PPP Loan Forgiveness Rules Relaxed

Under a new federal law effective June 5, 2020, the PPP loan forgiveness rules have changed. The new rules give small businesses:

  • More time to use the loan: Instead of having to use your PPP loan in the 8 weeks after you get it, the new law gives you 24 weeks or until the end of this year (whichever is earlier) to use your PPP loan.
  • More flexibility on how you spend your loan: The old PPP rules required you to use at least 75% of your loan on payroll costs (salary/wages, health insurance, retirement, paid leave, and unemployment taxes) and no more than 25% on certain non-payroll costs (rent, utilities, and mortgage interest). The new rules require you to spend only 60% of your loan on payroll costs and allow up to 40% on the approved non-payroll costs.
  • Forgiveness if you aren’t at pre-pandemic staffing levels: The new law allows you to get full forgiveness if you can document that you are unable to re-hire employees who were on your payroll as of February 15, 2020 and you can’t hire similarly-qualified individuals to fill their positions by December 31st. Also, if you can document that you cannot go back to your pre-pandemic staffing level because your business is complying with social distancing measures, your loan forgiveness will not be penalized.

The Small Business Administration has updated the PPP loan forgiveness application (Form 3508).  There is also a new second version of the forgiveness application that is more streamlined (Form 3508EZ).  You can use the EZ version of the form if you have not reduced your employee wages by more than 25% and have not reduced your number of employees.  Both forms and their instructions are available from the PPP section of our coronavirus resources page.

If you have questions about your PPP loan or forgiveness, you can ask our expert staff by emailing us at fuba@fuba.org or calling us at 800-262-4483.

FUBA’s coronavirus resources for small businesses page is constantly updated and can be found here.

Are You Hiring Teens For The Summer?

If you have teenagers under the age of 18 working at your business this summer, you should be aware of the laws that restrict the number of hours and types of jobs they can work.  Parental permission is not required to hire a minor, and work permits are not required in Florida. 

Minimum Wage:

  • Like other employees, minors must be paid at least the Florida minimum wage of $8.56.
  • For employees who receive tips from customers (like food servers), you must pay them a direct cash wage of at least $5.54 an hour.  If the combination of an employee’s tips and the direct cash wage of $5.54 an hour does not equal the minimum wage of $8.56 an hour, you also must pay them the difference. 
  • Employees under 20 years of age can be paid a youth minimum wage of $4.25 an hour for the first 90 days of their employment.

Age Requirements:

  • With certain exceptions, teenagers must be at least 14 years old to work in Florida.
  • 16-year-olds may not drive as part of their job.  17-year-olds may drive during daylight hours.

During the summer, 14 and 15-year-olds:

  • Can work up to 8 hours a day and up to 40 hours per week.
  • Can work between 7 a.m. and 9 p.m.
  • Cannot work more than 6 days in a row.
  • Must be given a 30-minute break after 4 consecutive hours of work. The break can be unpaid.
  • Can work in most office jobs and retail or food service establishments, but may not sell, prepare or serve alcoholic beverages.
  • Cannot operate most power-driven machinery, including lawnmowers, lawn trimmers, and weed cutters. 

During the summer, 16 and 17-year-olds:

  • Can work any time of day and have no limit on the number of hours they may work each day and each week. But if they work more than 40 hours in a work week, they must receive overtime pay.
  • Cannot work more than 6 days in a row.
  • Must be given a 30-minute break after 4 consecutive hours of work. The break can be unpaid.
  • Cannot sell, prepare, or serve alcoholic beverages. 
  • Cannot drive automobiles as part of their job.  [There is a limited exception for 17-year-olds.]

Roofing Prohibited:

Employees under 18 years of age cannot work in roofing occupations or work on or near a roof.  This includes all work on the ground related to roofing operations.  Minors are also prohibited from working near a roof doing things like gutter and downspout work; installing/servicing TV, cable, or satellite equipment; or installing/servicing HVAC equipment attached to roofs.

Required Records:

If your business hires an employee under the age of 18, you are required to post a Child Labor poster at your place of business.  You can download this poster from our website here. Or email us at fuba@fuba.org and include your FUBA member number, business name, mailing address and contact name.

You are also required to keep proof of age documentation for all minor employees, such as a copy of their driver’s license or birth certificate. 

Hand Washing Reminders Available

Because hand washing is so important in preventing the spread of the coronavirus, FUBA has free posters available for members that say “Employees Must Wash Their Hands Before Leaving.”  These can be posted in restrooms or anywhere in your workplace to remind employees to wash their hands frequently.

To request some of these posters, please email us at fuba@fuba.org or call us at 800-262-4483. Or you can download copies to print from our website here.

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