EDD claim rejected for 'insufficient wages' right after layoff - do I need to wait?

This is actually a common issue! When you file for unemployment, EDD looks at your base period wages, which is NOT the most recent quarters you worked. The base period is the first 4 of the last 5 completed calendar quarters before you filed. Since we're now in Q2 of 2024 (April-June), your base period would be Q1-Q4 of 2023. If you started that job in May/June 2023, then some of your wages might fall outside the base period they're examining. Try waiting until July 1 (next week) when Q3 2024 begins, and a new quarter rolls into your base period calculations. That might solve your problem.

Omg thank you!! That makes so much sense. I did start this job in May 2023, so that's exactly what's happening. I'll wait until next week to reapply. Do you know if there's any downside to waiting a few days? Like will I lose any benefits by not filing immediately?

the SAME exact thing hapend to me last year!! EDD system is so stupid, they dont look at ur most recent work only older quarters. i had to wait almost 3 weeks b4 my work history updated in there system and then i could file. keep trying every few days and eventuly it will work.

This is incorrect information. EDD doesn't

Have you tried calling EDD directly? They might be able to see what's happening with your claim.

I tried but kept getting the dreaded

Another possibility: if you received severance pay or have accrued vacation being paid out, this might affect your claim. EDD might be counting that as wages and considering you still employed until those payments run out. Did your employer mention anything about severance or vacation payout in your termination package? But as others mentioned, the base period calculation is the most likely culprit. It's designed to establish your typical earnings before unemployment, but it creates this weird gap where your most recent work might not count right away. Definitely try filing again after July 1st when the new quarter begins. You generally have 7 days from becoming unemployed to file without affecting your claim start date, so waiting a few days shouldn't cause you to lose benefits.

They're giving me a small severance (2 weeks) but said it would be paid as a lump sum with my final check. I didn't think that would affect unemployment eligibility? I definitely didn't get 'enough' severance to live on while job hunting.

Lump sum severance typically doesn't delay your claim start date the same way continued biweekly payments would. But the base period issue is still the most likely explanation. When you reapply after July 1st, make sure you have these documents ready: - Paystubs showing your wages from all quarters - Your final paycheck information (when you'll receive it) - Termination letter - Any info about your severance This will help if EDD has questions or requests additional verification.

Thank you so much for the detailed explanation. I'll gather all those documents and try again next week after the quarter changes. Hopefully that resolves it!

I had this EXACT problem and wasted WEEKS trying to get through to someone at EDD who could help. Called literally 50+ times and either got disconnected or was on hold forever. So frustrating!!! I finally used a service called Claimyr (claimyr.com) and they got me connected to an EDD agent within 20 minutes. The agent confirmed it was a base period issue and helped me figure out exactly when to reapply. Saved me so much time and stress. They have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km

Is this service legit? I'm always suspicious of third-party services for government stuff.

It definitely worked for me! They don't file anything on your behalf - they just help you get through to an actual EDD rep so you can talk to someone directly. Made a huge difference vs. getting that annoying

Ughhh the EDD system is the WORST. The whole base period thing is sooo confusing and they don't explain it clearly anywhere on the website!!! I went through something similar in March. The rule about waiting until the new quarter is correct - mark your calendar for July 1st and try again. In the meantime, start gathering ALL your employment docs - W2, paystubs, offer letter, termination letter - sometimes they want extra proof of wages especially if you're right on the border of qualifying. Better to have it ready than scramble later. Also if you worked anywhere else before your 13-month job, make sure to include that info too when you reapply. Every little bit of wage history helps.

Thanks for the advice! I did have another job for about 8 months before this one, so I'll make sure to include that info too. Hoping that helps strengthen my claim.

I know this is stressful, but try not to worry too much. The base period adjustment should resolve your issue after July 1st. One more thing to note - when you do qualify, remember that there's typically a one-week unpaid waiting period before benefits begin. So plan your budget accordingly. Best of luck with your claim and job search!

Thank you! I'd completely forgotten about the waiting week. Good reminder to budget for that. I appreciate everyone's help here - feeling much less panicked now that I understand what's happening.

Just wanted to chime in as someone who went through this exact same situation last year! The base period calculation is definitely the culprit here - it's such a poorly designed system that catches so many people off guard. I actually recommend bookmarking the EDD base period calculator on their website so you can check your eligibility before filing. Also, pro tip: if you do end up needing to call EDD after July 1st, try calling right at 8am when they open - your chances of getting through are much better in that first hour. The whole system is frustrating but you'll get through it. Hang in there!