The new aid responds to pressing needs of this category of workers who cannot benefit from short-time working but have experienced a fall in turnover as a result of the pandemic. Shutterstock

The new aid responds to pressing needs of this category of workers who cannot benefit from short-time working but have experienced a fall in turnover as a result of the pandemic. Shutterstock

The non-refundable grant for the self-employed was announced on Wednesday during a webinar organiesd by the House of Entrepreneurship.

The aid responds to pressing needs of this category of workers who cannot benefit from short-time working but have experienced a fall in turnover as a result of the pandemic.

Economy ministry advisors Gilles Scholtus explained that €3,000 will be issued to self-employed workers whose gross salary is between 0.5 and 1.5 times the social minimum wage (€2,141.99). Self-employed people who earn between 1.5 and 2 times this amount will receive €3,500 while those who receive between 2 and 2.5 times the minimum social wage will be entitled to €4,000.

The sum is not taxable or subject to social security contributions.

To be eligible, applicants must be self-employed as their main activity on 15 March 2020 and meet the following criteria:

  • be affiliated as a self-employed person to the Joint Social Security Centre (CCSS);
  • contribute on the basis of 0.5 times the minimum social wage and 2.5 times the maximum. This is the gross wage;
  • a residence permit is no longer required. But, it is necessary to be legally established and to have the necessary authorisations and approvals for the activity to be carried out.

In contrast to the first aid for the self-employed of €2,500, announced on 8 April 2020, the new aid is also intended for insurance agents and brokers. The aid can be claimed with all other announced aids. These would include the €5,000 subsidies for companies that closed because of the pandemic, €2,500 for the self-employed and from €5,000 to €12,500 for companies experiencing a loss of turnover.

Who is excluded?

Health professionals, such as veterinarians, are not eligible. But those who carry out paramedical activities and who are registered as self-employed with the CCSS are. The cultural sector and artists are also excluded.

Also self-employed people who own several companies would not be able to receive the aid more than once.

How to apply?

Applications should be made via the MyGuichet.lu website. The specific form will be available from Tuesday 12 May 2020.

Applicants must have a 2019 income certificate from the CCSS and a RIB in the name of the self-employed person, not the company.

Applications take up to three weeks to process. There is no deadline but self-employed people are urged to apply as soon as possible for the emergency aid. Rejected applications can be contested by emailing [email protected].