Moving from JSA to WTC when starting a business?

schweppes

After being made redundant I've been on JSA for a few months. I've been planning to register self employed (I have a great idea and all the research to show it would work) however let's just say THE FEAR has been what's stopping me from biting the bullet!

The main thing that's putting me off is the potential period of absolutely no earnings between signing off and my business starting to get customers.

Obviously in the start I'll not be paying myself a wage until I get some clients and I'm just wondering, if I were to sign off JSA could I claim Working tax credits just to get a few pounds a week to live off while the wheels start to turn on my business?

On the surface I seem to meet all the criteria for WTC however what I don't want to do is sign off and realise that I've shot myself in the foot and don't have a penny coming in!

daimonde

i know from my line of work ive seen a good number of people choose to become self employed, come off JSA & receive WTC, i dont think theres an issue there.......checked out the https://www.hmrc.gov.uk site for any info ?

direct.gov.uk is generally pretty good too.

now ive also come cross a self employed type credit for people in your kind of circumstances, dont know how it works or the ins and outs but i believe its about £40pw ? for the first.. im guessing now.. 6months ?! whilst you get on your feet.

i do know its disregarded as income for things such as HB/CTB which you would also still be eligible for.

a bit vague i know but i dont think the fear should hold you back.