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Carmen Ortiz

Can freelancers get unemployment in California? My EDD claim got complicated fast

So I've been doing freelance graphic design work for about 4 years now, mostly project-based contracts through various agencies and a couple of direct clients. Last month my two biggest clients both dropped their contracts with me within the same week — one said budget cuts, the other just ghosted me completely. Together they were paying me about $6,200 a month so losing both at once basically wiped out my income. I decided to file for California EDD unemployment benefits because I'd heard that the rules around freelancers changed and you might actually qualify now. But honestly the whole process has been confusing from the start. When I filed, I wasn't sure whether to list myself as self-employed or as a contractor. I ended up putting contractor because that's technically what I was — I had W-2s from one agency and 1099s from the other two clients. My claim has been sitting in adjudication for almost two weeks now and I have no idea what that means or whether I'm going to get approved or denied. The UI Online portal just shows a pending status with no detail. I've tried calling EDD multiple times but can't get through to an actual person. Basically my question is: can freelancers actually get unemployment in California? And if you got approved as a contractor or freelancer, what did your situation look like? I'm trying to figure out if I'm wasting my time or if there's actually a path forward here.

Short answer: it depends heavily on how you were classified and whether you paid into the state unemployment insurance system. If you received W-2s from any employer, those wages count toward your base period earnings and you may absolutely qualify for regular UI benefits through California EDD. The 1099 income is a different story — that's treated as self-employment income and generally doesn't count toward your UI claim. The key thing to know is that California EDD looks at your base period wages, which covers roughly the first four of the last five completed calendar quarters. If your W-2 income from that agency was substantial enough to meet the minimum earnings threshold, you could qualify based on that alone even if a chunk of your work was freelance 1099. The adjudication hold on your claim is most likely because EDD needs to verify your employment status given the mixed income situation. This is actually pretty common with freelancers and contractors. It doesn't automatically mean denial — it just means they're reviewing the details.

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This is really helpful, thank you. One of my W-2 employers paid me around $38,000 last year before we ended our contract. Does that sound like enough to meet the threshold?

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Yes, that's well above the minimum earnings threshold for California UI. You need to have earned at least $1,300 in your highest-earning quarter or at least $900 in your highest quarter AND total base period wages of 1.25x that amount. $38k spread across the year easily clears those minimums. Your W-2 wages alone should support a valid claim.

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wait so only the w2 part counts? i did like all 1099 last year and i thought i could still get unemployment that seems unfair

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The adjudication status is stressful but honestly super common with any kind of non-traditional employment situation. EDD basically flags anything that doesn't look like a standard 9-to-5 W-2 job for additional review. Doesn't mean you're denied, just means someone has to manually look at your file. If you've been sitting in adjudication for two weeks with no movement and can't get anyone on the phone, I'd really recommend trying Claimyr. It's a service that helps you actually get through to a live EDD agent instead of just getting disconnected or hitting the busy signal wall. I used it when my claim was stuck in adjudication and got through to someone within a few hours. The agent was able to tell me exactly what was causing the hold and what documentation I needed to upload. Site is claimyr.com and there's a video demo at https://youtu.be/JmuwXR7HA10 that shows how it works. Honestly would have saved me weeks of stress if I'd found it sooner.

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I've never heard of this before. Is it legit? I'm desperate at this point, I've called EDD like 11 times and haven't gotten through once.

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100% legit, I was skeptical too. They basically help you navigate the phone queue to actually reach someone. Once I got through, the whole adjudication issue got sorted in one call. Way better than redialing for weeks.

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seconding this, my cousin used it when her claim was stuck and she said it was the only thing that actually worked after she tried everything else

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I'll look into it. At this point anything is worth trying. I have bills stacking up and zero income coming in right now.

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I had almost the exact same situation last year. Mixture of W-2 and 1099 income, lost a big client, filed for EDD. Here's what I learned the hard way: When you file weekly certifications, be VERY careful about how you report any freelance work you're doing while collecting benefits. If you pick up even a small project during a week, you have to report those earnings. EDD calculates partial benefits based on your earnings that week. A lot of freelancers mess this up and end up with overpayment notices later which is a huge nightmare. Also make sure you're meeting the job search requirements — California currently requires you to actively seek work each week and document your contacts. For freelancers this gets weird because you might be pitching clients which counts, but you need to log it properly.

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Oh I didn't know about the job search logging requirement. What counts as a valid job search contact for a freelancer? Like does sending a proposal to a potential client count?

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From my experience yes — reaching out to potential clients, responding to job postings on freelance platforms, networking contacts specifically looking for work opportunities, all of those can count. The main thing is document everything. Date, company or person contacted, method of contact, position or type of work sought. EDD can ask for this log at any time.

