Legal Question in Credit and Debt Law in California

Unemployment Insurance & Business Wages

Hello,

I am not certain if I am posting in the right spot, but here goes:

I was dismissed from my job. I have applied for unemployment. I have a S-Corp in FL, now in its third year, through which I do freelance post production work.

My query is, if I do freelance work, and my COMPANY gets paid, and I DO NOT PAY MYSELF from company funds, using that money only for business related issues - can I still collect unemployment?

To be clear, my freelance has never earned me over $10k per year at its best.

Thoughts? Ideas? Suggestions?


Asked on 5/24/09, 2:53 am

1 Answer from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Unemployment Insurance & Business Wages

Unfortunately, and although it's a perverse disincentive against entrepreneurialism, to qualify for UI benefits applicants must certify they are not engaged in self-employment. The fact that a UI applicant may have earned $0 from self-employment is irrelevant.. This includes you, and for that matter it includes lawyers who lose W-2 jobs. They can't truthfully claim.UI benefits either.

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Answered on 5/24/09, 3:12 am


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