One of the quiet shocks of self-employment: the safety net that came with a job is gone. No sick pay when you're ill, no maternity or paternity pay, no employer to carry you through a bad month. But "no statutory pay" isn't the same as "nothing" — there's a patchier safety net you need to know about before you need it.

If you're ill

There's no Statutory Sick Pay for the self-employed (SSP is an employee thing). Instead:

  • New Style Employment and Support Allowance (ESA) — if you can't work due to illness or disability and have a sufficient recent National Insurance record, you may be able to claim ESA. It's modest, but it exists.
  • Universal Credit — a means-tested backstop depending on your household income and savings.
  • Income protection insurance — the real answer for many: a policy that pays a monthly income if you can't work through illness or injury. Premiums depend on your job and health, and it's the closest thing to buying yourself sick pay.

If you're having a baby

No Statutory Maternity Pay — but self-employed mothers can usually claim Maternity Allowance instead. It's payable for up to 39 weeks, at a standard weekly rate (around £187 a week in 2025/26 — check the current figure) or 90% of your average earnings if that's lower. You generally qualify if you've been self-employed and paying (or treated as paying) Class 2 National Insurance for at least 26 of the 66 weeks before your due date. Self-employed fathers and partners don't get statutory paternity pay, though Universal Credit may help.

The National Insurance link Several of these benefits depend on your NI record — which is exactly why keeping your tax and NI up to date matters beyond just avoiding penalties. Gaps in your record can quietly cost you benefit entitlement years later. We keep an eye on this as part of managing your tax.

Build your own net

Because the statutory net is thin, self-employed people who sleep well have usually built their own:

  • An emergency buffer — aim for three months of personal costs in a separate pot (a Mettle account makes pots easy). It's the difference between a bad month and a crisis.
  • Income protection and, if others depend on you, life cover — cheaper than most people assume, and deductible or personally worthwhile depending on the policy.
  • Knowing what you'd claim — so a shock means filling in a form, not discovering a gap.

How we help

We make sure your NI record supports your entitlements, factor protection into your numbers, and connect you (via Buzz Financial Services) with proper advice on income protection and cover. The safety net is thinner when you work for yourself — planning for it is part of doing this properly. Get started.