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the job search thing tripped me up too. i thought freelancers were exempt or something but nope they want to see the same number of contacts as everyone else

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okay wait i'm confused about something. if you're a freelancer aren't you technically self employed and like... don't you have to buy your own unemployment insurance or something? i thought regular EDD was only for people whose employers paid into the system

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This is a really common misconception. If you worked as a W-2 employee at ANY point during your base period, your employer paid into the UI system on your behalf through payroll taxes. You don't have to do anything separately — those contributions are already there. The confusion usually comes from 1099 self-employment income, where no one pays UI taxes, so that income doesn't generate UI eligibility on its own.

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ohhhh okay that makes way more sense. so even if most of his income was 1099 the w2 part still built up enough to qualify. got it

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yeah i learned this the hard way lol, i went like 2 years doing all freelance 1099 and assumed i had unemployment coverage but when i lost clients i had nothing to fall back on

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Can I ask a follow-up question here because I'm in a similar boat. I did freelance video editing for one company basically full time for 18 months but they classified me as an independent contractor even though I worked exclusively for them, had set hours, used their equipment. They gave me a 1099. My contract just ended. Do I still have NO recourse here or is there something I can do?

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What you're describing sounds like it could be worker misclassification. California has very strict rules about this under AB5 — if you were essentially functioning as an employee (set hours, exclusive work, employer's equipment) but classified as a 1099 contractor, your employer may have violated state law. You can file a complaint with the EDD about potential misclassification, and if it's determined you were actually an employee, you could potentially access UI benefits based on that corrected classification. It's a longer process but absolutely worth looking into.

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I had no idea AB5 could be used this way. I always thought I was just stuck because of the 1099. Going to look into this more seriously now, thank you.

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Definitely file the misclassification complaint. I know someone who got their classification corrected and got back UI benefits retroactively. It's a real thing.

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AB5 changed SO much for freelancers in CA. the state is one of the strictest about this in the country

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I've been collecting EDD as a freelancer/contractor for about 3 months now and want to share a few practical things nobody told me before I started: 1. Set up your UI Online account immediately if you haven't already and check it constantly. Any correspondence from EDD goes there first. 2. Your benefit amount is based only on your W-2 wages from the base period — 1099 income is excluded from the calculation entirely. 3. File your weekly certifications on time every single week. Miss one week and you have to call in to reopen your claim which is a whole other ordeal. 4. Keep a detailed spreadsheet of any freelance income you earn each week even if it's small. You'll thank yourself later. 5. The job search log is non-negotiable. I do mine in Google Docs and it takes maybe 10 minutes a week.

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This is exactly the kind of practical rundown I needed. Thank you for taking the time to write this out. Question on point 3 — what happens if you miss a week of certifications? Is the whole claim gone or just that week?

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Just that week usually but you do have to call to reopen. And getting through to EDD to do that is genuinely painful, hence why missing a week is such a headache. Just set a weekly phone alarm and don't skip it.

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Also worth noting: even if you earn $0 in a week you still need to certify that week. Some people assume if there's nothing to report they can skip it — that's wrong.

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this whole thread is making me realize i have no idea what i'm doing with my own claim lol. filed 3 weeks ago as a freelancer and haven't done ANYTHING since then. is it too late to start filing weekly claims or did i just lose those weeks forever

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Log into UI Online right now and check if you have pending certifications. California EDD typically allows you to certify for weeks you've missed for a limited window — usually around a few weeks back. If it's been exactly 3 weeks since you filed you may be able to go back and certify for those weeks retroactively through the portal. If the option isn't there, you'll need to call EDD to have those weeks manually opened, which unfortunately requires getting through to an agent.

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oh no i need to get on this right now. going to check ui online immediately. thank you!!!

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If you can't get through by phone to reopen those weeks, seriously look into Claimyr (claimyr.com) — getting a live agent to manually reopen missed certification weeks is one of those things you really do need a human for, and they help you actually reach someone instead of getting the constant busy signal.

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I work in HR and just want to add some clarity on the W-2 vs 1099 question since I see some confusion in this thread. The distinction that matters for California UI eligibility is whether SDI (State Disability Insurance) and UI taxes were withheld from your paycheck. W-2 employees always have this withheld. 1099 contractors do not. That's the fundamental reason why W-2 wages count and 1099 income generally doesn't. There are edge cases around misclassification as others mentioned, but for a standard freelancer with mixed income, only the W-2 portion generates UI eligibility.

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This actually clarifies everything. The fact that UI taxes are literally deducted from W-2 paychecks makes it make sense why those wages count. I never really thought about where that money was going.

