Step-By-Step Forgiveness Application Guide

Thank you for visiting our step-by-step guide to completing the Paycheck Protection Program (PPP) Loan Forgiveness Application for Borrowers. Below we will walk you through each step of the application and summarize what needs to be completed for each section.

As a reminder, this is not legal advice, we are not a lender and this information should be discussed with your lender.

Click here to download the official U.S. Small Business Administration Form 3508 PPP Forgiveness Application

Pages 1-2:

These two pages include a summary of the application, breaking it into 4 components:

  1. The PPP Loan Forgiveness Calculation Form
  2. PPP Schedule A
  3. The PPP Schedule A Worksheet
  4. The (optional) PPP Borrower Demographic Information Form

It also explains that all Borrowers must submit (1) and (2) to their Lender.

Next it includes instructions on how to fill out their Calculation Form, which is on Page 3.

Page 3:

This is the Calculation Form. You will need to completely fill out this form with the information provided on pages 1-2 and submit it to your lender.

You will need detailed information about your payroll, mortgage payments, and current EIDL/PPP loans to complete this. Once completed, you will have your unofficial forgiveness amount on Line 11.

We at® have created a Loan Calculator that may be able to help you fill out this page. However, you should only rely on the calculations provided for in the official instructions.

Page 4:

This page requires the borrower to make certain certifications about your loan and the information you are providing. You will need to read each bullet point carefully and sign your initials on the left. You will also need to sign & date the bottom of the sheet.

Once you have completed this, your calculation form is now complete.

Page 5:

This page outlines the instructions for completing the Schedule A portion of the PPP Forgiveness Application which is located on pages 6-8. The information you will need will be drawn from a separate worksheet that is located on page 9 of the application.

It may be wise to come back to this page after completing page 9.

Page 6:

This is the PPP Schedule A and will require information from page 9 as well as separate information including healthcare plan, retirement plan, and tax costs.

Follow directions provided in each line and complete the sheet fully. This will need to be submitted to your lender to be approved for forgiveness.

Pages 7-8:

These pages detail instructions on how to complete the PPP Schedule A Worksheet that is found on Page 9. It gives specific definitions and instructions on things like “Cash Compensation”, “Average FTE”, and “Salary/Wage Reduction”.

Read this page carefully before completing page 9.

Page 9:

Here you will find the PPP Schedule A worksheet. This is the third component of the PPP Forgiveness Application, but should ideally be completed before the second component.

Complete the tables 1 & 2 with all your employees names and salary information. Table 1 is for employees who make less than or equal to an annualized $100k. Table 2 is for employees who make more than $100k a year.

You may need to attach additional rows if you have more employees than space is provided for.

Page 10:

This page details the documents that are required to be submitted along with the PPP Loan Forgiveness Application. They are bucketed into 3 categories: Payroll (bank statements, tax forms, etc.), FTE (documents showing the numbers of full-time employees), and Nonpayroll (mortgage, lease, utility payments).

There are also documents listed that the borrower needs to keep but not required to submit to the lender (including documentation about firings, voluntary resignations, etc).

Page 11:

This page simply collects simple demographic information for reporting purposes. It is completely optional to complete and will have no effect on your forgiveness application results.