CARES Act: Will There Be a Phase 4?
Provided by American Financial Advisors, LLC
With the economy and financial markets flashing mixed signals, it’s no wonder that lawmakers are deadlocked on whether to pass a Phase 4 of the CARES Act.
More than $3 trillion in stimulus has been pushed into the economy since March. Critics of a Phase 4 package say the economy needs time to digest an unprecedented amount of federal spending. On the other hand, supporters say more is needed to help 21 million unemployed Americans and the many small businesses that continue to struggle with the pandemic’s impact.1,2
Here are a few changes being considered in Washington:
- Another round of stimulus checks (the first round was in Phase 3)3
- A payroll tax cut, a new idea being considered by the White House4
- Liability shields for businesses against coronavirus impacts5
- Workplace safety standards (steps taken by businesses vary widely)6
- Additional funding for state and local governments (more than one million public-sector employees have been laid off since the outbreak)7
This is a confusing time as proposals can often get mingled with actual updates to existing rules. For example, did you know that the Small Business Administration extended until August 8, 2020, its deadline to apply for the Paycheck Protection Program? The extension was approved just recently.8
If you have any questions, please reach out. Meanwhile, we’re keeping close tabs on whether a Phase 4 package moves to vote in Congress.
If you have questions or would like to learn more we invite you to call us at (770) 977-2434 or send an email to This email address is being protected from spambots. You need JavaScript enabled to view it. .
This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information has been derived from sources believed to be accurate. Please note - investing involves risk, and past performance is no guarantee of future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.
Citations:
1 - Finance.Yahoo.com, July 2, 2020
2 - Fortune.com, June 9, 2020
3 - Finance.Yahoo.com, July 2, 2020
4 - Reuters.com, June 8, 2020
5 - NYTimes.com, June 12, 2020
6 - The Wall Street Journal, April 12, 2020
7 - Finance.Yahoo.com, July 2, 2020
8 - CNN.com, June 30, 2020
