# Unemployment for the self-employed **URL:** \ **Category:** Factual Questions\ **Created:** [February 18, 2009, 4:22pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408 "2009-02-18T16:22:34Z")\ **Posts on this page:** 15\ **Page:** 1
**Author:** ![What\_the](https://avatars.discourse-cdn.com/v4/letter/w/f4b2a3/32.png) [@What\_the](https://boards.straightdope.com/u/What_the)\ **Post date:** [February 18, 2009, 4:22pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/1 "2009-02-18T16:22:34Z")
My understanding is that the self-employed don’t pay in and can’t collect. Does this vary from state to state? What about small businesses where the owner (and sometimes family members) are included on the payroll? Can they pay in and collect if the business goes under? ---
**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\ **Post date:** [February 18, 2009, 4:51pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/2 "2009-02-18T16:51:37Z")
In PA you must pay in, but you can’t collect. It seems unfair. I don’t mind them saying you can’t collect, I mind that you must pay even though you can’t collect. ---
**Author:** ![What\_the](https://avatars.discourse-cdn.com/v4/letter/w/f4b2a3/32.png) [@What\_the](https://boards.straightdope.com/u/What_the)\ **Post date:** [February 18, 2009, 4:55pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/3 "2009-02-18T16:55:22Z")
> [@Khadaji](#): > > In PA you must pay in, but you can’t collect. It seems unfair. I don’t mind them saying you can’t collect, I mind that you must pay even though you can’t collect. You have to pay in based on your own compensation … or just your employees?? ---
**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\ **Post date:** [February 18, 2009, 4:57pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/4 "2009-02-18T16:57:38Z")
You pay for everyone who is paid. ---
**Author:** ![Balthisar](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/balthisar/32/2825_2.png) [@Balthisar](https://boards.straightdope.com/u/Balthisar)\ **Post date:** [February 18, 2009, 5:20pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/5 "2009-02-18T17:20:44Z")
Do you mean the owner’s family can’t connect, or just the owner? Couldn’t the owner just work for free, and take consulting fees or dividends or other loopholes? The old $1 salary? Assuming he’s savvy enough to incorporate. ---
**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\ **Post date:** [February 18, 2009, 5:35pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/6 "2009-02-18T17:35:08Z")
You’ll have to investigate ways around the law for yourself. ---
**Author:** ![Desert\_Nomad](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/desert_nomad/32/177_2.png) [@Desert\_Nomad](https://boards.straightdope.com/u/Desert_Nomad)\ **Post date:** [February 18, 2009, 5:54pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/7 "2009-02-18T17:54:50Z")
I pay into Nevada unemployment, but since I don’t live in the US, I don’t think I can ever collect. At least this year they finally lowered my rates. Even if I hire a foreigner who is not a US citizen and does not have a US visa of any kind, and works in his own country, Nevada said I’d have to pay into unemployment for him too… and of course he could never collect. It’s a big scam. ---
**Author:** ![Balthisar](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/balthisar/32/2825_2.png) [@Balthisar](https://boards.straightdope.com/u/Balthisar)\ **Post date:** [February 18, 2009, 6:56pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/8 "2009-02-18T18:56:16Z")
> [@Khadaji](#): > > You’ll have to investigate ways around the law for yourself. I’m not asking about investigating around laws. I’m asking if family members can collect unemployment, or if the restriction was only for the owner of record. _Then_ I asked about ways to avoid the owner paying useless fees, which isn’t at all “ways around the law” but ways of _using_ the law to avoid paying useless fees. That’s what laws are for, to be used. ---
**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\ **Post date:** [February 18, 2009, 7:21pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/9 "2009-02-18T19:21:57Z")
> [@Balthisar](#): > > I’m not asking about investigating around laws. I’m asking if family members can collect unemployment, or if the restriction was only for the owner of record. _Then_ I asked about ways to avoid the owner paying useless fees, which isn’t at all “ways around the law” but ways of _using_ the law to avoid paying useless fees. That’s what laws are for, to be used. I think I see. Based on that, here is a phone number where you should be able to get your answers: 1-888-313-7284 ---
