# redundant,Going Self employed, affect on future benefits



## mrs.m (21 Apr 2009)

Hi all,
Just a quick question. I am being made redundant. Rather than sign on I'm hoping to start a business. not expecting to make much for myself on this but beats waiting around trying to get a job ay? hopefully i'll make enough for food 

well if i do start a business i realise i'm not entitled to anything but should the business not take off or close within the year does that mean i have ,by trying to get somewhere, cancelled out any entitlement to j.a/j.b? or would it still go on stamps from previous years? also would my stamps even be enough as before being laid off i have been on a 3 day week since oct.


bit confused on this as though not the deciding factor it still is something i need to think about

any help oh wonderful AAM minds??

thanks


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## Guest116 (21 Apr 2009)

Can't answer your question but best of luck with the new business. We need more people like you to kick the economy into gear again. 

It is wrong that there is little fallback for someone who tries to start a new business versus those who go straight onto j.a.\j.b.

Hopefully there is some local enterprise funding you can avail of.


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## mrs.m (21 Apr 2009)

thanks aristotle!

the way i look at it is you have to make your own way in life nobodys gonna do it for you. i could be on jb looking for a job, maybe getting one that i dont even like and being unhappy. or i could give this a shot and be just as broke  and hopefully it will work..but if it doesn't i dont think it'd be fair that i was penalised for trying..

there's so many things wrong with this country i wouldn't know where to start...


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## gipimann (21 Apr 2009)

Have a look at the Back to Work Enterprise Allowance Scheme which, if you qualify, would pay you some Social Welfare while you get started.  I posted a link in another thread recently, or go to www.welfare.ie and follow the links for "self-employed".


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## Welfarite (21 Apr 2009)

You won't 'cancel out' entitlemetn by not claiming JB immediately. A JB claim in 2009 is based on PRSI paid in 2007. So if you claimed in 2010, it would be based on PRSI you paid in 2008. See the keypost for more info.


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## Mommah (21 Apr 2009)

Is there some big tax rebate available for people starting their own businesses?
Can't remember where I heard about it, but worth looking into.


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## thermalcrete (21 Apr 2009)

good attitude Mrs. m you gotta keep trying in this world. Do you mind if i ask what type of business you are thinking of?


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## dubinamerica (26 May 2009)

but if you start a business and then it doesn't work out won't you have to apply for job seekers allowance rather than benefit? I thought self employed couldn't go onto benefit. I would offer a word of caution on this to be honest. Sign on for now and avail of the job seekers benefit that you are entitled to, while you research the business ideas, put together a business plan and determine what grants etc are available. I wouldn't jump into spending your redundancy money very quicky as you may need this as a safety net. It may take a number of months or years to really set up your business, so just a word of caution.


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## Welfarite (27 May 2009)

dubinamerica said:


> but if you start a business and then it doesn't work out won't you have to apply for job seekers allowance rather than benefit? I thought self employed couldn't go onto benefit.


 
JB is payable if the qualifying conditions are met. what you're referring to is that, usually Self-employed don't qualify for JB as they have no PRSI to cover them paid, butthey there is no rule that says self-employed cannot go on JB.

And more info: 

Different rules apply to both schemes when it comes to self-employment.

1. JB: you cannot claim any day that we work, even if that work is only an hour.
2. JA: your income form self-employment is assessed adn a reduced rate of JA is paid, but you don't sign off for the days you work (as then you would be hit twice for it; once by reduced rate adn twice by losing day's dole)

If it is more beneficial, you can opt to take JA rather than JB.


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