COVID-19 Stimulus Legislation

COVID-19 Stimulus Legislation
Jillian Bateman — March 18, 2020
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Senate Passes $2 Trillion Stimulus Bill – 3rd Emergency Aid Package

We peel back the layers and talk through what’s in the bill.

$2 Trillion Stimulus Bill Expected to Pass After Around-the-Clock Negotiations – Deal Reached

The bill will provide direct payments to most Americans, provide tax breaks and loans to corporations and provide additional funds to combat the Coronavirus.

COVID-19 Stimulus Legislation (Phase 2)

Congress passed legislation on March 18, 2020, which was immediately signed by President Trump. This stimulus builds on the first stimulus bill of $8.5 billion passed in early March and provides numerous employee benefits including:

• Establish a federal emergency paid leave benefits program to provide payments to employees taking unpaid leave due to the coronavirus outbreak

• Private sector employers with fewer than 500 employees must provide 10 weeks of paid family and medical leave for employees who are unable to work or telework due to a need for leave to care for a child because of school or daycare closing.

• The payment is capped at $200/day and $10,000 total.

• Employers may receive 100% payroll tax credit for required paid leave for employees plus health care expenses of the employer.


• Require employers to provide paid sick leave to employees

•Private sector employers with fewer than 500 employees must provide 2 weeks of paid sick leave for full-time employees if the employee meets the qualifying reasons for leave (described in the matrix below).

• Employers may obtain a credit for wage replacement of required paid sick leave wages


• Expand unemployment benefits and provide grants to states for processing and paying claims

• Unemployment benefits for laid-off workers are extended to 26 weeks in most state and an additional 13 to 20 weeks may be added for workers in states with rising unemployment rates.


• Provide self-employed tax credit

• Self-employed individuals may receive a credit against the tax imposed for net earnings up to 100% of the individual’s time taken for sick-leave or 67% if taken for the care of a sick family member with a cap up to $511 per day under certain circumstances.


• Other Provisions included in the Phase 2 bill include:

• Establish requirements for providing coronavirus diagnostic testing at no cost to consumers,

• Treat personal respiratory protective devices as covered countermeasures that are eligible for certain liability protections, and

• Temporarily increase the Medicaid federal medical assistance percentage (FMAP)