Families First Coronavirus Response Act


April 1, 2020

The Families First Coronavirus Response Act was signed into law March 18, 2020 and is effective immediately.  It requires employers with fewer than 500 employees to provide assistance to employees. Small businesses with fewer than 50 employees will be eligible for an exemption from the leave requirements.  We are awaiting further guidance from Department of Labor.
 
There are two types of assistance available: Paid Sick leave and Paid Family Leave
 
Paid Sick Leave Due to Quarantine or Symptoms and seeking medical diagnosis
Provides 2 weeks pay at regular pay rate up to $511 per day
 
Paid Sick Leave Due to care for another (includes children out of school)
Provides 2 weeks pay at 2/3 regular pay rate up to $200 per day
 
Paid Family Leave - Due to care for a child whose school or child care provider is closed
Provides 10 weeks pay at 2/3 regular pay rate up to $200 per day
Can take in addition to Paid Sick Leave
 

Business Credits Available

A refundable payroll tax credit will be available to reimburse employers for the cost of providing leave assistance to their employees. Employers will be able to reduce federal payroll tax payments by the amounts paid to employees for Paid Sick Leave and Paid Family Leave. 
 
An income tax credit will be available to self-employed persons.
 
If you have any questions regarding how this may impact your specific situation, please call your Faw Casson advisor.  



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