EDD claim as 1099 contractor for 2 years - do I qualify for unemployment?
Just got blindsided today—my company terminated my contract after working with them as a 1099 contractor for over 2 years. I received the same monthly payment the entire time, had set hours, and used their equipment. Now I'm suddenly without income with three kids to support. Can I even file for unemployment as a contractor? I've heard something about being 'misclassified' if you're treated like an employee but paid as 1099. The company controlled when and how I worked, gave me tasks daily, and I only worked for them. Has anyone successfully filed for EDD benefits after being a long-term contractor? Or are there any labor laws I should look into since I was essentially treated like an employee but without benefits? This job was our family's main source of income, and I'm really worried about making ends meet while finding something new.
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Hunter Edmunds
Sounds like you might be misclassified as an independent contractor when you were actually functioning as an employee. This happens a lot. The EDD uses something called the "ABC test" to determine if you were truly an independent contractor or actually an employee: A) Were you free from company control? B) Was the work outside the company's usual business? C) Do you have your own independent business doing this type of work? If the answer is "no" to any of these, you could qualify for UI benefits. File a claim and let EDD make the determination. They'll contact your former employer and investigate. I went through this last year and was approved after initially being denied.
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Jade O'Malley
•Thank you for explaining this! Based on your ABC test, I think I was definitely misclassified. I had set hours (9-5), used their software, and couldn't work for other clients due to time constraints. Do I just file a regular UI claim online and explain this situation, or is there a special process for potential misclassification cases?
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Ella Lewis
DONT LISTEN TO PPL SAYING U CANT FILE!!! My brother was 1099 for a marketing company for 18 months and got approved for benefits after they cut his contract!!! The EDD investigted and found he was misclasified!!! His boss was FURIOUS but had to pay all the back taxes and penaltys too LOL!!! These companies think they can just call u "contractor" to avoid paying benefits and taxes but EDD isnt stupid. FILE YOUR CLAIM TODAY!!!
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Andrew Pinnock
•This happened to my cousin too! Her boss called her a "contractor" but she worked in the office with regular hours like everyone else. EDD approved her and the company had to pay big fines.
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Brianna Schmidt
Yes, you should file for unemployment. In California, many workers are misclassified as independent contractors when they're legally employees. Based on what you described - consistent pay, set hours, using their equipment - you have strong indicators of an employment relationship. When you file your claim, be very specific about your working conditions and how the company controlled your work. EDD will investigate and determine if you were misclassified. If they decide you were an employee, the company will be responsible for paying the employment taxes they should have been paying all along. You should also look into filing an SS-8 form with the IRS for worker classification determination and possibly Form 8919 to report your share of uncollected social security and Medicare taxes.
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Alexis Renard
•wait so the company has to pay if edd says they were wrong? hahaha thats awesome. these companies are always trying to cheat the system
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Camila Jordan
I had the exact same situation happen to me in 2023! I was a "1099 contractor" for a tech company for 3 years with regular hours and everything. When they terminated my contract, I wasn't sure if I qualified for benefits. I filed anyway and selected "misclassified independent contractor" when asked about my work situation. EDD investigated and determined I was actually an employee. It took about 5 weeks for them to make the determination, and then I started receiving benefits. The most frustrating part was trying to reach EDD during the investigation to check on my claim status. The phone lines were impossible - I'd call right when they opened and still get the "too many callers" message. I finally used Claimyr (claimyr.com) which got me through to a rep in about 20 minutes. Their video shows how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km Definitely worth filing! You paid into the system through taxes even if your employer didn't contribute their share.
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Jade O'Malley
•5 weeks sounds like a long time to wait without income, but I'm glad it worked out for you! Did you have to provide any specific documentation to prove you were misclassified? I have emails showing my schedule and work assignments that might help my case.
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Tyler Lefleur
u can try filing but dont get ur hopes up. my friend was a contractor and got denied. edd is super picky about who they approve these days
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Brianna Schmidt
•It actually depends entirely on the specifics of the working relationship, not just being called a "contractor." A true independent contractor controls their own work hours, methods, and typically works for multiple clients. Someone who is told when to work, how to do the job, and only works for one company is likely an employee regardless of tax classification. Each case is evaluated individually by EDD.
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Jade O'Malley
Thank you all for the helpful responses! I've decided to file a claim today and explain my situation in detail. I'll make sure to mention the set hours, equipment, and how they controlled my daily work. I'm also going to look into that SS-8 form. One more question - for the base period earnings when I file, do I use the 1099 income that was reported on my tax returns? I'm worried about filling out the application incorrectly.
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Hunter Edmunds
•Yes, report all the income you received from the company during the base period (typically the first 4 of the last 5 completed calendar quarters before you file). Include all 1099 income in the quarters they were earned. Be honest and thorough - EDD will verify this information during their investigation. If they determine you were misclassified, they'll calculate your benefit amount based on what you reported.
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Alexis Renard
ive been seeing this happening EVERYWHERE lately!! companies calling ppl "contractors" when theyre really employees!! so messed up!!!! good luck with ur claim!!
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Tyler Lefleur
•ya and they dont even give u benefits or pto or anything. total scam
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Brianna Schmidt
Since you mentioned having children, you might also qualify for other assistance programs while your unemployment claim is being processed. You can apply for CalFresh (food assistance) and potentially CalWORKs through your county social services office or online at BenefitsCal.com. These programs have different eligibility requirements than unemployment and can provide support while you're waiting for your UI claim determination. As for labor laws, you might also have a wage claim if you weren't paid overtime or provided with paid sick leave that regular employees receive. The Labor Commissioner's Office (DLSE) handles these types of claims. Their website has information about how to file: https://www.dir.ca.gov/dlse/
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Jade O'Malley
•Thank you so much for this information. I never thought about filing for paid sick leave that I should have received as an employee. I'll definitely look into CalFresh too - anything helps right now while I'm searching for a new position.
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