Funding Options Available For Freelance Mums-To-Be
Finance 288

Funding Options Available For Freelance Mums-To-Be

Funding Options Available For Freelance Mums-To-Be

A report by IPSE has shown a massive rise in number of self-employed mothers. They account for one in seven of all self-employed people in the UK. Freelancing gives an opportunity of working at your own comfort, but this is not the only reason for women becoming more inclined to choose freelance career. While gender pay gap has accounted for low wages, leaving them spending a large portion of money in travelling, freelancing seems to be a great option. The report has revealed that technical and professional occupations are two large areas where the largest numbers can be found.

A better pay, flexible hours and the chance of working from home are offering that endeared freelancing to women., but what about family expansion. The idea of taking maternity leave can be intimidating because you do not receive statutory monetary pay. As a freelancer, you can borrow money with direct lenders, but you will not have an option other than unemployed loans. Further, they may not be stretched over a longer period. Well, there are still funding options available to you.

Maternity allowance

These allowances are available for freelance mums-to-be. To qualify for these allowances, you need to have been working for at least 26 weeks before your baby is due and earning £36 weekly for at least 13 weeks. You will get £145.18 a week or 90% of your average weekly earnings whichever is the lower amount for 39 weeks if you meet the eligibility criteria. The weekly amount will go down to £27 if you do not qualify for the full amount. To know how much amount you can receive, use maternity pay calculator. The good thing is the amount you receive is not taxable.

You can also get a one-off payment of £500 to from the government to contribute to the cost of having a baby. It is known as Sure Start Maternity Grant. However, you need to apply for a pregnancy and baby payment if you live in Scotland. You are entitled to this grant when you are expecting the first time, or you are going to have a multiple birth and have children already and you or your spouse are already on a certain benefit.

NHS dental care and free prescriptions

When you are having a baby, your financial condition becomes tighter. It is important that you take advantage of all benefits available as much as possible. Like the employed mothers, you are also entitled to free NHS dental care and prescriptions for up to a year after the baby’s birth. You can also claim child benefit, which is £20.70 per week for your first child and £13.70 for your second child. This benefit is not taxable as long as you or your spouse are not earning over £50,000 after paying taxes.

Maternity leave personal loans

Maternity leave personal loans can provide you with extra cash when your money starts going in medical expenses, but you need to apply for these loans before taking off to have a baby. These loans can be expensive and you need to have a good credit rating. Instead, before you go on maternity leave, you should take out short-term guaranteed acceptance loans in UK. If you apply for this funding source after leaving work, you will have to show another source of income such as rent or side gigs. Otherwise, the lender will turn down your application.

The bottom line

Apart from these funding sources, you should take stock of your cash if you have been planning pregnancy. Start chasing your unpaid invoices. This will prevent hassle during maternity leave and give a boost to your bank balance. Try to make a realistic budget and ensure that you will stick to it to avoid falling deeper into debt. Buy your baby’s accessories from cheaper stores to save pennies. Savings become more crucial if you have taken out a debt.

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Finance 288