COVID -19 Frequently Asked Questions

Please see a list of our frequently asked questions regarding the COVID-19 outbreak and related legislation that has passed.  There are actions being taken that are subject to change based on the speed of which actions are taken.  Please check back for updates.

What is the FFRCA Bill and do you have an extensive guideline?

Please see the following link to get an explanation of the current plan and guidelines:

Click the link to see the full document as well as our flow chart to help understand here

How Do I Run Reports for the PPP Loan?

Where can I get the required labor law poster for COVID?

When does the FFRCA bill take effect

The bill takes effect April 1st and only absences from April 1st through December 31st qualify for FFRCA.

What documentation do I need to keep

See the attached link for an absence request form.

I have less than 50 employees do I have to offer 80 hours of paid leave?

Yes, all businesses must provide up to 80 hours of paid leave or two weeks of equivalent leave based on a part time employees regularly scheduled hours not to exceed $511 per day at the employees regular rate of pay once the FFRCA bill is effective.

What is this credit I am hearing about?

The FFCRA provides a 100% credit for all eligible wages.  The credit will offset 100% of your 941 taxes (Federal Income Tax, Social Security and Medicare.  If the amount of wages results in an “excess”, the excess credit will be refunded to you.

Can I request the credit sooner if there is an excess?

Yes, you can file for an accelerated refund with the IRS.

I dont have the funds to pay the 80 hours even if its refundable. There's no cash to pay! Should I layoff or furlough my staff?

While we cant recommend you layoff or furlough your staff, if you are running out of cash you need to do what you must.  There is no timeline as to when the accelerated refund will get back to businesses.

If I layoff my employees before April 1st will I be responsible for paid leave?

No, if you have no employees you will not be responsible for the FFCRA paid leave.

What is the expanded FMLA emergency leave?

The expanded Emergency Leave portion of the FFCRA offered employees with 10 weeks of paid leave at 2/3 their regular rate.  Please see our link to our guidelines article above for more information. The Emergency Leave does require that you take into account normal hours worked (if hourly) including Overtime regularly worked.

If I layoff my employees can they immediately file for Unemployment?

Yes see this link here for a packet on Maryland Unemployment and FAQs

If my business is shutdown due to a State order quarantine, do my employees qualify for the FFRCA pay?

We cannot provide a definitive answer as there is much left that requires clarity.  From what we have read, the FFRCA does have language that allows pay in the case a jurisdiction requires quarantine.

What if I reduce the employees hours, will they qualify for unemployment?

Yes, reduction in hours qualifies for unemployment

What if my staff works here and there when I can allow them? Would that disqualify them from the FFRCA or Unemployment Benefits?

From what we understand, no it will not disqualify them from unemployment or the FFRCA.  The FFRCA has specific guidelines as to when an employee qualifies.  If they are working, chances are they do not qualify for the FFRCA.

Is there a resource for more information about COVID and Maryland Unemployment?

Yes please see this link

Can my employees use PTO?

Yes they can use PTO, however the FFRCA allows employees to use the FFRCA paid time off before company PTO. 

Can I supplement an employee's pay of the FFRCA?

Yes you may.

Can I offer FFRCA to some but not all of my staff?

No, you must offer it to all. 

What if my employees are Part Time or dont have regular schedules?

All employees are eligible for the Paid Sick leave portion of FFCRA.  Part time employees amount of paid sick leave is based on their average hours worked per week multiplied by 2 weeks.  Example: Average hours is 12 hours worked, then they would be eligible for 24 hours.

How do I calculate an Employee's Regular Rate

For purposes of the FFCRA, the regular rate of pay used to calculate the employees paid leave is the average of regular rate over a period of up to six months prior to the date on which you take leave.[2] If they have not worked for you for six months, the regular rate used to calculate the paid leave is the average of the regular rate of pay for each week they have worked.

If the Employee is paid with commissions, tips, or piece rates, these wages will be incorporated into the above calculation.

You can also compute this amount for each employee by adding all compensation that is part of the regular rate over the above period and divide that sum by all hours actually worked in the same period.

Will PRS help classify the FFRCA wage type?

Yes we will have 3 new earning codes and 3 new accrual codes that will track this.  Please contact your CSR for more information when you use this.

Can I reduce my salaried employees hours and have them still maintain exempt status during this time?

This is a very complicated topic to long to put in a FAQ.  Please see this link as it has a very good article on this subject.

Do you know what the Health Carriers Rules are on extending payments or carrying insurance for furloughed staff?

Please see this list of carriers and that they are offering. 

I have less than 50 employees can't I get exempted?

You can get exempted for the expanded emergency leave portion but not the paid sick leave.  You will also have to follow DOL guidelines as to if you qualify.  There is no guidance yet on the exemption rule other than you have to be able to show your business would be in jeopardy.

 

Contact Us:

Main Office: Frederick, Maryland

Local Phone: 240-699-0060 |Fax: 240-699-0062 |Toll Free: 1-888-929-2729

Office hours 9am- 5pm Eastern 

Phone Hours 9am – 4pm Eastern