September Journal

July 1, 2020

September Financial Update

You don’t need me to tell you how crazy this year has been – and it’s not even over yet! This month we’ve continued to grapple with the coronavirus and surges in cases from new sources like returns to college campuses. Meanwhile, we all keep working from home and wondering how school home learning is going to go this year. I read a great article called “Your ‘Surge Capacity’ is Depleted – it’s why you feel awful” on our various abilities and inabilities to deal with months of crisis.

For people following the Small Business Administration’s recent guideline updates, it’s easy to feel like enough already, we’re already trying to hit a moving target with these forgiveness applications.

For a full list of tax deadline dates, see the IRS Tax Calendar, but briefly:

  • September 15: Due date for corporations, partnerships and individuals who filed 6-month extensions to file their taxes.
  • September 15: Individuals must file the third installment of their Estimated Taxes on 1040-ES.

Government Aid in Coronatimes

Have you filed your Paycheck Protection Program forgiveness application yet? The SBA published updated Guidance in August on August 4 and again on August 24. The deadline to apply for the program was August 8 (links to Forbes articles). The opening date for forgiveness applications was August 10.

A few great resources for PPP help in case you’re thinking about applying for forgiveness. Some CPAs are wondering if we shouldn’t wait and see how this initial round of forgiveness applications goes:

What’s Happening, in Charts

The recession that hit as a result of the coronavirus has been felt across the board, but recovery isn’t so even – many Americans are struggling and haven’t felt any recovery at all. The Washington Post reports that while stocks soar and white-collar workers work from home, those in lower-earning wage groups continue to grapple with lost wages and unemployment. From the Washington Post, “As much of the economy has moved to work-from-home mode, the shift has mainly benefited college-educated employees who do most of their work on computers. A Fed survey found that 63 percent of workers with college degrees could perform their jobs entirely from home, while only 20 percent of workers with high school diplomas or less could work from home.”

Speaking of the top tier of income, the Economic Policy Institute reports a continuing shift in compensation away from the workers in a company toward the top position of CEO in a company. For real numbers, if an average worker makes $15 at a company, the CEO would make $4800 per hour these days.

From their report, “CEO compensation surged 14% in 2019 to $21.3 millionCEOs now earn 320 times as much as a typical worker,” the chart below shows how CEO compensation has grown since the sixties, with marked surges in the 1990s toward today’s high marks.

Business Links!

See the bookmarks on Pinboard 

Nonprofit Links!

See the bookmarks on Pinboard 

Security Links!

See the bookmarks on Pinboard 

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.