Self Employed, LCWRA, end of 'start up'

AnnieBunnie
AnnieBunnie Community Member Posts: 2 Listener

Hello,

I am on UC and was awarded LWCRA due to CFS, hEDs and POTs.

I run a small shop/online store. It's not doing so well (not making any money, just about covering costs).

I am coming to an end of the 'start up' period for being self employed on UC. It will then be assumed I am paying my self about £800 a month as they say my time would be better spent 'working on a checkout in Tesco', but due to my health, not by LCWRA, means I am not able to do that. So does that statement still apply? Surely they know I can't really work - what I do for myself is minimal and with help from others, and part of the reason the business is struggling.

But if I close the business (something I don't want to do, as its the only thing I have left, I don't do anything else) I can then be unemployed, don't have to work, get the full UC amount indefinitely?

Feels like I am a being punished for trying something.

Is there anyway I can continue to try to make the business work (only doing about 10hrs a week as I can't manage much more) and still get the UC and LWCRA?

Thank you x

Comments

  • OverlyAnxious
    OverlyAnxious Community Member Posts: 6,009 Championing

    Hi,

    As you get LCWRA, the Minimum Income Floor doesn't apply to you.

    You will just need to keep reporting your earnings at the end of each Assessment Period, even if they are £0. There will only be a deduction from your UC if you pass the Work Allowance. (£427 a month if in receipt of Housing Costs or £710 without Housing Costs).

  • AnnieBunnie
    AnnieBunnie Community Member Posts: 2 Listener

    @OverlyAnxious Thank you so much!!! I've been crying over this for ages now. My health seems to be getting worse (endo?) and it's been really hard. So this is great news. Thank you x