**Author:** ![Duckster](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/duckster/32/1244_2.png) [@Duckster](https://boards.straightdope.com/u/Duckster)\ **Post date:** [February 18, 2009, 7:40pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/10 "2009-02-18T19:40:22Z")
Simple [Google search example](http://www.google.com/search?q=unemployment+insurance+self-employed) for the State of Oregon: > [@](#): > > You must establish a valid claim before you can receive benefits. If you worked for other employers during your base year, or your business was incorporated, you may have enough hours of work and wages for a claim. If you were not incorporated while self-employed, you may not be eligible. Call your Unemployment Insurance Center and ask to speak to a tax auditor. You may also call the Employment Department Employer Tax Status Unit in Salem at (503) 947-1488, if you have questions. > > You may be eligible for benefits if you are self-employed. Your eligibility will depend on several things, such as > > [ul] > [li]Your prior jobs,[/li][li]The type and size of your business,[/li][li]How much time you spend on your business,[/li][li]Whether you are willing and able to drop self-employment for full-time work, and[/li][li]Other factors.[/li][/ul] > > If you are self-employed now or start a business while claiming benefits, call your Unemployment Insurance Center about expenses that you can deduct from the earnings you report on your weekly claims. Failure to tell us that you are self-employed may cause a denial of benefits. Source: [http://www.oregon.gov/EMPLOY/UI/about\_benefits.shtml](http://www.oregon.gov/EMPLOY/UI/about_benefits.shtml) You need to contact your state’s unemployment office to see if you are eligible. ---
**Author:** ![Balthisar](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/balthisar/32/2825_2.png) [@Balthisar](https://boards.straightdope.com/u/Balthisar)\ **Post date:** [February 18, 2009, 10:52pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/11 "2009-02-18T22:52:33Z")
> [@Khadaji](#): > > I think I see. Based on that, here is a phone number where you should be able to get your answers: 1-888-313-7284 Dude, remember, _you_ brought it up: > [@Khadaji](#): > > In PA you must pay in, but you can’t collect. It seems unfair. I don’t mind them saying you can’t collect, I mind that you must pay even though you can’t collect. This was a partial answer to the same basic question. I’m just trying to find out for everyone’s benefit the rest of your incomplete answer (“You pay for everyone who is paid.”). Being a snarky little bitch isn’t in the spirit the boards. Just say you don’t know if you don’t know, for crying out loud. ---
**Author:** ![Gfactor](https://avatars.discourse-cdn.com/v4/letter/g/9de053/32.png) [@Gfactor](https://boards.straightdope.com/u/Gfactor)\ **Post date:** [February 18, 2009, 11:11pm UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/12 "2009-02-18T23:11:14Z")
> [@Balthisar](#): > > Being a snarky little bitch isn’t in the spirit the boards. C’mon now. You know that being a snarky little bitch isn’t in the spirit of the boards, but not that calling someone one violates the rules of this forum? **Gfactor** General Questions Moderator ---
**Author:** ![MannyL](https://avatars.discourse-cdn.com/v4/letter/m/ba8739/32.png) [@MannyL](https://boards.straightdope.com/u/MannyL)\ **Post date:** [February 19, 2009, 2:32am UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/13 "2009-02-19T02:32:59Z")
In NJ if you own a business and treat yourself as an employee and pay into Unemployment. in many cases you can collect if you have to close the business due to it not being profitable ---
**Author:** ![EvilTOJ](https://avatars.discourse-cdn.com/v4/letter/e/ee59a6/32.png) [@EvilTOJ](https://boards.straightdope.com/u/EvilTOJ)\ **Post date:** [February 19, 2009, 8:57am UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/14 "2009-02-19T08:57:05Z")
I have nothing to contribute, except the thread title and username combo is hilarious. ---
**Author:** ![Martini\_Enfield](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/martini_enfield/32/11123_2.png) [@Martini\_Enfield](https://boards.straightdope.com/u/Martini_Enfield)\ **Post date:** [February 19, 2009, 10:21am UTC](https://boards.straightdope.com/t/unemployment-for-the-self-employed/486408/15 "2009-02-19T10:21:52Z")
All I can say is that I’m glad the Australian system has (by comparison) no strings attached; if you’re unemployed, you get money from the Government until you get a job. (If you’re unemployed for too long they make you do community service to earn it, FWIW.)