Self-Employment

1. Self-Employment Strategic Service Delivery Component Disability Employment Initiative

2. The following chart highlights the core elements associated with this service delivery component and includes the names of the states that will be implementing this approach: Access the following link to learn what each DEI project proposed in their statement of work around this component: http://dei-ideas.org/chapter2-1/page5a_se.cfm

3. Self-Employment • Self-employment is an employment alternative for individuals seeking a new or better career. • Self-employment strategies for youth and adults with disabilities are consistent with the U.S. Department of Labor’s (DOL) policy guidance in this area. • Self Employment for Workforce Investment Act (WIA) Clients http://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=1684 • This Guidance was issued to encourage the workforce investment system to make entrepreneurial training opportunities available for people interested in self-employment under Title I of the Workforce Investment Act.

4. Barriers to Entrepreneurship for People with Disabilities • Possible loss of cash benefits from Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI) disability programs. • Possible loss of health care benefits associated with cash programs. • Possible loss of housing and other subsidies. • Inability to access capital needed to start a business because of: • poor credit ratings • lack of assets to use as collateral • cash benefit programs that do not provide sufficient funds for both living expenses and savings • income support programs that limit the amount of assets a person can accumulate.

5. Barriers to Entrepreneurship for People with Disabilities • Lack of information on how to start a business or write a business plan. • Programs for people with disabilities that frequently do not support or encourage self-employment and entrepreneurship. • Programs promoting self-employment and small business development historically have not been to open to people with disabilities.

6. Benefits of Self-Employment forPeople with Disabilities • Despite the barriers, many people with disabilities run successful businesses. Self-employment can provide: • Solutions to many of the employment challenges such as difficulties with transportation, workplace discrimination, and the absence of available jobs in which the individual is skilled. • The most direct route to achieving the individual's career goals. • A sense of achievement and satisfaction that might not otherwise come from other employment options. • Individuals with disabilities who receive income support, such as SSI and/or SSDI can increase their income while staying within the income and asset requirements of those programs.

7. Self-Employment Initiative • In 2006, DOL’S Office of Disability Employment Policy initiated self-employment initiatives to promote a systems-change approach to increase self-employment opportunities for persons with disabilities: • START-UP/USA (Self-Employment Technical Assistance, Resources and Training) = national technical assistance center -- http://www.start-up-usa.biz/ • Three sub-national projects: Alaska, Florida and New York – http://www.start-up-usa.biz/sites/index.cfm

8. START-UP/USA • Documented the viability of self- employment for people with disabilities, including those with significant disabilities who receive Social Security Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI) benefits. • Resulted in the establishment of a range of businesses by individuals with disabilities.

9. Self-Employment Opportunities for People with Disabilities • A key to developing business ownership is to incorporate business supports from public and private sector resources. • Social Security work incentives, beneficial tax provisions, and individual development account (IDA) options can be blended and braided to better meet the entrepreneurial goals of individuals with disabilities. • There are a number of self-employment assistance resources and organizations to assist persons with disabilities in becoming self-employed or in operating their own businesses.