Consider that they can collect benefits for months
They can also be suspended and resumed when the activity is stopped.

One of the alternatives that an unemployed person can adopt is to register as self-employed. This is a step that is not without risks, but it is a way to achieve through self-employment what cannot be obtained as an employee. And, in some cases, the unemployment benefit can even be maintained, if it is received by the new self-employed person.

The State Public Employment Service (SEPE) collects the cases in which self-employed workers can combine unemployment benefits and their newly started activity as self-employed workers. This is a kind of shield against the first months of business or activity in which stable income is not always obtained.

The organization ensures that the person can continue receiving, if they wish, the benefit up to 270 days after starting professional activity or for the rest of the remaining period if it is less than this figure.

To do this, the new self-employed person must request an extension of the benefit or subsidy they receive within a maximum period of 15 days from the start of their work activity. The SEPE reports that, in these cases, the person who adopts this compatibility "will receive 100% of the amount of unemployment benefit with the personal income tax deduction, if applicable, and without deduction of Social Security contributions."

In the same way, the organization ensures that this procedure is also applicable to people who join as partners of newly created labor societies or working partners in newly created cooperative societies registered in the corresponding Special Regime in accordance with their activity.

When can the benefit be 'frozen'?

However, in some cases, new self-employed people prefer not to take advantage of this compatibility and may suspend the benefit or subsidy they received before starting their self-employment journey.

To be able to do so, the activity they begin must be less than 60 months, since after that time the right to the benefit will expire. If this date is not reached, you may resume your benefit at the point where you left it as long as the activity is less than 24 months and, if, if it is greater than 24 months and less than 60, it has been given. registration in the Special Regime for Self-Employed Workers (Reta) or Sea Workers.

The benefit will have to be requested during a maximum period of 15 days after the cessation of the activity, and you will not be entitled to it if an activity has been carried out for more than 60 months or if, lasting between 24 and 59 months, it is not has produced registration in the corresponding special regime.

The SEPE also informs that if you have the right to collect the benefit for cessation of activity and at the same time there is the option of resuming the unemployment benefit, the person must choose between one of the two.

Source: The Economist

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