I’M On Maternity Leave; May I Register As A Self-Employed Individual?

Maternity leave can be taken by self-employed individuals, including those who are doing freelance work. To claim Maternity Allowance (MA), one must meet certain qualifying conditions: being employed or self-employed for at least 26 of the 66 weeks before the expected week of childbirth, and having 13 weeks of unpaid leave. If you are on maternity leave and receiving Statutory Maternity Pay (SMP), Statutory Adoption Pay (SAP), or Shared Parental Pay (ShPP), you can still work on a self-employed basis without losing your maternity pay.

If you are on maternity leave and receiving Statutory Maternity Pay, you can continue freelancing while on leave. The MATB1 form is a maternity certificate from the government that allows you to claim statutory maternity pay or maternity allowance. If you are registered as self-employed and have made sufficient National Insurance contributions, you will be classed as having enough weekly earnings to receive full rate Maternity Allowance.

In Ontario, there is a separate EI program that offers six types of special benefits for self-employed individuals. To receive maternity leave benefits when you’re self-employed, you need to register for access to EI special benefits. In Canada, there are two streams for accessing EI—one for employees and one for those who are self-employed. To qualify to receive money during your maternity/parental leave, you must be employed and have worked for at least 15 weeks full-time before.

If you are self-employed, you may also be eligible to receive pregnancy and parental benefits. For more information on the qualifications, visit the Canada Employment Insurance Commission. As a self-employed Canadian or permanent resident, you can have access to EI Special Benefits if you register with the Canada Employment Insurance Commission.

Can you opt out of EI if self-employed?

To withdraw from the Employment Insurance program, sign in to My Service Canada Account, click the Employment Insurance drop-down, and end your agreement with the Employment Insurance Commission. If you withdraw within 60 days of registering, you won’t pay any premiums. If you change your mind, you must register again and wait 12 months before applying for special benefits. If you’re a self-employed individual, you’ll continue paying premiums as long as you’re self-employed.

Can you earn money while on EI maternity?

Employees in Alberta can work while receiving EI benefits, but they must report earnings to Service Canada as it may affect their benefits. Work should be voluntary and follow Employment Insurance rules. When returning to work after EI benefits end, employees have the right to the same job, position, pay, hours, benefits, and responsibilities. If their original job no longer exists, employers must provide a comparable position with the same wages, work location, and benefits.

Can I work while on EI maternity leave?

Employers cannot force employees to work while they receive EI benefits, which provide financial support during pregnancy, childbirth, or caring for a newborn or adopted child. However, employees can choose to work while receiving EI benefits, but they must report earnings to Service Canada, as it may affect the amount of benefits. Work should be voluntary and in accordance with Employment Insurance rules and regulations. When returning to work after EI benefits end, employees have the right to the same job and position, pay, hours of work, benefits, and responsibilities.

Can I work if I’m on maternity leave?

Keep in touch days are a crucial part of maternity leave, and their payment depends on the terms of your contract. It is essential to agree with your employer to work these days, as they cannot force you to do them. You can arrange these days outside the first two weeks after your baby’s birth, but if you work more than 10 days, your maternity pay will be cut, and you will lose the entire week’s pay for any extra day. Your employer must inform you about any changes that affect you.

Are you considered employed while on maternity leave?

Employees are eligible for maternity and parental leave if they have been employed for at least 90 days with the same employer. They can take time off work without pay without losing their job, and employers must grant leave and return the same or equivalent job upon return. Employers are not required to pay wages or benefits during leave unless stated in an employment contract or collective agreement. Employees on maternity or parental leave are considered continuously employed for years of service. Maternal leave lasts 16 weeks, and parental leave can last up to 62 weeks.

What happens if I make money while on maternity leave?

Following a one-week waiting period, participants may earn money and retain 50 cents of their Employment Insurance (EI) benefit for every dollar earned, up to a maximum of 90% of the weekly insurable earnings used to calculate the initial EI benefit amount. The process of initiating participation is straightforward, expeditious, and free of charge. It should be noted that income derived from maternity and parental benefits will be subject to deduction.

Can I be self-employed while on EI?

Self-employed individuals must declare all hours worked and the total amount before deductions earned from self-employment or other employment when claiming EI benefits. This includes self-employed farmers, those with small self-employment activities, types of self-employment, natural concerns for investment, family members in family enterprises, earning income while getting EI benefits, specific types of independent workers, tradespersons, truck owners, taxi drivers, real estate agents, commissioned salespersons, elected public officials, and professional people. It is essential to know the types of independent workers and their roles when requesting a reconsideration. More information on Employment Insurance can be found on the website.

What benefits can I claim when pregnant and unemployed in Canada?

EI maternity benefits are provided to biological mothers, including surrogate mothers, who cannot work due to pregnancy or recent birth. These benefits can last up to 15 weeks, starting 12 weeks before the expected birth date and ending 17 weeks after. EI parental benefits are offered to parents caring for a newborn or newly adopted child or children, with standard or extended options available.

Can I work another job while on maternity leave in Canada?

While on leave, it is permissible to be gainfully employed by any employer. However, this may have an impact on the individual’s eligibility for Employment Insurance (EI) benefits. The conclusion of the leave period remains unchanged, and it is possible to continue working while on leave. For further details, please refer to the section entitled “What if I earn other income while receiving EI benefits?”

How much can self-employed people earn while on maternity leave in Canada?

Eligible individuals can receive maternity, standard parental, sickness, compassionate care, or family caregiver benefits from self-employment, with a maximum of 55 of their earnings. For extended parental benefits, they can receive 33 of their earnings. In 2021, they can receive up to $595 per week for maternity, standard parental, sickness, compassionate care, or family caregiver benefits, based on a maximum insurable earnings of $56, 300.

Extended parental benefits can receive up to $357 per week, with the amount increased if eligible for the Family Supplement. Benefits may decrease if continued work or business earnings occur while collecting EI special benefits.

How much money can I make while on maternity EI?

Working while receiving EI benefits allows you to keep 50 cents of your benefits for every dollar you earn, up to 90 of your previous weekly earnings. Above this cap, your EI benefits are deducted dollar-for-dollar. You are not eligible to receive EI benefits if you work a full week, but this won’t reduce the total number of weeks payable on your claim. For example, John’s weekly EI benefit rate is $275 (55 of $500) after being laid off from a grocery store. He has found a part-time job at a restaurant, earning $300 per week.