Honey the Hamster

Deborah – My best advice is to apply. Their state unemployment agency manages and manages PUA, so they have to make the decision. But you won`t know if you`re not applying. I am an independent contractor. We had to close for two months due to COVID19 and we have been open again since May 18 – I work every week. However, I haven`t paid myself since reopening due to our massively reduced revenues. Since I am self-employed and have been working since reopening, am I still entitled to unemployment benefits at this time because I have not received any personal income? Thank you very much. I own a carpet cleaning company and I am also able to get unemployed. When declaring my unemployment, do I have to note how much the company earns? Or do I just have to write down how much I pay myself? The Paycheck Protection Program (PPP) is designed to support U.S.

small businesses with immediate cash support during the COVID-19 pandemic. If you`re a sole proprietor, independent contractor, or gig worker, here`s what you need to know and what you need to apply. This guide has been updated to reflect the new distinctions between the first and second draws. Employers contribute to unemployment insurance and, therefore, regular unemployment benefits are generally available to those who have a job where they receive a salary indicated on Form W-2. According to the DOL, “when processing PUA applications, states must ensure that individuals are not regularly eligible for unemployment insurance (UI). If the person is not eligible for regular unemployment insurance because there are not enough wages covered or because they have an active UNEMPLOYMENT claim with permanent or permanent disqualification, a state does not need to require the person to apply for regular INITIAL UNEMPLOYMENT INSURANCE. “9 Check with your state unemployment agency to find out what options are available to you. It is possible to use both programs, but you cannot have both at the same time. If you receive unemployment benefits and you also have a PPP from which you claim compensation from the owner, you must declare your PPP loan as income to your state`s unemployment resource. Some gig workers and independent contractors find that they earned too much money as W-2 employees during their state`s base period, making them eligible for the state`s regular unemployment program — and excluding them from PUA benefits. Unfortunately, you can`t decide which program to choose. For example, if you earned more than $5,100 in Massachusetts from a W-2 job in the last 4 calendar quarters completed, you are eligible for regular unemployment benefits.

Many independent contractors and gig workers can reach this threshold, but receive the rest of their income from contract work. If you`re an independent contractor or self-employed and don`t have employees, here`s what you need to know about programs to help you. I don`t know who asked you about an LLC, but an LLC is not required for unemployment benefits, including pandemic unemployment. In general, you qualify for a PPP loan in the first draw if you employ fewer than 500 employees (full-time and part-time) living in the United States, AND you were operational on February 15, 2020. Businesses, not-for-profit organizations, the self-employed, sole proprietors and independent contractors can apply. You must certify on the PPP loan application that “economic uncertainty requires that the loan application support [your] ongoing operations.” Unfortunately, you have to work with your state unemployment agency. Everyone has their own processes. I have a question. I am self-employed, I would be eligible for unemployment if I had been unemployed since the 15th century. March stopped working, but due to the state-ordered quarantine, my client was unable to pay me or get back the work I did on March 1. The client just picked me up on May 9th and paid me for this job. Will this money be deducted from unemployment that starts after March 15? No.

Independent contractors can apply for a PPP loan themselves; the companies they hire cannot count them for the purposes of applying for a PPP loan. In case of unemployment, you could be eligible for the maximum unemployment benefit in New York of $504 per week in addition to an additional $600 per week for 13 weeks. This means your monthly unemployment check could be $1,104, for a total of $14,352 over 13 weeks. And once you factor in state and federal income taxes on that amount, you`ll end up with something less than that. Your eligibility for puA depends on whether you are eligible for regular unemployment benefits through your state`s unemployment program. If you meet the eligibility requirements for regular unemployment, you are not eligible for the AUP. For example, if you have reached the wage threshold for the base period set by the state, you will receive benefits under the regular unemployment program and not the AUP. Barbara – You need to check with your state unemployment agency. Each of them treats unemployment a little differently. Prior to the federal CARES Act, a W-2 employee in Illinois was eligible for 26 weeks of benefits after losing their job.

The CARES Act extended the period during which an eligible employee can receive benefits from 26 to 39 weeks. It also provided an additional $600 in weekly benefits for those receiving regular unemployment benefits and offered an additional 13 weeks of unemployment benefits to those who had already exhausted their unemployment benefits. States manage unemployment, even though the U.S. Department of Labor (DOL) monitors the system and states follow federal guidelines. States participating in the pandemic-related unemployment programs mentioned above will be reimbursed for benefits paid by the federal government. States run these unemployment programs with their own computer systems, and since many states traditionally do not offer unemployment benefits to the self-employed, many have difficulty implementing these new programs. You have the right to apply for an EIDL loan as an independent contractor or self-employed person. What happens if I become an independent contractor on January 1, 2020? Can I still apply for a PUA? Andy, I`m not sure I understand your question, but for questions about unemployment, I have to refer you to your state unemployment agency because they run Pua..

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