Paycheck Protection Program Extended
On June 30, 2020, the U.S. Senate passed an extension for the Paycheck Protection Program (PPP) application process to Aug. 8, 2020. This extension will allow any local church that has not yet applied for a Paycheck Protection Program (PPP) loan to do so over the next five weeks. There is still more than $130 billion dollars in available funds remaining in the PPP. Any local church would qualify for a PPP loan as long as they have paid staff that are issued a W-2 at the end of the year. A church can request up to 2.5 times their average monthly salary in a PPP. A church would then have up to 24 weeks to spend the funds on qualifying expenses that would then get forgiven and converted to a grant after completing the appropriate forgiveness forms with your financial institution that issued the PPP loan.
The PPP is a blessing to local churches to help bridge the financial hardship caused from COVID-19. If your local church has seen a decrease in your monthly giving, do not have a large reserve to draw from and are struggling to meet your monthly obligations then, a PPP could help.