About contractors & benefits

[The Spartan]

What I find strange is, how can you be employed but not working?

[FatLazyContractor]

What I find strange is, how can you be employed but not working?

How else would you explain MarillionFan?

[SueEllen]

What I find strange is, how can you be employed but not working?

Easy.

[The Spartan]

How else would you explain MarillionFan?

Very true

Easy.

Perhaps I'm just confusing myself SE, I pay myself as a Director so if I'm unemployed does that mean I'm no longer a Director of MyCo? Not that I've ever considered what happens as I've been fortunate to be in B2B contracts for a few years.

[PurpleGorilla]

Psycho - do you not have income protection insurance?

[vetran]

Very true



Perhaps I'm just confusing myself SE, I pay myself as a Director so if I'm unemployed does that mean I'm no longer a Director of MyCo? Not that I've ever considered what happens as I've been fortunate to be in B2B contracts for a few years.

Director = Office holder not employee.

You may well need a contract of employment if you and give yourself a p45 when you leave.

https://www.gov.uk/employment-status/director

If a person does other work that’s not related to being a director, they may have an employment contract and get employment rights.
...
their duties are minimal, and are only those required under the relevant statute, constitution or trust deed
they don’t get a salary or any other form of regular payment for their services

https://www.gov.uk/employment-status/office-holder

[The Spartan]

Just read the links and it makes a lot more sense now thanks Vetran

[psychocandy]

Psycho - do you not have income protection insurance?

You mean for things like redundancy? No. To be honest its a grey area and I dont think you'd get this past an insurance company. i.e. own company just made myself redundant etc.

[psychocandy]

Director = Office holder not employee.

You may well need a contract of employment if you and give yourself a p45 when you leave.

https://www.gov.uk/employment-status/director




https://www.gov.uk/employment-status/office-holder

Like I said 'tis the greyest area on a grey day in greyland.....

[gables]

Yep. Had a long discussion with a jobcentre person about it once.

If you worked in a factory, and the factory had no work, your employer could tell you not to come in. Then for the time you are not working, you can claim JSA because you have been laid off temporarily.

Same applies to self-employed if your wondering. It is quite legal to say I have no work and to claim JSA for this time.

PC, I don't doubt the legality of it, but it's not about that for me. When I decided to become a contractor I knew what I was signing up to, bench time included, and it is quite different to what a factory worker signs up to. To me JSA is not for contractors between contracts.