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Infinite projected entangled pair states (iPEPS) provide a convenient variational description of infinite, translationally-invariant two-dimensional quantum states. However, the simulation of local excitations is not directly possible due to the translationally-invariant ansatz. Furthermore, as iPEPS are either identical or orthogonal, expectation values between different states as required during the evaluation of non-equal-time correlators are ill-defined. Here, we show that by introducing auxiliary states on each site, it becomes possible to simulate both local excitations and evaluate non-equal-time correlators in an iPEPS setting under real-time evolution. We showcase the method by simulating the t-J model after a single hole has been placed in the half-filled antiferromagnetic background and evaluating both return probabilities and spin correlation functions, as accessible in quantum gas microscopes.