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so this is why when you're fully self employed 1099 you're basically on your own for everything including unemployment. kind of a rough deal for freelancers

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Correct. Fully self-employed individuals in California don't pay into the UI system through their work, so they don't accumulate eligibility. It's one of the major financial risks of full self-employment that a lot of people don't think about until they need benefits.

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ugh this is me completely. did all 1099 for years thinking i was fine and then lost everything in a month and had zero safety net. wish someone had told me this earlier

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slightly off topic but does anyone know if being on standby status is an option for freelancers? like if i have a client who might bring me back in a few months can i request standby so i dont have to do the job search requirements

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Standby status in California UI is typically granted when your employer has indicated you'll be returning to work within a specific timeframe — usually associated with a temporary layoff from a traditional employer. For freelancers the situation is murkier. If a client who treated you like an employee (W-2 relationship) has confirmed they'll bring you back, it might be worth asking EDD about standby. If it's a 1099 client relationship, I'd be cautious about claiming standby — EDD may not recognize that as meeting the standby criteria.

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okay that's helpful. my situation is w2 so maybe i'll ask about it. i just really don't want to have to do all the job search logging if i know i'm probably going back in 2 months

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Even if you don't qualify for standby you can definitely still certify and collect while doing the minimum required job search contacts. 3 contacts per week isn't that bad once you get a system going

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Has anyone dealt with getting an overpayment notice after being a freelancer collecting UI? This is my nightmare scenario. I'm terrified I'm going to accidentally not report something correctly and end up owing EDD thousands of dollars

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It's a real risk but totally avoidable if you're careful. The most common freelancer mistake is underreporting weekly earnings. Earnings need to be reported in the week they were EARNED (work performed), not the week you actually received the money. So if you completed a project on a Tuesday but got paid three weeks later, you report those earnings in the week you did the work.

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Wait, earned vs received... I didn't know that distinction. That's really important. I've been thinking of it as when the money hits my bank account.

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Yeah this trips up SO many freelancers. Report it in the week earned, not received. If you've been doing it the wrong way, you might want to call EDD and clarify before it becomes a bigger issue.

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This is new information for me too. Really important to know before I start certifying.

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I went through adjudication for 5 weeks when I filed as a contractor last year. Five. Weeks. of no income, no explanation, no one answering the phone. I called EDD every single morning for 2 weeks straight before I finally found a way to get through. What finally worked for me was using Claimyr. My roommate mentioned it and I was honestly pretty skeptical but at week 3 with no movement I was desperate. Got connected to an actual EDD agent within a couple hours. Turns out my claim had a flag on it because of the employer/contractor classification question and the agent was able to manually move it forward and tell me exactly what documentation to upload. Claim was approved within 4 days after that call. If you're stuck in adjudication and can't get through on your own, check out claimyr.com — there's a video at https://youtu.be/JmuwXR7HA10 that explains how it works. Five weeks of waiting and it got resolved within days once I actually talked to someone.

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Five weeks is terrifying. I'm already at 2 and losing my mind. Going to check out Claimyr today because I cannot keep doing the calling thing on my own.

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wait did you have to upload documentation even after you filed? i thought once you submitted everything was good

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Yeah unfortunately adjudication sometimes triggers requests for additional documentation that they don't communicate clearly through the portal. The agent told me exactly what was missing — copies of my contracts basically. Once I uploaded those through the UI Online document upload tool it moved pretty quickly.

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This is actually really useful to know. I've been waiting for EDD to contact me if they need something but maybe I should be more proactive about getting through to someone.

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quick question — when i certify weekly as a freelancer, what do i put for employer name if i'm between clients and literally have no income that week? like the certification asks if you worked and for who

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If you did zero work that week you certify that you had no earnings and no work performed. You don't need to put an employer name for weeks where you had nothing. The form is specifically asking about work done during THAT certification week, not your overall employment situation.

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okay phew. i was panicking thinking i had to somehow list an employer every week

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You'll answer no to the 'did you work' question and it'll skip the employer fields. Pretty straightforward for zero-income weeks.

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There's actually a really interesting middle ground situation that nobody's talking about: platform workers. If you drive for rideshare or deliver for gig apps in California, thanks to the ongoing Prop 22 / AB5 legal situation your eligibility is actually still being litigated. Different from traditional freelancers but worth mentioning for anyone in that category — your situation may have different rules than a standard contractor.

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oh wow i didn't even know that was still unresolved. i have a friend who drives for rideshare and recently lost work hours. didn't realize there could be a UI question there

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Yeah the classification of app-based workers in California is genuinely complicated and still evolving. I'd recommend anyone in that situation specifically contact EDD to ask about their eligibility rather than assuming either way.

