Additional Financial Aid up to €4k Introduced for Self-Employed

The Luxembourg government cabinet yesterday approved new financial aid for independent workers affected financially by the COVID-19 pandemic. 

This additional financial assistance will take the form of a non-repayable, one-off payment of between €3,000 and €4,000. The fixed amount will depend on taxed revenue and may be granted regardless of the number of employees.

This aid is in addition to the certified emergency compensation introduced on 8 April 2020 to support the self-employed. It will also benefit insurance brokers and agents who were excluded from the scope of the first aid. The condition of not receiving professional income exceeding the threshold of 2.5 times the minimum social wage also applies here.

Lex Delles, the Minister for Small and Medium-Sized Enterprises, commented: “We are ready to take all the necessary measures to support businesses and the self-employed in difficulty. The new non-reimbursable allowance is an important tool to overcome this period of crisis. This aid takes into account the income bracket in which the respective self-employed person is, which guarantees targeted and equitable support”.

Further information is available on the Guichet.lu website, where application forms will be available from next Tuesday 12 May 2020.

To date, the Directorate General of Small and Medium-Sized Enterprises has paid €31.87 million to very small businesses and the self-employed as part of aid for companies affected by the financial consequences of the COVID-19 crisis.