Germany has several safety networks:<p>- Arbeitslosengeld is an unemployment insurance money paying 60% (alone) to 66% (families) of former income for one or two years. But you have to pay into insurance first. Payment is deducted automatically by payroll tax.<p>- Hartz IV offers Euro350+housing per month, if you are available for the job market.<p>Now for entrepreneurs Germany offers a Gruendungszuschuss. Thats 60% of the former income + Euro300 for half a year longer then Arbeitslosengeld. Unlike Arbeitslosengeld its completely tax free, and nearly without requirement.<p>Health, unemployment, and retirement insurance for self employed are voluntary. Most self employed take health insurance, and omit the the other two.<p>Last not least its possible to go to Hartz IV as a self employment. This is a pain in the ass, as one has to show them your books every month, to get the difference between income an Hartz IV money.<p>Now the drawbacks. Health insurance for self employed assumes that you at least earn Euro2000, and charges 15% = Euro300 per month minimum. They will charge more, if you earn more, but wont cache back, if you earned less.<p>Most entrepreneurs don't have retirement insurance, because its to expensive when you start your business, and once you lack retirement insurance by being unemployed or self employed, the payout is less then Hartz IV. Retirement insurance worked fine for my parents, who had been employed for more then 40 years. But I'm 47 now, worked only 3 years as a slave, and would get less then Euro100 for retirement.<p>There is an infamous politician, called von der Leyen, who came up with the internet Stopp sign, and who is proposing forcing self employed into retirement insurance. I hope she fails here again, as forcing retirement insurance would force many small self employed to close business and to go unemployed again.