In case you’ve missed it, DPM Heng Swee Keat has announced the details of the new Solidarity Budget, a supplementary package to what was already announced before.
And one part of the package was dedicated to self-employed individuals who are now in trouble in the form of a Self-Employed Persons Income Relief Scheme.
Previously
On 26 Mar 2020, DPM Heng announced that $1.2 billion will be used to help self-employed people in Singapore.
Eligible self-employed people will receive $1,000 a month for nine months to help tide them over this COVID-19 period.
In order for you to be eligible, you will have to meet the following criteria:
- Started work as a self-employed person on or before 25 March 2020
- Do not also earn income as an employee
- Earn a Net Trade Income of no more than $100,000
- Live in a property with an annual value of no more than $13,000
- Do not own two or more properties
As for where you can go to see how much your property annual value is, it can be found on the property tax bill that the property owner receives every year.
Alternatively, you can log in to your myTax Portal using your SingPass/IRAS PIN. From there, click on Messages, then Correspondence & Notices, Property Tax, and finally Letters/Notices.
Well, They’ve Broaden The Scope (Read: Eligibility) Of The Scheme
With the tighter measures kicking in on 7 Apr 2020, DPM Heng understands that this will adversely impact self-employed individuals in Singapore.
Which is why the Solidarity Budget will be used to bolster the existing scheme announced in the Resilience Budget.
For one, the self-employed persons eligible for the scheme will change to include those who also earn a “small income” from employment work.
Previously, people who have other employment work will not be eligible for the $1,000 relief.
The annual value threshold will also be increased from $13,000 to $21,000.
This, he says, given the current situation, no matter whether one lives in an HDB or condo, their income will still drop and they’ll still need to continue feeding their family.
With these two changes, about 100,000 self-employed persons will automatically be eligible for the scheme.
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What If I’m Not Automatically Eligible
Previously, there are some people who might not have been working as a self-employed person for long enough.
Does this mean they’ll have to starve to death?
It’s mentioned on the MOM website that “other eligible SEPs may apply for SIRS. More details on SIRS and the application process will be released at a later date.”
Josephine Teo, the Minister of Manpower, has come out to talk about this.
She understood that some self-employed people who didn’t automatically qualify for the SIRS would be worried.
I would, too, if I’m leaving $9,000 on the table.
For people who are qualified but aren’t automatically qualified for it (i.e. not in WIS or didn’t have tax returns), they can simply apply for it.
The National Trades Union Congress (NTUC) and the Ministry of Manpower (MOM) will work on processing the applications and disbursement of the funds.
Eligible self-employed persons will also receive the money earlier with payment starting from May 2020.
Instead of $1,000 per month until Oct 2020, they’ll receive three payouts in May, July and Oct 2020.
Each payout will be $3,000.
For those who are interested in cash payouts, they’ll receive them as early as next week (14 Apr 2020). You can find out more here.
