Coronavirus (COVID-19) Aid Package

March 27, 2020

To our clients and friends,

As the world struggles to contain the spread of COVID-19 and precautionary measures are implemented to protect our public, people are understandably concerned about their financial health as well. The economic impact of the coronavirus is felt everywhere, from the cancellation of social events, travel plans, and schools to the closing of beaches, parks, and businesses.

We are all affected by this pandemic, and we at Arline & Wiggins are receiving calls, emails, and texts from our friends and clients who are unsure of how to navigate through all the information coming at them from so many different sources.

We continue to monitor the constantly evolving situation to provide you with the most accurate, relevant, and up to-date information that is available.

On Wednesday, March 25, 2020, our Senate passed the roughly $2 trillion Coronavirus Aid, Relief, and Economic Security Act (CARES Act) to further assist in the ongoing COVID-19 crisis. Today, the U.S. House of Representatives passed the legislation, and the President is expected to approve the bill later today.

The CARES Act is the third aid package from Congress and is meant to keep businesses and individuals afloat during an unprecedented halt on the majority of American life. The first emergency aid package signed into law earlier this month allocated roughly $8 billion for coronavirus prevention, preparation, and response efforts. The second aid package, named the Families First Coronavirus Response Act (FFCRA), includes provisions for paid sick leave, free testing, and expanded unemployment benefits and was signed into law by President Trump on March 18, 2020.

The CARES Act is the latest phase in emergency relief and addresses the wide-ranging impact of shutting down most of the country to help slow the spread of the coronavirus. Here is what individuals and businesses can expect if this bill becomes law:

Coronavirus Aid, Relief, and Economic Security Act (CARES Act)

For Individuals

Direct cash payments for families – estimated to total $300 billion
  • Individuals earning less than $75,000 would receive a one-time cash payment of $1,200, checks start to phase-out over this threshold and disappear completely for people making more than $99,000
  • Married couples filing jointly earning less than $150,000 would receive $2,400, checks start to phase-out over this threshold and disappear completely for people making more than $198,000
  • Families would get $500 per child
  • Payments are based on either your 2018 or 2019 tax filings
  • People receiving Social Security benefits but don’t file a tax return would still be eligible
Expanded unemployment benefits – estimated to total $260 billion
  • Makes it easier for people who lost their jobs due to coronavirus-related circumstances to qualify for benefits
  • Would also make them eligible for an additional $600 per week on top of what they would already qualify for in unemployment benefits from the state
  • Benefits will be payable in arrears to staff already laid off or furloughed (retroactive to January 27, 2020)
  • Available to self-employed, independent contractors, freelancers, and “gig” workers
  • Allows small businesses to retain staff while they are closed and no revenue is coming in to pay them

Includes individual tax relief by extending individual tax filing and payments to July 15, 2020, including 1st quarter estimated tax payments

  • Required minimum distributions (RMDs) would not be required for calendar year 2020

For Small Businesses

Emergency grants and forgivable loan programs for companies with 500 or fewer employees (please

remember these loans are not yet available so you cannot apply for them)

$350 billion allocated for Paycheck Protection Program (PPP)

  • Provided by the Small Business Administration (SBA)
  • Covered period for receiving a loan is February 15 to June 30, 2020
  • Maximum loan would be 2.5 times the trailing 12-month average of your payroll and payroll related expenses ,including health and retirement benefits
  • Limited to compensation of employees (including the owners) up to a maximum amount of $100,000 per employee
  • Loans have a forgiveness nature that begins on the date the loan originates, if the proceeds are used within 8 weeks for qualified expenses
  • Qualified expenses include payroll, interest payments on mortgages, rent, utilities, and interest on other business debt obligations
  • Forgiveness of the loan is still possible even if you have laid-off employees, as long as you re-hire the same number of full-time employees, at their full rate, by June 30, 2020
Economic Injury Disaster Loan (EIDL)
  • Provided by the Small Business Administration (SBA)
  • Emergency grant up to $10,000, which the SBA must distribute within three days
  • Used to cover immediate operating costs, such as payroll, rent or mortgage payments, providing COVID-19 related sick leave to employees
  • Not required to be repaid if used for these specific operating expenses

Relief for existing SBA loans - $17 billion cap

  • Used to cover six months of payments for small businesses already using SBA loans

Deferral of payment of employer payroll taxes for the rest of the year, with payback over two years


The Act also provides relief to big corporations, hospitals and public health, education, and state and local governments. The bill is almost 900 pages and covers a wide range of topics that we will continue to review.

Remember, the CARES Act has not been approved at this time by the President, but we felt it necessary to communicate with you on what the Act will offer to help you through this difficult time. We will update you on this information when it becomes available and provide guidance on how to apply for the help you need. We hope that you, your families, and your teams stay safe and well.

Best regards,

Joel & Jenny

Brunswick Office:
1606 Reynolds Street | Brunswick, GA 31520

Hinesville Office:
211 E. Court Street | Hinesville, GA 31313

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