can a self employed individual collect unemployment?

Log in / Sign Up

List of Forums + New Post Recipe Box Usergroups Following My Posts Bookmarks

Private Messages Advanced Search Rules New User Guide FAQ Advertise Contact Us

Forum -> Household Management -> Finances

Can a self employed individual collect unemployment?

View latest: 24h 48h 72h

amother

Sun, Oct 19 2014, 9:44 pm

I was self employed but have legally closed my business.

Am I allowed to file for unemployment? Is it only for individuals who worked for an employer?

Talya

Sun, Oct 19 2014, 9:52 pm

Unfortunately it is only for employees.

amother

Sun, Oct 19 2014, 9:55 pm

Talya wrote:

Unfortunately it is only for employees.

Thanks - just curious how you are so sure? I've been looking online for this info. and haven't been able to find it. I think we filed taxes properly (self employed) and if it helps my business was listed as an LLC.

causemommysaid

Sun, Oct 19 2014, 10:01 pm

why not try?

if you qualify great, if not then no harm done.

it will certainly help until you find a new job. besides you probably paid the taxes on yourself to the unemployment fund no? maybe you do qualify.

Talya

Sun, Oct 19 2014, 10:04 pm

causemommysaid wrote:

Nope. For some reason unemployment tax doesn't work that way. I also have an LLC and begged my accountant to find a way to get it independently but couldn't find one. I've done research and asked around and that was always the answer I got. I was on unemployment at one point and I was told that self employed aren't eligible.

amother

Sun, Oct 19 2014, 10:05 pm

Talya wrote:

which state do you live in?

The Happy Wife

Sun, Oct 19 2014, 10:06 pm

In order to collect unemployment, you need to be unemployed through no fault of your own, as in let go from your position. As the owner of your own business, you ended your own employment. I can't imagine that would qualify.

treetop12

Sun, Oct 19 2014, 10:37 pm

You should speak to your accountant for the future. There are ways of structuring your payroll so that you are paid as an employee (receive a W2 instead of a 1099 or a K1 at the end of the year) and you would pay unemployment tax. There are specific requirements that need to be met in order to collect unemployment. (They vary by state.) The most important one is that you had to have paid in for a minimum amount of time (in NJ it is at least 20 weeks in the calendar year).
Good luck!

leah233

Mon, Oct 20 2014, 11:46 am

I was told by the unemployment office in NJ that a self employed person can collect unemployment if they paid into unemployment (usually by a W-2 withholding) and can show dissolution papers.

Page 1 of 1