Providing you with the education, information and resources you need to serve your patients remains our number one priority. The GOA is committed to providing you with vital information during this time of uncertainty.

On Wednesday, April 8 at 9:00 pm join the AOA for an interactive webinar opportunity with Jeff Michaels, O.D., and other experts to address questions regarding COVID-19 federal crisis relief, including details on CARES, 7(a) loans, updated rules for Families First Act and more.

Enroll for the webinar here: https://www.aoa.org/coronavirus

Have a question you want answered? Send it in advance to  kcwebb@aoa.org .
From GOA Billing and Coding Consultant: Telehealth for Optometry During Coronavirus (COVID-19) Emergency

On Monday, April 6, the GOA shared an article from GOA Billing and Coding Consultant, Krystin Keller regarding the updated coding requirements Palmetto made in regards to a pending Federal register rule.

To read the article please click here: https://conta.cc/39OcOl0
From the AOA: Fast Facts on the Paycheck Protection Program

The Small Business Administration has released additional guidance on how the Paycheck Protection Program will be carried out. Here’s are quick updates doctors of optometry need to know:
  1. Independent Contractors: SBA has indicated that independent contractors DO NOT count as employees for purposes of PPP loan calculations. SBA indicated, “independent contractors have the ability to apply for a PPP loan on their own so they do not count for purposes of a borrower’s PPP loan calculation.”
  2. Interest Rate: SBA has clarified that the interest rate on the PPP loan will be 1%.
  3. Deadline: SBA has indicated that “the last day to apply for and receive a loan is June 30, 2020.” 
  4. Documentation Needed for Application: SBA has provided general guidance on the type of documentation that will be needed to apply for a loan, but your bank may request additional information. SBA indicated, “You must also submit such documentation as is necessary to establish eligibility such as payroll processor records, payroll tax filings, or Form 1099- MISC, or income and expenses from a sole proprietorship. For borrowers that do not have any such documentation, the borrower must provide other supporting documentation, such as bank records, sufficient to demonstrate the qualifying payroll amount.” 
  5. Payroll Costs Defined: Payroll costs are defined as “compensation to employees (whose principal place of residence is the United States) in the form of salary, wages, commissions, or similar compensation; cash tips or the equivalent (based on employer records of past tips or, in the absence of such records, a reasonable, good-faith employer estimate of such tips); payment for vacation, parental, family, medical, or sick leave; allowance for separation or dismissal; payment for the provision of employee benefits consisting of group health care coverage, including insurance premiums, and retirement; payment of state and local taxes assessed on compensation of employees; and for an independent contractor or sole proprietor, wage, commissions, income, or net earnings from self-employment or similar compensation.” 
  6. PPP and Economic Injury Disaster Loan (EIDL): SBA has clarified you can apply for both PPP and an EIDL. SBA does note, “If you received an SBA EIDL loan from January 31, 2020 16 through April 3, 2020, you can apply for a PPP loan. If your EIDL loan was not used for payroll costs, it does not affect your eligibility for a PPP loan. If your EIDL loan was used for payroll costs, your PPP loan must be used to refinance your EIDL loan. Proceeds from any advance up to $10,000 on the EIDL loan will be deducted from the loan forgiveness amount on the PPP loan."
  7. Calculating Payroll: SBA has provided general guidance for calculating payroll costs:
  • SBA notes, “The following methodology, which is one of the methodologies contained in the Act, will be most useful for many applicants.
  • Step 1: Aggregate payroll costs from the last twelve months for employees whose principal place of residence is the United States.
  • Step 2: Subtract any compensation paid to an employee in excess of an annual salary of $100,000 and/or any amounts paid to an independent contractor or sole proprietor in excess of $100,000 per year.
  • Step 3: Calculate average monthly payroll costs (divide the amount from Step 2 by 12).
  • Step 4: Multiply the average monthly payroll costs from Step 3 by 2.5.
  • Step 5: Add the outstanding amount of an Economic Injury Disaster Loan (EIDL) made between January 31, 2020 and April 3, 2020, less the amount of any “advance” under an EIDL COVID-19 loan (because it does not have to be repaid).
A Message from GOA Silver Partner MyEyeDr

These are unique, challenging, and unprecedented times for all of us. Like you, we are working hard to meet the needs of patients while prioritizing safety for our doctors and associates; and like you, we are developing strategies to make it through this storm and be prepared to emerge when it is safe to do so.

As a leader in eyecare, we believe we have a responsibility to utilize our network and financial resources to help elevate the profile of optometry within our healthcare system, and even more so in these challenging times. To that end, we are actively working with the AOA, government officials, and our financial partners at Goldman Sachs to work towards solutions that will hopefully benefit our entire profession. Additionally, our team at MyEyeDr interacts with thousands of optometrists across the country on a regular basis and we are available to discuss current industry insights, answer questions, or challenges that you may be facing or believe you will be facing once the current situation concludes. Please view us as a resource and friend during these trying times. 

If we can be of any assistance to you and your team please don’t hesitate to reach out to me at  mguelcher@myeyedr.com

All the best to you, your family, and your community.

Mike

 
Mike Guelcher, MBA
Director of Practice Transitions
(cell) 803.412.1172 
(fax) 571-223-7992 
*The above information is prepared by the GOA staff for informational purposes only and should not be considered legal advice. Individuals should consult the IRS or a tax advisor to address questions related to their individual circumstances.