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Becoming your own boss and using your time for the benefit of your own business instead of your employer’s is a dream for many people. However, being a self-employed worker, especially if you have employees under you, is not as easy as many workers would like to think. Starting and running a business requires a special set of skills and know-how. The Federal Unemployment Insurance program knows this. It also knows that unemployed workers who start their own business do not only come of the unemployment ranks but often generate work for other who are also unemployed. For instance, over 10 percent of all workers are self employed and 99.7 percent of all firms that employ workers are small businesses, which often were started by self-employed workers.
The State of Washington and the State of Massachusetts were the first states to test the Self Employment Assistance program over the ten-year period running from 1986 to 1996. The experiment was deemed a success: a highly cost-efficient program and is now one of the programs offered by the Federal Unemployment Insurance Plan. One of the key elements of the program—both the experimental models and the current program—is the profiling system. The Self Employed Assistance is not a program you can apply for. You are either invited to join or you do not join. Who are invited? This is determined by a set of requirements and standards that set apart who is more likely to exhaust their unemployment benefits before finding a new job. This profiling exercise helps the Washington Employment Security Department target its resources to those who are more likely to receive benefits for the longest period and ignore workers who are capable to find a job quickly or start a business by themselves. This profiling makes the program more cost-efficient.
Eligibility Criteria
To qualify for the Self-Employment Assistance Program you must first be eligible for unemployment benefits. This means you must have lost your job due to no fault of your own and meet the financial requirements set by the Employment Security Department. You must be selected by the Self-Employment Assistance Program’s profiling systems and receive a letter with an application form. Finally, you must enroll in the training courses offered by the Self-Employment Assistance Program. Once you receive the invitation letter, you can download the application form at this link, or visit your closest WorkSource Office (click here to search for the one closest to you) office.
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