Want to start business and on JB

Hi,

I was made redundant in November and am currently on Jobseekers Benefit. I've tried looking for work, but there is just nothing out there. I've been thinking lately about trying to start up my own online business, but don't want to give up my JB as I probably won't get any orders or generate any income for at least 3 months.
Can anyone advise me on what to do, if legally I have to give up JB, and how income tax works, would I have to declare it?

My understanding is that you only have to declare any income. Once you are available for work and are actively looking for it, you should be ok

If you set up your own business and devote your working time to it, you will not be available for work and so would lose JB. It's a pity because it's a disincentive to start something up when you are in a position like OP's.

I am also in the same boat and after speaking to several different people i was told that this has changed & that you can be Casually Self Employed, meaning you can sign off for the days that you work. It didnt make any sense & was a dis incentive for anyone looking to start something themselves.

Hope it helps.

Mr Wishbone was in same boat, setting up his own biz whilst on JB, you must declare how many hours you work irrespective of whether you make any income at all - which he wasn't as you'd expect in the early days Your JB will be cut based on this. I thought it would be income based but it's not, it's time based.

If you do start you own business you should know that if it doesn't work out for you, Social Welfare will not give you any benefits as you will be classed as self employed.

Yet another disencentive to do something positive.

The Rules are clear -to get Jobseekers you must

• Be unemployed (you must be fully unemployed or unemployed for at least 3 days in 6)
• Be under 66 years of age
• Have enough social insurance (PRSI) contributions
• Be capable of work
• Be available for and genuinely seeking seek work
• Have a substantial loss of employment and as a result be unemployed for at least 3 days in 6

Self-employed people do not qualify for Jobseeker's Benefit. However, they may qualify for Jobseeker' Allowance or Supplementary welfare Allowance.

If you apply for Jobseekers Allowance or Supplementary Welfare Allowance you will have to be means tested- as you will have no income from the fledgling business then you are likely to get Jobseekers Allowance but appplying for JA or SWA takes time and a long waiting period.

My advice is to treat your business idea as a hobby -see how you get on- and if after three months it is generating income then review the situation and "sign off"

march said:

If you do start you own business you should know that if it doesn't work out for you, Social Welfare will not give you any benefits as you will be classed as self employed.

Yet another disencentive to do something positive.

Click to expand...

Incorrect. We were self employed and now in receipt of JA. We have informed them we are expanding our biz, they are o.k. with this.
We were means tested, all our paperwork was in order. We will be going off JA soon as new biz takes off. We couldn't have done it without JA. We also managed to secure funding from BOI and also a grant from our local enterprise board Im happy to say. I cant wait to start earning again and go off JA. I hope many new ideas will be born out of this recession. I think SW are flexible provided you are trying your best, to get work in any capacity, self employed or otherwise.

Congratulations Elphaba and I wish you the very best of luck for the future.

I have to disagree with some comments here as i am in the same position. I spoke to Citizens advice, Redundancy organisation & all did say if i go self employed then i lose JB, however i was in with Fas and the person told me that she thought that these rules had changed. I have since spoken to people in SW and was told that if you want to start a company, ie self employed that you can submit weekly dockets for the days you did or did not work & you wouldnt get paid for those days. This was still in relation to JB & not JA. Then if the business takes off you sign off totally. There seems to be a lot of confusion about this and it is not mentioned on the social website either. Id like to hear if anybody else has been told the same.

A self-employed person may be entitled to JB in respect of days of unemployment, where the conditions of entitlement are satisfied.
For example, if a person is engaged under a contract for service to work (on a self-employed basis) for 3 days per week, and is unemployed for the remainder of the week, s/he may qualify for JB in respect of the days of unemployment - provided the qualifying conditions are satisfied.

The position is different when it comes to JA. Essentially, you sign for the full week as any earnigns from self-employment are dedcuted as 'means' and you will get a lower rate of payment for the week. (If you also 'signed off' for the days you work, you would be hit on the double, what with means assessed and loss of SW for that day.)