Can a freelance artist claim unemployment benefits?

As a freelance artist, there are a few strands to this answer. The employment rights of the self-employed are different from those of the employed. Namely, self-employed individuals don’t have the protections of employment. But there are things you can do to maximise the security of your employment status.

First, answer the following three questions. Then we’ll explain how you use this information when you make a claim.

1. Have you registered as self-employed and paid taxes on your income?
2. Are you a full-time freelance artist?
3. How long have you been freelance?

Are you registered as self-employed?

Freelance artists who earn over a certain amount must declare their income to HMRC. This is the case whether you’re working on art full-time or whether it’s a side gig. Below are the rates and thresholds at which you pay income tax in the current tax year.

To be eligible to claim state-provided support, you need to have paid income tax and National Insurance for at least the previous two tax years. This is so HMRC has a written record of your income and employment status.

Unlike income tax, which is a tax paid on your wages, paying National Insurance entitles you to state-provided benefits like the state pension or the Job Seeker’s Allowance (JSA).

The self-employed only pay one class (type) of National Insurance. Class 4.

Are you a full-time freelance artist?

If art is a side gig to full-time employment, you can apply for unemployment benefits if you lose your permanent job. But only if your freelance earnings are less than a liveable income. Here are a few things to bear in mind if you’re thinking of applying for unemployment benefits:

• You don’t need to de-register as self-employed (if you’ve previously registered for Self Assessment)
• You will need to meet the following conditions:
  • You’re both able and available to work
  • You’re genuinely seeking employment

For full-time freelance artists, the rules are a little different.

Employees pay Class 1 National Insurance contributions through their salary, making them eligible for the Job Seeker’s Allowance (JSA). But self-employed individuals pay Class 4 National Insurance. Whilst it qualifies you for some state-provided benefits, the JSA isn’t one of them.

What makes the self-employed eligible for JSA?

This is not a guarantee. But to be eligible, the following things must be true:

• You’ve made voluntary Class 1 National Insurance contributions
• You’re no longer self-employed (not by choice and not a seasonal break)
• You’re available for full-time work
• You work less than 16 hours a week

How long have you been self-employed?

The time that you’ve been self-employed is important. You need at least two tax years under your belt with up-to-date filed tax returns. Plus, you need to have made (voluntary) Class 1 National Insurance contributions.

Here are the three types of Jobseeker’s Allowance available:

1. ‘New Style’ – based on Class 1 NI
2. Contribution-based – based on Class 1 NI
3. Income-based

Can I claim income-based JSA as a freelance artist?

You can potentially claim. Here’s what you need to be eligible:

• You’re 18 or over (there are some exceptions if you’re 16 or 17 – contact Jobcentre Plus for advice)
• You cannot be older than the State Pension age – check yours here
• You’re not in full-time education
• You’re residing in England, Scotland or Wales
• You are available for work
• You’re either not working or you work less than 16 hours per week
• You don’t have an illness or disability that stops you from working
• You’re either single, or have a partner who works less than 24 hours a week
• You and your partner (together) have £16,000 or less in savings

Be aware that the income-based JSA is means tested so, unfortunately, support is not guaranteed.

How much could I claim?

Every two weeks, you can claim the following amounts:

• Claim up to £72.90 (if you’re up to 24)
• Up to £92.05 (if you’re 25 or over)