Track how you use your Paycheck Protection Program loan

Learn how you can keep track of how you’re spending the funds from your Paycheck Protection Program (PPP) loan.

Note:  The SBA provided new guidance on PPP loan forgiveness on January 19, 2021. The SBA may issue additional guidance and we will update our resources accordingly. Please refer to the SBA and Treasury to confirm current program rules and how they apply to your particular situation.

With QuickBooks, you can keep track of how you use the funds you get from your PPP loan. As you use these funds, you may consider tracking them by creating expenses and running your payroll like you normally would. Then, when you want to see what you’ve spent, you can run a report to see all your spending from the time you received PPP funds.

You should use your funds as mandated by the SBA and Treasury. This includes using the PPP loan funds for permissible uses and understanding when PPP loan funds may be forgiven.

Step 1: Continue to pay your employees #

One of the main components of the Paycheck Protection Program is to help employers continue to pay or re-hire their employees. As you use your PPP funds, continue to run payroll and pay your employees.

Paying independent contractors is not an eligible forgivable use of PPP funds.

Step 2: Track what you spend on other eligible operating expenses #

You can track what you spend on other eligible operating expenses by recording expenses, checks, or bills as you normally would. Just make sure you’re properly categorizing them.

Learn more about using PPP funds on eligible operating expenses.

Non-payroll expenses eligible for forgiveness include:

• Interest payments on business mortgage obligations for real or personal property incurred before February 15, 2020
• Business rent or lease payments on leases pursuant to agreements for real or personal property in force before February 15, 2020
• Business utility payments for electricity, gas, water, transportation, telephone, or internet access pursuant to service agreements dated before February 15, 2020
• Covered operations expenditures
• Covered property damage
• Covered vendor costs
• Covered worker protection expenditures

For more detailed information about PPP Loan Forgiveness, including information about the documents you need to submit with your PPP Loan Forgiveness Application please view our Paycheck Protection Program loan forgiveness article.

QuickBooks Online #

QuickBooks Desktop #

Intuit Online Payroll #

QuickBooks Self-Employed #

Step 3: Run a report to see how much you’ve spent #

Once you’ve started to use your funds, you can create and save a report to check how much you’re spending.

QuickBooks Online #

QuickBooks Desktop #

Intuit Online Payroll #

QuickBooks Self Employed #

Disclaimers

Regulations and guidance from the SBA and the U.S. Department of the Treasury on the PPP are evolving rapidly and the above information may be outdated. Please refer to the latest guidance from SBA and Treasury to confirm current program rules and how they apply to your particular situation.

The funding described 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 customers particular situation. Intuit Financing Inc. (d/b/a QuickBooks Capital) 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. QuickBooks Capital 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.