Unemployment benefits have nothing to do with severance payments - severance is a lump sum payment that covers the period from when you would have been let go and when you were actually let go.
The key words there are "let go". You cannot draw Unemployment benefits if you leave a job of your own accord (in other words if you quit). However, if your employer fires you, lays you off, whatever term they use, if you are out of a job because the company has told you that your job is no longer available for any reason, then you are eligible for Unemployment. That's why you should never quit a job - always let them fire you so you can collect, regardless of the circumstances. Companies will sometimes hound and harass employees just to get them to quit so they can't collect Unemployment. They are complete and utter snakes.
Many people don't realize that Unemployment Benefits are funded in part by deductions from your own salary in the form of State taxes. It's your money - you'd better be able to collect it.
How much you get depends on how long you were employed by the company that let you go. They have to put in so much money for your Unemployment Benefits as well. Usually the longer you were there the more you get for a longer period of time.
It's important that you file ASAP as it takes time to get the ball rolling and get that first check, especially today with more people having problems.
The fact that you received severance pay, in itself, does not make you eligible for unemployment benefits. There are many reasons a person receives severance, including voluntarily leaving a job, so that is not a determinant.
Yes
Generally you will be disqualified for the amount of time that you receive severance. For example, if your weekly benefits are $400 a week and you earned $1200 severance, then you will be disqualified for a month.
Yes, you can collect after the severance pay ends. Refer to the Related link below under %65.102 "Application of the deductions - (k). The deductions also only occur from the benefits in the week actually received.
I did. I received lump sum severance and collected unemployment in NYC. Of course, the regular one week waiting period for unemployment still goes so make sure to apply immediately. Actually, if you think about it, a lump sum payment is really part of your compensation package, so as long you don't keep receiving a paycheck after that, then why shouldn't you be entitled to unemployment like everyone else? I imagine it would be different if you cotinue to receive a paycheck every week for a specified amount of time after you were let go though...
My wife is over 65....she collects Social Security, and is about to be offered a severance package as her current employer is downsizing. Is she still entitled to collect unemployment benefits, and can she go on medicaire ?
You can, but unemployment will deduct the amount from your unemployment benefits
A disability insurance policy can have two main categories of benefits: base benefit and supplemental benefit. Only the supplemental disability benefit can be reduced or offset by any other benefits received (including SS disability, Workers' Comp, or any other employer benefits). The base benefit will not be offset by any other benefits received.
Check out the article titled "Wages" in the Related Link below. Severance pay may be considered part of the 'wages' you receive and the timing of when received may be very important either beneficial or not. There is generally a waiting period of 7 days, and then you receive benefits 7 days after approval.
Absolutely
Yes you can. Tennessee considers severance pay as pay for previous work performed. See the section under 'DateLine - Q&A: True of False' in the Related Link below.
All states have different unemployment laws. However, mostly it will come down to if you are still receiving a paycheck regularly or if you received it in one lump sum. If you received your severance pay in one paycheck, you may file for unemployment now. If you are receiving it in installments (such as weekly, biweekly, monthly), you may be able to receive partial benefits if the amount is low enough. I would contact your local unemployment office and they will be able to direct you to the proper time to file.