You find yourself in a situation of unemployment and in search of work, but the lack of stability and the lack of job opportunities do not favor you. In this situation, you decide to explore another alternative, and the idea arises to undertake, open that business you've been considering for a while. Although it may seem like something simple, here we provide you with all the information you should know before you make this important change.
When you start your activity, if you were previously registered as a job seeker, you can benefit from various advantages that will facilitate the way during the first difficult moments. Thanks to recent reforms implemented to encourage the self-employed, you have the possibility of access to aid and grants that can support the financing of your new business or provide facilities to reduce initial costs.
However, it is important to keep in mind that your tax obligations underwent changes, and with it comes the biggest question in these cases:
The crucial question that often arises is: "what If I sign up as a standalone, I lose my unemployment benefits?" It is a common assumption, but in reality, the self-employed have the right to receive unemployment in case of closure of the business, known as a "cessation of activity". Although colloquially referred to as the arrest of the self-employed, their operation differs slightly from that of the salaried employees. It is true that both benefits are financed by Social Security contributions, but there are some quirks that limit the access of the self-employed to this benefit.
For own-account workers, access to these benefits is conditioned to a cause that gives them this right. It may sound extreme, but it means to comply with certain requirements. Since the adoption of the Law 32/2010 that regulates and the implementation of the new quotation system of real income, these assumptions have been expanded and currently there are several scenarios in which the self-employed could apply for unemployment
1. Access to unemployment for reasons ETOP (economic, technical, organisational or production)
In this scenario, the self would have access to a provision if it is forced to close the business or pass it on to third parties for any of the following four causes, which must be justified to comply with these requirements:
1. Having experienced losses during a year that exceed 10% of the income earned in that period.
2. Be reduced to 60% of the total work time of the template, due to a 75% decrease in income in comparison with the two fiscal quarters above.
3. Yields monthly net that do not meet the minimum interprofessional salary (SMI) of 1,080€.
4. The closing of the business is due to executions, judicial or administrative order to collect debts recognized.
In addition, the closure should derive from the issuance of an execution court or administrative representing at least 30% of the income of the previous financial year.
It is also necessary to be in possession of debts to private creditors and the amount of these debts exceed 150% of the ordinary income.
2. Access to the unemployment issue the close of business on the grounds of force majeure
These scenarios can recognize events unforeseeable escape completely out of the control of the self, as the pandemic or a natural disaster.
Thanks to the new regulations, since it is not strictly necessary to close the business, but that could be carried out by a temporary cessation during a given period. During this period of temporary cessation, you could access the stopping until it recovers the usual activity, thus providing additional flexibility to the self-employed are facing exceptional circumstances and temporary affecting its operational capacity.
3. Access to unemployment following a loss of license
You can access the shutdown loss of license, caused by any reason that prevents the self-contained carry out your usual activity.
4. Access to the stop for personal reasons
In situations of divorce or separation legally established, it could access to this cessation of activity if one or both spouses decide not to collaborate in the activity of the self. In addition, this option could also be accessible for the self-employed who are victims of gender-based violence, thus providing a support mechanism in cases of personal and family difficulties.
What requirements must be met in order to access these benefits?
In addition to the specific requirements listed previously for each particular situation, there are general parameters that all self-employed persons must meet in order to access the unemployment benefit:
1. Join the CHALLENGE: you Must be enrolled and registered in the Special Regime for Self-employed Workers (RETA).
2. Minimum Contribution period: you Must have contributed a minimum period of 12 months.
3. Legal status of Cessation of Activity: you Must find yourself in a legal situation of cessation of activity. In addition, you commit to participate in training activities, career guidance and promotion of the entrepreneurial activity organized by the Public Employment Service (SEPE), and demonstrate active willingness to reintegrarte in the labour market.
4. To be up to date in the Payment of Dues: it Is necessary to be up to date in the payment of social security contributions.
5. To comply with Labour Regulations: If you are self-employed and you have employees, you must comply with the regulations in corresponding employment.
6. Age to have Access to Retirement: you must Not have reached the typical age to have access to the contributory pension, retirement, unless you count the period of contribution required to do so.
It is essential to review the current regulations and any applicable updates at the time of applying for the unemployment benefit, because the requirements may be subject to change.
In summary, to undertake is presented as a valuable alternative for those who face job instability and limited employment opportunities. However, before you dive into the world of self-employment, it is essential to understand the implications in terms of unemployment benefits and ensure you have a backup in case you need support in difficult times.
