Will CalWORKs stimulus payment be taken to pay off unemployment overpayment debt?
I'm currently receiving CalWORKs for me and my kids, and I heard there's a stimulus payment coming for CalWORKs recipients. But last year I had unemployment for a few months and they later said I was overpaid about $1,200 that I still haven't paid back. Will they take my CalWORKs stimulus to pay that EDD debt? I'm really counting on that money for my kids' school supplies and winter clothes. Has anyone been in this situation before? Do CalWORKs and EDD share information about debts?
16 comments


Sofia Torres
i think there diffrent programs so they shoudnt take it. when i got my cash payment last year i had child support arrears but they didnt touch it. unemployment is completely seprate dept then calworks.
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Dylan Campbell
•That's a relief if true! But child support is different from unemployment, so I'm still worried. My CalWORKs worker never answers the phone when I call with questions like this.
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Dmitry Sokolov
Generally, your CalWORKs benefits (including any special payments or stimulus) cannot be intercepted by EDD for unemployment overpayments. They are different programs with separate funding sources. CalWORKs is administered by CDSS while unemployment is through EDD. However, if you owe an overpayment to CalWORKs itself, that's different - they could recoup funds from your regular benefits using an established repayment plan. But for EDD overpayments, they typically collect through tax refund intercepts, payment plans, or wage garnishment if you're working. Did EDD send you a Notice of Overpayment with repayment options? You should respond to that specifically.
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Dylan Campbell
•Yes, I got a notice from EDD about 3 months ago. They gave me payment plan options but I haven't set one up yet because I can't afford any payments right now. I was worried they might just take it automatically from other benefits.
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Ava Martinez
OMG I'm going through the EXACT same thing!!!! I owe EDD like $3400 because they said I didn't report some income or something and now I'm terrified they're going to take EVERYTHING I get. They already took my tax refund last year which was supposed to help me fix my car. The system is RIGGED against us no matter what we do!!!!! Has anyone actually gotten this stimulus payment yet????
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Miguel Ramos
•They always find a way to take money from the people who need it most smh
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QuantumQuasar
When my cousin had an EDD overpayment they took it out of her tax return but not from her CalWORKs. I think it depends on if you checked the box saying they could take it from other government benefits maybe? I'd check your paperwork.
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Zainab Omar
Hey there, I've seen this situation before. EDD and CalWORKs operate as separate programs, and they don't automatically share information about debts to facilitate collections. However, there is an important distinction to make here. For federal stimulus payments (like the ones from IRS during COVID), those could potentially be intercepted for certain debts. But for CalWORKs special payments or grants that are administered at the state level, EDD typically cannot automatically intercept these. I'd recommend calling your county worker directly to confirm, but you'll probably find yourself waiting on hold forever. I recently discovered a service called Claimyr (claimyr.com) that helps you skip the phone queues when calling county benefit offices. They have a video showing how it works: https://youtu.be/jzISHxCPLwE. I used it last month when I had a question about my reporting period and got through in minutes instead of hours.
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Dylan Campbell
•Thank you for explaining the difference! I'll definitely try to get confirmation from my worker. Waiting on hold is impossible with my work schedule and kids, so I might check out that service. Has anyone else used it before?
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Connor Gallagher
I work with benefit recipients and can clarify a few things: 1) CalWORKs benefits (including special payments/stimulus) are protected from most collection actions except for CalWORKs-specific overpayments 2) EDD debt collection works through: tax intercepts, voluntary payment plans, or wage garnishment if you're employed 3) These agencies don't have automated systems to take money from each other's benefit programs My advice: Set up even a minimal payment plan with EDD ($10-25/month) to prevent more aggressive collection methods later. Also, be sure to report the stimulus payment on your next SAR7 or recertification, as required - but receiving it won't affect your regular CalWORKs eligibility. Hope this helps!
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Ava Martinez
•Wait we have to REPORT the stimulus on the SAR7??? Won't that make our benefits go down?? Nobody told me that part!!!
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Connor Gallagher
•Most one-time payments like stimulus funds are exempt from income reporting for CalWORKs, but it's always best practice to list it and note that it's a one-time payment. Your worker will know how to code it correctly so it doesn't affect your benefits. When in doubt, report it - better than risking an overpayment situation yourself.
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Dylan Campbell
Thanks everyone for the responses. I'm feeling a bit better now. I'm going to try to talk to my worker to confirm, and maybe look into setting up a small payment plan with EDD like someone suggested. It's good to know they shouldn't be able to just take my CalWORKs money automatically.
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Miguel Ramos
my sister had same problem they didnt take her calworks but the next year they took her tax return without telling her first so watch out for that part
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Dylan Campbell
•Good to know - I'll be careful about the tax return thing. I usually use that money for catching up on bills.
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Ava Thompson
I went through something similar last year. EDD said I owed them about $800 from unemployment overpayment, but when I got my CalWORKs emergency assistance payment, they didn't touch it. The two systems really don't talk to each other that way. However, I did end up setting up a $15/month payment plan with EDD after they started sending threatening letters about wage garnishment (even though I wasn't working at the time). It was worth it for peace of mind. Also, definitely keep all your paperwork about the stimulus payment - you'll need it for your next reporting period. Your CalWORKs worker should be able to tell you exactly how to report it so it doesn't mess with your regular benefits.
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