own company 2 unemployd do I get benefit

[alan7181]

I ran a small building company that made approx £35,000 profit to last financial year end - 1/4/08. I had to lay myself off two weeks ago to enable just my son and a part time book keeper to keep their jobs. The business without me employed is currently making a small loss or might just be breaking even.
I own all the shares in the company.
Can I claim unemployment benefit and if so will my mortgage be paid. My wife works and earns £35,000pa but my mortgage is £460,000 or £3,400 per month. Neither my wife or I have any other income or savings.

[alan7181]

I ran a small building company that made approx £35,000 profit to last financial year end - 1/4/08. I had to lay myself off two weeks ago to enable just my son and a part time book keeper to keep their jobs. The business without me employed is currently making a small loss or might just be breaking even.
I own all the shares in the company.
Can I claim unemployment benefit and if so will my mortgage be paid. My wife works and earns £35,000pa but my mortgage is £460,000 or £3,400 per month. Neither my wife or I have any other income or savings.

[poppynurse]

I'm no expert but as you are still the company's director I suspect you won't be entitled to job seekers allowance.
In terms of your mortgage any benefit would be means tested so with your wife's income that would be a no go as well I'm afraid.

[Zamzara]

Contribution-based JSA, if you're looking for another job.

[Isiris]

Plus theres a wait of 9 months before any mortgage help kicks in and then its only the interest at the DSS rate, not you mortgage rate. May I ask though how you got a mortgage at 7 times your combined income

	Are you letting your bank keep your money Are you giving away thousands of pounds?? Many people aren't claiming all of the money they are entitled to when they make their bank charges claims. You have been forced to pay unfair bank charges. Have you forgotten that your bank has charged you inteest on those charges? If you are overdrawn and the bank owes you charges - then your overdraft is made up of charges - money which you bank owes you. Yet you are paying interest to the bank - on your own money!!! Follow this link to see the discussions on this. You might even double th size of your claim.

[seftonview]

Based on your wifes income you would not be entitled to any help with mortgage payments whatsoever.

You may be entitled to contributions-based jobseekers allowance, however this would depend on a number of factors, including the legal status of the company, your NI contributions band(s) and payment records, and whether the Job Centre considered that you are voluntarily unemployed. My immediate impression is that you would not be entitled.

[alan7181]

My mortgage was based on better years that the one just ended.
The above advice seems to conflict some say my wife's income would count out any help with the mortgage the other says I would get it. For further information my wife 's pay would not even pay the 1/2 the mortgage.

[Elenathion]

Benefits do not pay your mortgage but they may pay towards your mortgage interest. Whether they will straight away or whether you have to wait will depend on the date that your mortgage was taken out as the rules changed some years back.

You should definately make a claim for Jobseeker's allowance though as you may be able to claim contribution based. Do this today as you won't be able to backdate a claim on the grounds of not knowing if you should claim.

	Are you letting your bank keep your money Are you giving away thousands of pounds?? Many people aren't claiming all of the money they are entitled to when they make their bank charges claims. You have been forced to pay unfair bank charges. Have you forgotten that your bank has charged you inteest on those charges? If you are overdrawn and the bank owes you charges - then your overdraft is made up of charges - money which you bank owes you. Yet you are paying interest to the bank - on your own money!!! Follow this link to see the discussions on this. You might even double th size of your claim.

[reallymadwoman]

I don't know about the unemployment benefit (jobseekers allowance) as that will be based on your national insurance contributions, however with your wife's income you will not get any income based benefits, which is the only way you can get help with mortgage payments. Even if she wasn't earning, there is generally a 9 month wait before mortgage interest payments start.

	Are you letting your bank keep your money Are you giving away thousands of pounds?? Many people aren't claiming all of the money they are entitled to when they make their bank charges claims. You have been forced to pay unfair bank charges. Have you forgotten that your bank has charged you inteest on those charges? If you are overdrawn and the bank owes you charges - then your overdraft is made up of charges - money which you bank owes you. Yet you are paying interest to the bank - on your own money!!! Follow this link to see the discussions on this. You might even double th size of your claim.

[seftonview]

Why have you made a duplicate of this thread? You have been given relevant information in the first one here.

[seftonview]

Originally Posted by alan7181

The above advice seems to conflict some say my wife's income would count out any help with the mortgage the other says I would get it. For further information my wife 's pay would not even pay the 1/2 the mortgage.

The fact that your wifes salary will not cover the whole of the mortgage is immaterial.

To get help with mortgage interest you need to be in receipt of certain income based benefits. On a salary of circa £35k per annum, your wife earns considerably more than the threshold for such benefits.

	Are you letting your bank keep your money Are you giving away thousands of pounds?? Many people aren't claiming all of the money they are entitled to when they make their bank charges claims. You have been forced to pay unfair bank charges. Have you forgotten that your bank has charged you inteest on those charges? If you are overdrawn and the bank owes you charges - then your overdraft is made up of charges - money which you bank owes you. Yet you are paying interest to the bank - on your own money!!! Follow this link to see the discussions on this. You might even double th size of your claim.

[saintly_1]

Threads merged

[callumsgran]

You can always sell your house and move somewhere smaller
Or release some equity maybe?

Plus if you have made yourself unemployed i believe you have to wait 26 weeks before you get anything

Do you honestly think the state should pay your mortgage for you?

[poppynurse]

Have you got any mortgage payment protection insurance?

Are you aware tht JSA is around £60 per week.

It may be worth speaking to your accountant for advice on the best way to manage the downturn in work, it may be more financially viable for you to make your relative and book keeper redundant and carry on the business yourself.

	What are your rights at work Follow this link to read the review of the Guide to your Rights at work, published by Lawpack

[sallysas]

Whatever you do - DON'T RELEASE ANY EQUITY. If you claim council tax benefit this is fine up to the age of 59 but the moment you hit 60 any income from the equity release is counted as income. They don't tell you that in the adverts.

Regarding council tax, you can claim 25% reduction if you are receiving jsa as your wife is the only wage earner. They should give you a form at the jobcentre if you ask or just contact the council tax direct (their form is a lot simpler).

[seftonview]

Originally Posted by sallysas

Regarding council tax, you can claim 25% reduction if you are receiving jsa as your wife is the only wage earner. They should give you a form at the jobcentre if you ask or just contact the council tax direct (their form is a lot simpler).

No such exemption exists.

[sallysas]

Oh yes it does- is it the panto season now?

[seftonview]

Originally Posted by sallysas

Oh yes it does- is it the panto season now?

Could you direct us to the relevant statute or policy that provides this then?

[Elenathion]

Originally Posted by sallysas

Regarding council tax, you can claim 25% reduction if you are receiving jsa as your wife is the only wage earner. They should give you a form at the jobcentre if you ask or just contact the council tax direct (their form is a lot simpler).

I'm afraid you're wrong with this. The 25% discount does not apply to someone on JSA. It's a very finite list of categories that can claim this.

[Elenathion]

The list is here:

Council tax