Going self-employed - can I claim benefits?

petrified_2

Firstly, please ignore pathetic username, had that when was on here last years ago and in a financial state. Things now much improved

I'm just in the process of setting up as self employed freelance designer, and need to know whether I'll be able to claim benefits when I leave my job as I won't make enough to replace my wage straight away. I have been on business start up course, have business plan etc, and I really only need benefits to tide me over until I start earning a proper wage from the business.

I'm a single mum, currently work part time and get minimal housing benefit and child tax credits. I am so stressed at work, it's making me ill, and I'd rather work 100 hours a week for myself than the 25 I currently work...

I'd be really grateful for your help! Many thanks!

Housing_Benefit_Officer

Yes - give a projection of your income - then every 3 months they should ask for your self employed income and expenditure and do this every 13 weeks until they have 1 years accounts. Speak to your local housing benefit department on how they clulate newly self employed income.

FBaby

You need to take into account the fact that rules have tightened up massively in regards to claiming working tax credits when self-employed and at one stage, you will be expecting to earn an income to the level of minimum wage. It might seem easy, but unless you do have a particular skill in what you will be selling AND know how to run a business, it might not be straight forward, especially as more and more people in your situation are doing just the same and competition is stiff when you are a one man business, new on the market with little experience.

I understand that your job is stressing you now, but that in itself is not a good reason to start a business. If your business doesn't pick up and tax credits start saying at one stage that you are not entitled to the benefit any longer because your business is not picking up, that will be much more stressful that doing a job you don't like for 25 hours. You would be much better off starting it alongside your current job and only give it up when you are well established. Work won't be as bad when you have a way out of it and it is only a question of time.

laineybird2000

So you want us to support you whilst you jack in your job and set up your own business? How about you get a loan to support you, or ask friends and family to help you financially until you get up and running? Or maybe save up and then follow your dreams?

Humph...

Dunroamin

As you're only working part time, can't you get your self employment up and running before you leave? That way, if it doesn't work out, you'll still have your job.

holliea

Dunroamin wrote: »

As you're only working part time, can't you get your self employment up and running before you leave? That way, if it doesn't work out, you'll still have your job.

I'd follow this advice, i'm a freelancer designer and getting work or work enough to support yourself is hard. there are grads who will work for pennies and you're competing with big agencies as well.

don't jack your job in. start getting your name out there and take on a few projects that will distrct you from your job then you can guage whether it's possible

whiteg2

holliea wrote: »

I'd follow this advice, i'm a freelancer designer and getting work or work enough to support yourself is hard. there are grads who will work for pennies and you're competing with big agencies as well.

don't jack your job in. start getting your name out there and take on a few projects that will distrct you from your job then you can guage whether it's possible

I would listen to the advice - I would imagine a lot of people do not enjoy their jobs but you are in a perfect position as you are part time you will have time to kick off the Business alongside - once it does kick off you will have the pleasure of knowing you did it on your own