SBDC: Updated PPP Sole Proprietor, Independent Contractor, Self-Employed Loan Calculation Guidance


The SBA has released updated guidance for the new PPP Loan Calculations for Sole Proprietors, Independent Contractors and Self-Employed Individuals. Highlights of the guidance include:

  • Revised loan calculations for Sole Proprietors, Independent Contractors, and Self-Employed individuals: Loan calculations for owner's compensation can now be based on either the Net Profit or Gross Income as reported on the Schedule C for 2019 or 2020.

  • Use of funds for Schedule C filers with loans calculated on the gross profit have been expanded to include proprietor expenses as a forgivable expense.

  • Maximum owner's compensation is capped at $20,833 except: Businesses with a primary NAICS that begins with 72 (owner's compensation maximum of $29,167)

If you would like assistance with any of the

Covid-19 Relief Programs:

Existing SBDC Clients:

Contact your business advisor to schedule an appointment.


New SBDC Clients:

Go to www.nysbdc.org, click on make an appointment and submit the

form. Once we receive the form, a business advisor will contact you to

schedule an appointment.

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