill to stimulate growth in their dental practice or business.
Of the $2.2 trillion signed-off as the S. 3548 / HR.748 bill – $350-billion will be granted as ‘forgivable loans‘ to small businesses that can use the funds in the first 8-weeks of issuance. If they are not used then they will not be entirely forgiven, basically the more you can use in the next 8-weeks the better.
How the Economic Injury Disaster Loans and Loan Advance’s Work
To apply for a COVID-19 Economic Injury Disaster Loan, click here.
Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid.
In response to the Coronavirus (COVID-19) pandemic, small business owners in all U.S. states, Washington D.C., and territories are eligible to apply for an Economic Injury Disaster Loan advance of up to $10,000.
The SBA’s Economic Injury Disaster Loan program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing. The loan advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid.
Below are the Top 3 Sections in the “CARES Act” that You Need to Know
SEC. 1102. 7(a) LOAN PROGRAM.
This section and others which are mentioned on this site here are where some of the biggest benefits to this bill can be found. The Senate’s plan currently supports American small businesses in the following ways, according to policy experts:
• A $350 billion forgivable loan program designed to ensure that small businesses do not lay off employees
• A 50% refundable payroll tax credit on worker wages will further incentivize businesses, including ones with fewer than 500 employees, to retain workers
• Looser net operating loss-reduction rules that will allow businesses to offset more
• A delay in employer-side payroll taxes for Social Security until 2021 and 2022
• Sole proprietors and other self-employed workers could be eligible for the expanded unemployment-insurance benefits the bill provides
• A portion of the $425 billion in funds appropriated for the Federal Reserve’s credit facilities will target small businesses
“SEC. 6428. 2020 RECOVERY REBATES FOR INDIVIDUALS.
These rebates are for individual adults and couples who file a joint return. The amount for individuals is $1,200 or $2,400 jointly; less $5 for every $100 over $75,000 you make as your gross income. So, if your employees currently gross under this amount then it may be worth telling them to look into this as an option to get the piece of this bill that they’re entitled to. An additional $500 per-child will also be given for parents.
The amount of the credit allowed by subsection shall be reduced (but not below zero) by 5 percent of so much of the taxpayer’s adjusted gross income as exceeds $75,000 ($150,000 in the case of a joint return).
SEC. 4513. TEMPORARY RELIEF FOR FEDERAL STUDENT LOAN BORROWERS.
(a) In General.—The Secretary shall suspend all payments due for loans made under part D of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et seq.) for 3 months.
(b) No Accrual Of Interest.—Notwithstanding any other provision of the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.), interest shall not accrue on a loan described under subsection (a) for which payment was suspended for the period of the suspension.
(c) Consideration Of Payments.—The Secretary shall deem each month for which a loan payment was suspended under this section as if the borrower of the loan had made a payment for the purpose of any loan forgiveness program authorized under part D of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et seq.) for which the borrower would have otherwise qualified.
(d) Extension.—The Secretary may extend the period of suspension described under subsection (a) for an additional 3 months.
Paycheck Protection Program
More on this program can be found here, but for a summary here’s what you need to know:
The Paycheck Protection Program is designed to provide a direct incentive for small businesses to keep their workers on payroll by providing each small business a loan up to $10 million for payroll and certain other expenses.
If all employees are kept on payroll for eight weeks, SBA will forgive the portion of the loans used for payroll, rent, mortgage interest, or utilities. Up to 100 percent of the loan is forgivable. Businesses – including eligible non-profits, Veterans organizations, Tribal concerns, sole proprietorship’s, self-employed individuals, and independent contractors described in the Small Business Act – with 500 or fewer employees may apply.
If you’re interested in learning more about how OneMedAll is working to help dental practices during this unique time in the history of the nation, be sure and check out our Dental Practice Covid Stimulus Course, which includes 60-day FREE trial access to the OneMedAll Portal to help you: Submit claims more easily, check patient eligibility on the fly, and so much more.