Combining light entrepreneurship and job search can make you wonder. Maybe you're afraid the subsidies won't be paid anymore, and you won't be able to match the earnings you get from light entrepreneurship. Or that all of a sudden you run out of work and fall on nothing.
Is that really the case? If you work as a light entrepreneur, will you be without unemployment benefits? Not necessarily. If you are an unemployed job seeker and would like to try to employ yourself on a small scale, Truster light entrepreneur invoicing service can be exactly the solution you've been looking for.
Did you become unemployed? Here's what to do first
First register as an unemployed job seeker at the TE Office. If you have previously worked either as an employed person, as an entrepreneur or as a light entrepreneur, the TE Office will assess the form in which they consider you to have worked. After that, you will know whether to apply for unemployment benefit for the employee or the self-employed.
What does unemployment security mean?
A light entrepreneur working without a business ID is not officially an entrepreneur, but when it comes to unemployment security, both are pretty much on the same page.
An unemployed jobseeker receives basic daily allowance paid by Kela and earnings-related daily allowance paid by unemployment fund. You can get these if you have been in employment for at least six months in the previous 28 months. This is called the employment condition.
Contrary to what is often thought, not only a paid worker, but also an entrepreneur or a light entrepreneur can belong to an unemployment fund. And it's worth it! When you are a member of an unemployment fund, you will receive earnings-related in addition to the basic daily allowance. Earnings-related is determined by the salary you have received in the past.
Once you have received basic daily allowance and earnings-related for 400 days and a suitable full-time job has not yet been found, you can then apply for labour market support from Kela. You can also apply for it if the employment condition is not met.
You're an unemployed job seeker and you're interested in light entrepreneurship?
Feel free to try light entrepreneurship through Truster! During the first four months of unemployment, you can work as much as you want as a light entrepreneur. Even after four months, you can work on the side as a light entrepreneur while remaining an unemployed job seeker. However, the income may reduce the unemployment benefit you receive. That's when they say you get an adjusted unemployment allowance.
If you have previously worked in paid employment and now want to try a small light entrepreneur gig when you are unemployed, go for it! In support of your livelihood, you are likely to receive earnings-related allowance, and success as a light entrepreneur is under no more pressure.
What about a full-time light entrepreneur?
Keep in mind that the TE Office decides whether it thinks your light entrepreneurship is full-time or part-time. If the TE Office at the four-month mark considers that you are a full-time light entrepreneur and that you could not take a full-time job alongside it, you are no longer an unemployed job seeker and no longer even receive adjusted unemployment benefit. The deciding factor is how much time you spend working. Not how much income you have.
So, when you're unemployed, is it worth becoming a light entrepreneur?
Absolutely! Since the TE Office does not assess the main or part-time activity during the first four months, it is easy to start experimenting with light entrepreneurship. And even if your subsidies are cut a little because of your income as a light entrepreneur, is it a disaster? You've managed to employ yourself, albeit on a small scale, but still. Perhaps a small light entrepreneurship could become something bigger, even a new livelihood and lifestyle?