Learn how to pull your data from your payroll to apply for a Paycheck Protection Program loan.
If you use one of QuickBook Online Payroll products, you're likely to have access to most of the information you need to apply for a loan under the Paycheck Protection Program.
How can I apply for the loan outside of QuickBooks?
If you want to apply for a Paycheck Protection Program loan through an approved SBA lender outside of QuickBooks Capital,* you'll need to gather your business documents to complete the Paycheck Protection Program borrower loan application. Visit the U.S. Small Business Administration (SBA) website or your preferred approved SBA lender to determine what documents you need. Please consult your accountant with any questions or concerns that may arise.
If you choose to apply for a Paycheck Protection Program loan through your bank or the SBA, here are a few things you should consider doing:
Step 1: Download the application from the SBA
Before you start gathering all the information, go to the U.S. Small Business Administrations’ Website and download the borrower application.
Step 2: Gather the correct documentation
Once you’ve downloaded the borrower application, you may need to gather documentation required by your lender, which may include the following:
- To establish eligibility, payroll processor records, payroll tax filings; a Form 1099-MISC, if you’re an independent contractor; or income and expenses for a sole proprietorship
- Articles of incorporation for each borrowing entity
- By-laws or operating agreement for each borrowing entity
- A list of owners who hold at least a 20% stake in your company and copies of their relevant information (such as driver's licenses or other forms of identification, as applicable)
- Payroll expense verification documents
- IRS forms 940 and 941
- Payroll summary report with corresponding bank statements
- Breakdown of payroll benefits (vacation, allowance for dismissal, group healthcare benefits, retirement benefits, etc.)
- Certification that all employees live within the United States and a list of employees who do not live in the U.S. and their respective salaries
- Trailing 12-month profit and loss statement (as of the date of application)
- Most recent mortgage or rent statement and utility bills
If you're applying for a loan through the Paycheck Protection Program, you'll need your IRS Form 941 for the year 2019. Form 941 is your Quarterly Federal Tax Return. Form 941 holds information about your federal income tax withholding, as well as Medicare and social security tax withholdings from your employees' paychecks.
For most customers, your Form 941 for the first quarter of year 2020 will not be ready for you to download until May 15th. That's okay. You can use your reports from the year 2019.
Step 3: Get information you need from payroll
Once you've gathered the documents you need, you may need to pull some information from your payroll system as required by your lender.
Information from your Payroll Details or Summary reports
If you're applying for a loan, you may need various pieces of information over 12 months. You can find most of this information from your Payroll Details and Summary reports.
- Gross pay. This includes gross wages as well as paid time off, vacation pay, and family medical leave pay. Payroll is capped for employees who make over 100k a year.
- Health insurance premiums. This includes company-paid premiums for group health insurance.
- Retirement plan funding. This includes business contributions to employee retirement plans.
Tax withholdings from your Form 941
You should also consider gathering your IRS Form 941 for years 2019 and the first quarter of 2020, in order to show the last 12 months of federal, state, and local income taxes that were withheld.
Regulations and guidance from the SBA and the U.S. Department of Treasury on the PPP are evolving rapidly, and the information contained herein be outdated. Please refer to the latest guidance from SBA and Treasury to confirm current program rules. The funding described in this email is made available to businesses located in the United States of America and are not available in other locations. This content is for information purposes only and should not be considered legal, accounting or tax advice, or a substitute for obtaining such advice specific to your business. Additional information and exceptions may apply. Applicable laws may vary by state or locality. No assurance is given that the information is comprehensive in its coverage or that it is suitable in dealing with a customer’s particular situation. Intuit Inc. does not have any responsibility for updating or revising any information presented herein. Accordingly, the information provided should not be relied upon as a substitute for independent research. Intuit Inc. does not warrant that the material contained herein will continue to be accurate, nor that it is completely free of errors when published. Readers should verify statements before relying on them.
Paycheck Protection Program (PPP) loans offered within QuickBooks Capital may be made by Intuit Financing Inc. (d/b/a QuickBooks Capital) or by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC. QuickBooks Capital is licensed as Intuit Financing Inc. (NMLS # 1136148), a subsidiary of Intuit Inc. In California, loans are made or arranged under CFL Licensed #6054856. Minimum loan amount varies by state. Intuit Financing Inc., (d/b/a QuickBooks Capital) is an authorized SBA Paycheck Protection Program Lender.
Given the large demand for additional authorized Paycheck Protection Program funds, not every qualified Paycheck Protection Program applicant will receive a loan.
Loan and forgiveness calculations and eligibility may vary. Refer to the SBA.gov for information about your particular situation.