The transition premium: changes as from 1 April 2021

The 'transition premium' is a premium to support job-seekers aged 45 and over who want to start their own business. From 1 April 2021, self-employed persons under the age of 45 are also able to apply for this premium. However, the amount of the premium is reduced.

For whom?

Before 1 April, the transition premium only applied to self-employed persons meeting the following conditions:

• You became self-employed in a main occupation less than 3 months ago.
• You were at least 45 years old in the month you became self-employed.
• Your business is established in the Flemish Region. 
• You passed a pre-start-up programme.
• The day before you became self-employed in a main occupation, you were registered with the VDAB (Flemish employment service) as a jobseeker and you were entitled to unemployment benefit. 

However, from 1 April 2021 to 31 March 2022, the age requirement of 45 years will not apply, and younger entrepreneurs can therefore also make use of this premium.

Amount

The transition premium is granted monthly for a maximum of 24 months.

For budgetary reasons, the amount of this premium is reduced. Entrepreneurs under 45 years of age will receive the lower amount immediately from 1 April, for other entrepreneurs, the lower amount will apply between 1 June 2021 and 31 March 2022.

The transition premium cannot be combined with subsidies or premiums for self-employed persons starting their own business granted by other regional authorities than the Flemish government.

Application

The application will be made through the WSE department of the Flemish government via the following link.

Source:

• Draft decision of the Flemish Government amending the decision of the Flemish Government of 23 February 2018 implementing the decree of 22 December 2017 concerning a premium to stimulate the transition of jobseekers to entrepreneurship, regarding the target group and premium amounts;
• https://www.vlaanderen.be/transitiepremie/transitiepremie-wat-en-voor-wie