Payroll Protection Plan Epilogue

2Student, Jeju International School, Korea, zokang222@gmail.com   ABSTRACT: The Paycheck Protection Program (PPP), part of the CARES Act passed by the United States Congress in 2020, was instituted as a response to social distancing restrictions during the COVID pandemic that shut down large parts of the American economy. The purpose of PPP was to provide small businesses (and corporations with 500 employees and less) with easy-access loans to help make essential operating payments such as rent, utilities and payroll. If PPP funds were properly used as promised, then the amount borrowed would be forgiven - meaning the loan would be converted to a grant and the borrowed funds would never have to be repaid. The PPP was rolled out in two phases: April 2020 and January 2021. This paper will address if the program worked as envisioned - what was the PPP’s ultimate effectiveness? Did it really save jobs and businesses from failing? This paper will also research the percentage of fraudulent or criminal PPP loans - was there widespread fraud, abuse, and misuse of the easy-access funds?

KEYWORDS: Paycheck Protection Program, effectiveness, fraud, abuse, businesses, jobs, loans