Like most states, South Dakota has taken multiple steps to recover its economy during the COVID-19 pandemic. The state currently has more than 2,200 cases with 11 deaths, according to the South Dakota Department of Health. And the government has both created and expanded various state programs to aid individuals and small businesses impacted by the outbreak. But the Coronavirus Aid, Relief, and Economic Security (CARES) Act also directs coronavirus crisis government help toward residents and businesses in need. In this guide, we explore your options for coronavirus relief both at the state and federal levels.
Many Americans are consulting financial advisors to combat the economic effects of the COVID-19 crisis. Find a financial advisor today.
South Dakota Coronavirus Relief for Individuals
South Dakota has waived the one-week waiting period for those filing for unemployment compensation (UC), and the state has also temporarily lifted the work search requirement. This means you can receive unemployment benefits immediately without needing to actively search for work to keep them.
South Dakota Coronavirus Relief for Small Businesses
Small Business Relief Fund
Governor Kristi Noem’s Small Business Relief Fund helps South Dakota-based businesses established before March 2020. To qualify, businesses must also have fewer than 250 employees and have a personal credit with a minimum score of 650. Loan amounts range from $5,000 t0 $75,000, with a maximum of three months for operating expenses.
Learn more about eligibility requirements and application details here.
COVID-19 Small Business Support Initiative
The University of South Dakota Beacom School of Business, the Prairie Family Business Association and the South Dakota Small Business Development Center are collaborating to provide resources to South Dakota businesses impacted by COVID-19. Through the initiative, businesses can utilize a series of educational opportunities and webinars on navigating the pandemic.
Find more information here.
Federal Coronavirus Relief for Individuals
The Coronavirus Aid, Relief and Economic Security (CARES) Act, or the coronavirus stimulus package, grants stimulus checks to all Americans within certain adjusted income (AGI) thresholds. The cash payments aren’t need based, and the IRS distributes them to individuals, married couples and heads of household. But each check amount comes with income limitations. For instance, individuals qualify for a flat $1,200 if they make $75,000 or less, while heads of household earn the same amount if their AGI is $112,500 or less. However, couples receive a maximum of $2,400 (plus $500 per dependent) if they make $150,000 or less.
The CARES Act also includes enhanced coronavirus unemployment benefits and paid coronavirus sick leave and family leave benefits. Those filing for unemployment can now receive an additional 13 weeks of benefits, plus a federal boost of $600 per week. This means that you can add 13 extra weeks to your state’s current unemployment benefit weeks maximum. The CARES Act also creates three unemployment assistance programs to combat the coronavirus: Pandemic Unemployment Compensation (PUC), Pandemic Emergency Unemployment Compensation (PEUC) and Pandemic Unemployment Assistance (PUA). As for sick and family leave, Americans can now utilize these if they’ve either been diagnosed with coronavirus, or if they’re caring for a household member or dependent impacted by a coronavirus-related quarantine or diagnosis.
The government also offers individuals coronavirus relief for rent and mortgage payments, coronavirus student loan relief programs, a tax deadline extension and more.
Federal Coronavirus Relief for Small Businesses
The U.S. also offers expansive coronavirus relief for businesses. Among the most significant relief programs is the Small Business Administration’s (SBA) Paycheck Protection Program (PPP). The program initially received $349 billion in its first round of funding, but Congress recently approved an additional $310 billion in funding. The PPP program offers small businesses 2.5 times its average monthly payroll costs up to $10 million (excluding salaries of $100,000 or more). You’ll need a PPP loan lender to apply.
The SBA Debt Relief Program is another option. It grants eligible small businesses six months of relief on principal, interest and fees for current SBA 7(a) loans, 504 loans and microloans. New SBA 7(a) loans, 504 loans and Microloans issued before September 27, 2020 also qualify. Learn more here.
Economic Injury Disaster Loans (EIDLs) served as a viable source of relief for businesses, but the program is temporarily suspended. However, small businesses can also utilize the SBA 7(a) loan program, the Express Loan Program, Community Advantage loans and more.
The Bottom Line
South Dakota individuals and small businesses can take advantage of a number of statewide relief efforts, but it’s also wise to consider the assistance programs provided by the federal government. Even if your state doesn’t offer certain provisions, such as relief for rent or mortgage payments, you may still qualify for federal aid.
Tips for Managing Your Finances During the Coronavirus Crisis
- You don’t have to battle a recession alone. A financial advisor can help. If you’re struggling to find a suitable professional near you, SmartAsset’s free financial advisor matching tool connects you with up to three advisors in your area.
- You may qualify for a coronavirus stimulus check. Our coronavirus stimulus check calculator can help you determine exactly how much you’ll receive.
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