As an independent contractor in Illinois, it can be confusing to know if you are eligible for unemployment benefits. The good news is that the state of Illinois does offer unemployment benefits for independent contractors, but there are certain requirements that you must meet.
Firstly, you must have earned at least $1,600 in wages during your base period, which is determined by the state. The base period is typically the first four of the last five completed calendar quarters before you file your claim. Secondly, you must have been separated from your work due to no fault of your own. This means that if you are fired for misconduct or you quit voluntarily, you will not be eligible for unemployment benefits.
It`s important to note that independent contractors are not technically employees, so they do not have unemployment insurance deducted from their paychecks. However, under the CARES Act, independent contractors are now eligible for Pandemic Unemployment Assistance (PUA). This program provides benefits to those who are not eligible for regular unemployment insurance, such as independent contractors and self-employed individuals.
To apply for PUA in Illinois, you will need to file a claim through the state`s unemployment website. You will need to provide information about your employment history, including any 1099 forms you have received as an independent contractor. You will also need to provide documentation to prove your income, such as tax returns or bank statements.
Once your claim is approved, you will receive weekly benefit payments. The amount you receive will be based on your income, and the maximum benefit amount in Illinois is $484 per week. You will also be eligible for the additional $600 per week in federal unemployment benefits under the CARES Act, which will continue through July 31, 2020.
In conclusion, independent contractors in Illinois are eligible for unemployment benefits, including Pandemic Unemployment Assistance under the CARES Act. To be eligible, you must meet certain requirements regarding income and separation from work. If you are an independent contractor who has been affected by the COVID-19 pandemic, filing for unemployment may be a good option for you to receive financial assistance during this difficult time.