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Good point. The Prop 22 situation does create a specific carve-out that's different from general independent contractor rules under AB5. Gig workers deserve a separate, dedicated conversation because the rules genuinely are different for them.

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not gonna lie reading this thread made me feel so much better about my own confusion. i've been beating myself up thinking i was the only person who had no idea how freelance unemployment works. seems like literally nobody explains this clearly and everyone is just figuring it out on their own

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Same honestly. I was embarrassed that I didn't understand the system better before I needed it. Turns out it's actually complicated and the EDD website doesn't exactly make it simple.

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the california edd website could really use a dedicated freelancer/contractor guide that's written in plain english. just saying

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seriously. even a simple FAQ specifically for mixed W-2 and 1099 situations would save so many people so much stress

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One thing I want to flag that I haven't seen mentioned: if you were working as a freelancer but your work was primarily for one client who gave you direction on HOW to do the work (not just the outcome), provided the tools, set the schedule, etc., California's ABC test under AB5 might actually mean you were an employee regardless of how they classified you. This is genuinely worth looking into before you just accept that your 1099 income doesn't count. I know three people personally who successfully got their classification changed and received UI benefits they initially thought they weren't eligible for.

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This is literally my situation. One client, their equipment, set schedule, ongoing relationship. I mentioned the misclassification question earlier in this thread and this confirms I should really pursue it.

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Pursue it. File the form with EDD. The worst that happens is they say no. The best is you get UI benefits you're legally entitled to. AB5 was specifically designed to protect workers in exactly your situation.

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The AB5 misclassification angle is under-discussed in general. A LOT of people in California are misclassified as 1099 when they legally should be W-2 employees, and they don't even know they potentially have UI eligibility.

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UPDATE: OP here — I finally got through to an EDD agent (used Claimyr after seeing it mentioned in this thread, got connected in about 90 minutes). The agent explained everything. My claim was flagged because of the mixed income situation exactly like several people here predicted. She told me that my W-2 earnings from the agency are sufficient to support a valid claim and that the adjudication was just standard review for contractor situations. She asked me to upload my most recent contract termination notice and my 1099s for reference. She said to expect a decision within 5-7 business days. Feeling SO much more optimistic. Thank you everyone in this thread, genuinely.

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Great news! This is exactly the outcome you'd hope for. Once the agent manually reviews and moves the file forward the decisions tend to come through quickly. Make sure you keep certifying every week while waiting for the official determination.

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I'm so glad Claimyr helped! Same exact experience I had — once you actually talk to a human the whole thing suddenly makes sense and moves forward. Good luck with the decision!

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This is the best possible update. Keep certifying weekly and upload that documentation ASAP. You're in a good spot.

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This thread has been incredibly helpful for me and clearly for a lot of others. Thank you to everyone who shared knowledge here. The California EDD system is complicated especially for freelancers and having real people explain it makes a huge difference.

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Bit late to this thread but wanted to add my experience for anyone who finds this later via search. I'm a freelance copywriter and went through this exact process 6 months ago. My claim was approved based on W-2 income from a content agency I'd worked with for 2 years. A few things I wish I'd known: - Your maximum weekly benefit amount is determined by your highest-earning quarter in the base period, not your average - California's current max weekly UI benefit is around $450 (check EDD's site for current figures) - Adjudication for mixed income situations typically runs 3-6 weeks, sometimes longer - You can check your "Notice of Computation" on UI Online to see what EDD calculated as your wage base Hope this helps someone in the future searching for freelancer unemployment California info.

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this is exactly the kind of practical detail that should be in an official guide somewhere. saved this comment

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the highest quarter vs average thing is interesting. for freelancers whose income is really uneven across the year that could make a big difference

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Exactly — if you had one really high-income quarter in your base period, your benefit amount is calculated off that. For freelancers with variable income it can actually work in your favor compared to someone with perfectly even monthly income.

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does anyone know if you can collect california ui while actively looking for full time employment but also still taking small freelance projects? like i want to move toward a traditional w2 job but i might take a freelance gig here and there while job hunting

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Yes, this is actually the normal situation EDD anticipates. You can earn up to 25% of your weekly benefit amount before it starts reducing what EDD pays you. Anything above that and your benefit is reduced dollar for dollar. But you can absolutely take small projects while collecting and job searching — just report all earnings accurately when you certify.

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Oh the 25% threshold is good to know. So if I make a small amount on a project I might not even lose anything from my weekly benefit. That's way better than I thought.

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Correct — and reporting earnings honestly is critical. EDD cross-checks reported income against employer payroll records and 1099 filings. Small unreported amounts can and do lead to overpayment notices later.

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