EDD eligibility confusion with W-2 job loss while having 1099 contracts - interview scheduled

OMG same thing hapnd to me but in reverse!! i had 1099 then got part time w2. the interview is scary but just TELL THEM EVERYTHING dont hide ANYTHING they will find out anyways

You need to report ALL income to EDD, including your 1099 work. During the eligibility interview, be upfront about the contract work. This is not necessarily going to disqualify you - it's called "partial unemployment." Each week when you certify, you'll report any income earned from your 1099 contracts, and they'll reduce your weekly benefit amount accordingly. You should definitely clarify this during your interview. Better to address it now than have them discover it later through tax records matching, which could result in an overpayment determination or worse, potential fraud penalties.

Be 100% honest in your interview! I made the mistake of not reporting all my income right away and ended up with a NIGHTMARE overpayment situation plus a 5-week penalty assessment. EDD has access to tax records and they WILL cross-check your income eventually. For partial unemployment with 1099 work, you report your gross earnings (before expenses) for the week you performed the work, not when you get paid. They'll reduce your benefit by subtracting part of your earnings. You can earn up to $25 or 25% of your weekly benefit (whichever is higher) with no reduction. After that, they subtract dollar for dollar.

u dont have to worry so much. my cousin had same thing and still got approved. EDD just wants to know your current situation. they might lower your payment a little but at least you still get something instead of nothing

You're dealing with what's officially called "partial unemployment" in EDD terms. Here's what will happen during your interview: 1. You'll need to explain when you started these 1099 contracts (before or after your W-2 job loss) 2. They'll ask about the hours and income from these contracts 3. You'll need to report your gross earnings when certifying The formula is: They subtract 25% of your weekly benefit amount from your earnings, then subtract that result from your weekly benefit amount. So if your WBA is $450 and you earn $200, they subtract $112.50 from $200 = $87.50, then subtract that from $450, giving you $362.50 for that week. Be honest in the interview, bring documentation of both your job loss and your 1099 work, and you should be fine. The system is designed to help people in your exact situation.

My brother went through something similar except he had 3 different 1099 gigs when he lost his main job. He said they just wanted proof of when he started each contract and how much he was making. As long as you're honest about everything now, I think you'll be fine. Just don't go in acting super nervous like you did something wrong because that might make them suspicious.

Has anyone tried using Claimyr to reach EDD for this type of situation? I had a somewhat similar situation and was getting nowhere trying to call EDD directly - always got the "we're experiencing high call volume" message. I used Claimyr.com and got through to an agent in about 20 minutes who explained everything about partial unemployment and 1099 reporting. They have a video demo if you want to see how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km The EDD rep told me that as long as I was upfront about the 1099 work going forward, they wouldn't penalize me for an honest mistake on the initial application. They just adjusted my benefit amount accordingly.

One important thing to note: make sure you're reporting your 1099 earnings correctly during certification. You need to report the gross amount (before expenses or taxes) for the week you PERFORMED the work, not when you got paid. This is different from W-2 income reporting. Also, bring documentation to your interview showing when you started these contracts and how much you typically earn. The more prepared you are, the smoother it will go. And remember that the EDD interviewer is just trying to determine your proper benefit amount - they're not looking to "catch" you unless they suspect intentional fraud.

THE SYSTEM IS BROKEN! I had almost identical situation - lost my main job but had a tiny 1099 gig. EDD flagged my entire claim, put me through TWO interviews, made me wait 8 WEEKS with no income, and then reduced my benefit by more than what I was actually making from the contract work. They use a weird calculation that penalizes you for working at all!!! I literally would have been better off turning down the contract work entirely! Be prepared for a LONG wait and ZERO income during this process. They don't care if you can't pay your mortgage!!!

Update us after your interview! I'm curious how it goes because I'm in a similar situation. My understanding is that as long as you're honest going forward and explain that you didn't realize you needed to report the 1099 work initially, you should be okay. They might reduce your weekly benefit amount based on what you earn from the contracts, but you should still qualify for something if your main job was providing most of your income.

I went through almost the exact same situation last year! Lost my full-time W-2 job but had been doing some freelance graphic design work on the side that I initially forgot to mention. I was terrified about the interview too, but honestly being upfront about it was the best decision. Here's what helped me: I prepared a simple timeline showing when I started each 1099 contract (both were before my job loss), brought copies of the contracts, and had a rough estimate of monthly earnings from each. The interviewer was actually really understanding when I explained that I didn't think to include them initially because they were such a small part of my income. They did reduce my weekly benefit amount, but I still qualified and have been receiving partial unemployment for months now. The key is being honest and showing that you're actively looking for full-time work to replace your main income source. Good luck with your interview - you've got this!