Financial Advisory Blog

Armanino’s Financial Advisory blog is your source for thought leadership around cloud ERP and accounting solutions and integrations. Supported by the Cloud Accounting Institute and numerous experts in cloud, finance, reporting, integration, compliance, and technology, Armanino’s Financial Advisory blog features must-read content on what’s happening in the finance industry, case studies, white papers, and much more.

August 4, 2020

We reduced salaries after our eight-week period but may want to opt for the 24-week period instead. However, we did reduce one <$100,000 employee by 30%. If we reinstate that salary, does that negate the Salary Reduction Factor?

Posted by Armanino Financial Advisory Team

It depends on when you reduced that salary. If you reduced it between February 15, 2020 and April 26, 2020, then yes, reinstating that salary will provide you safe harbor from the Salary Reduction Factor. If, however, you took the reduction after April 26, 2020, reinstating it will not get you safe harbor.

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