MBO Partners has put together an outstanding guide for independents to help them navigate the benefits, requirements, and provisions of the The Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”):
These key provisions of the CARES Act show exactly where independents can take advantage of the new benefits to maximize relief.
Direct Payroll Relief
Americans – both self-employed and not – enjoy direct aid in the form of stimulus checks.
Retirement Account Access
All workers can withdraw from existing retirement vehicles such as 401(k) funds at increased limits of up to $100,000, with waived penalties and increased payback windows.
Individual income tax deadlines have been pushed back to July 15. Certain entities are eligible for additional tax deferral options on payroll taxes, and an increased window to “carry back” a loss.
CARES for the first time ever expands unemployment benefits to independent workers, extending the coverage period by 13 weeks and adding in an additional $600 per week of “Pandemic Unemployment Assistance” for up to three months. It also eliminates the waiting period and job search requirements.
Loans and Grants
The Small Business Administration (SBA) has more than $350 billion in discretionary funds, distributed via loans and grants, to let small businesses, including independent contractors, pay rent, keep workers on staff, offer paid sick leave and more.
Find out about all the benefits to independents in the CARES Act: The CARES Act: What Independents Need to Know Now | MBO Partners