Many self employees left without any help in Uk during the emergency of COVID-19 for a complicated system and formula.
Since the beginning of the pandemic, The British Government has shown his lack of interest in helping people working as self-employed.
The minister of economy Rishi Sunak immediately agreed in helping employees assuring them 80% of their salary for three months.
Lots of news everywhere to get guidance and support for the category of employees but no news for the other category called self employees.
So, after a lot of rumors and complaints, the same minister tried to find a solution for these self employees.
But the first strange thing appearing into my eyes was in the timing.
While the employees could receive their help from the first month of lockdown, the self-employed category needs to await the month of June to see some money in their account because the Government had to prepare a difficult formula to see if these workers were entitled.
Once the formula was prepared, it was announced that most of the self-employed would receive their money in this emergency at the beginning of June.
Everyone seemed to be happy and helped …but
But unfortunately, after studying the formula, I realize that no many people could receive this grant announced by the minister of finance.
In other countries of Europe, the Government sends a standard quote to everyone without calculating profits and total income.
But we are in England, and in my eyes, it seems everything must be complicated and different from the rest of Europe.
This formula appears like a sort of puzzle at my curious eyes.
The tax office looks at your total income in the last three years of self-assessment.
In this total income, they add everything.
Any payment receives like an employee ( called Paye — pay as you earn ), any pension, any insurance, any rent is going into your total income.
The total income must not more than £50.000 per year otherwise you are considered too rich and no help for you.
Interesting thing compared to the employees.
If you are a so-called ‘ standard respectful employee ‘ nobody cares if you have another house and you receive rent, or a pension, and immediately Boris, the prime minister , send you 80% of your salary.
And here arrives at the surprise!
For this new formula, You need to consider your trading profit based on all your earnings like self-employed less all your expenses paid to be self-employed!
At this point, you realize that the gap between the total income and the profit could be huge!
Then you add three years of total income (2017/2019 ) based on our self-assessment
Then you add three years of total profit as self-employed (2017/2019) called the trading profit.
You do the difference: total income — total profits: 2 (and divide for 2 )
The result must be more than half of the total income.
This formula is applied twice !!!
On your last self-assessment 2018/2019 and in the last three years of your trading (2017/2019 )
If the result is less than half a percent of the total income, you can forget any help!
Who created this formula must be a genius in math!
There is a sort of robot on the HMRC website now ready to help you because lots of people are frustrated and disparate and try to get news on this lack of help. But the robot just tells you that no money will arrive in your account in June!
And here arrives another surprise.
The Government tells these people to ask a sort of benefit called Universal credit.
But we are in England and everything appears complicated and always in favor of the Conservative party.
A couple can receive help only if their saving is no more than£16.000
In England, this sum of money is really ridiculous and can be spent by a family in less than 1 year especially in cities like London where rent for a small flat is over £1.300 per month!
So what else they could do to avoid the disaster in their finance all these people forgotten by Boris and his business company?
I start to give a look at those websites of the Citizen advice bureaus called CAB and find a benefits calculator.
I start to add all my details and seems quite good at the end for the result of the benefits I could receive now.
For instance, a particular type of benefit called the tax credit.
But again I discover no tax credit is ready for me because it has been changed into the Universal credit and no help can be given to single people who have more than £6.000 in their bank account.
Well .. in 2018 I escaped from the house of a nasty partner and had to pay a landlord 6 months in advance if I wanted to use his flat immediately.
And in London, all my £6000 went away in a day to have a small room in a shared house with other 5 people!
I had lots of work at that time to live decently, but if it happened now I could be in trouble because could not receive any help because of my £6000.
In the calculation of this website of the Citizen, advice bureaus is suggested to apply for the new style job seekers allowance.
You must know in the UK you are allowed to be self-employed and employee at the same time.
But if you have a UTR number as self-employed all your work as an employee is appearing like self-employed ( but this rule is not applied when the government must give to you the grant during the COVID-19 !)
You pay taxes but here again the surprise of the difficult English system.
There are different classes of Nin.
The Nin is your tax number.
If you are self-employed you pay the nin class 2 ( and any other category allowed under class 2 )
If you are employed you pay taxes for Nin class 1 instead.
But a self-employed who has worked as employed can receive any new style job seekers allowance because all his taxes have been used to pay Nin class 2
The only thing a self employee can do is going to a bank and ask a loan that obviously must repay the government.
Nothing is done for nothing under the Conservative party in England
But we must not forget another strategy thought by the clever minister of finance.
A scheme called furlough used by the companies to pay their employee.
But it does not seem to work properly because already many people have denounced their bosses for the illegal use of this scheme.
And obviously many small agencies never will use this scheme to pay those self employee obliged to work in PAYE ( pay as you go ) called just for 1 or 2 days during festivals, conventions or promotions.
Our clever politicians with their honorable degrees and masters seem miles away from the everyday life of normal workers living in England.
They probably not know how many people are working as self-employed and employees but for their difficult formula, no one of them will receive a single pound.
Some petition will be prepared and the MP of the opposition are collecting emails and letters of these desperate people to show how bad is this scheme in an emergency like this.
What else have to say about this situation.
Well ..in 9 years in Uk I have noticed many women are working as prostitutes hidden behind modeling websites.
All these castings are advertised on this website but these women receive their payments in cash outside the platform used to find work.
A system very easy to avoid the payment of taxes
But in England again another surprise.
Everyone knows about the existence of these websites because many people still working in offices of the government or retired men from public offices are using these platforms to take pictures at tits of young women paid in cash.
I have read that prostitution is not admitted in England.
Because of this, these sex workers who go around shouting to be professional fashion models or personal trainers are invisible at the eye of the law and subsequently, they do not pay taxes … because of this, there is less money in the pocket of the Government and fewer people are helped in an emergency.
Well, guys .. the only thing I have in mind now is a citation of a film :
Dear self employees of England:
AWESOMESAUCE !! WE ARE MARINATED IN IT!