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NightOwl42

EDD garnishing my SDI benefits due to employer UI appeal - will I get reimbursed if I win?

I'm in a complicated situation with EDD and really need some advice. I was laid off last October and filed for unemployment. I received UI benefits for about 3 months (roughly $8,700 total). Then in January my former employer filed an appeal claiming I was fired for misconduct (completely untrue - they were downsizing). While this appeal has been pending, I got injured and had to file for SDI in April. I've been receiving SDI payments, but I just noticed they're taking 25% out of each payment to recover the UI benefits EDD says I might not have been eligible for! My SDI payments are already barely covering my basic expenses. My UI appeal hearing is scheduled for next month, and I'm confident I can prove the layoff was legitimate. My question is: if I win my appeal, will EDD reimburse me for all the money they've garnished from my SDI benefits? Has anyone dealt with this kind of situation before?

Yes, if you win your appeal and the judge rules in your favor confirming you were eligible for UI, EDD should return any money they garnished from your SDI payments. Make sure you bring documentation to your hearing that proves you were laid off rather than fired - things like a layoff notice, emails discussing the company downsizing, or statements from coworkers who were also laid off. The key is proving there was no misconduct involved.

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NightOwl42

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Thank you! That's a relief to hear. I have the original layoff notice and emails from HR discussing the department restructuring. Should I also bring my SDI payment statements showing the garnishment amounts?

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Dmitry Ivanov

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i had kinda the same thing hapn but with PTO payout they took. when i won my appeal took like 6 weeks to get $ back but they did it automatically didnt have to ask for it

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NightOwl42

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That's good to know! 6 weeks is a long time but at least it was automatic. Did they add any interest to the money they returned to you?

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Dmitry Ivanov

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no interest just the exact amount they took

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Ava Thompson

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THEY ARE STEALING FROM YOU!! My cousin had the same thing happen and EDD never gave the money back even after he won his appeal. Had to fight for months!!

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This isn't accurate. While there can be delays, EDD is legally required to return garnished funds if an appeal determines the claimant was eligible for benefits. If your cousin didn't receive his funds back, he should contact his assembly member's office for assistance or file a formal complaint through EDD's website.

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I went through this exact situation last year. Yes, they will reimburse you if you win your appeal, but it doesn't happen automatically in all cases. Here's what you need to do: 1. At your appeal hearing, specifically mention the SDI garnishment issue to the judge and ask that it be noted in their decision. 2. After you receive the favorable decision (which can take 2-3 weeks after the hearing), call EDD and specifically request the reimbursement of garnished funds. This is where most people get stuck - trying to reach a representative. 3. I had success using Claimyr (claimyr.com) to get through to an EDD representative quickly instead of calling for days. They have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km 4. Once you reach someone, reference your appeal case number and ask specifically about the process for recovering the garnished SDI funds. In my case, I received the reimbursement about 4 weeks after speaking with a representative. Keep detailed records of all garnishments so you can verify they returned the correct amount.

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NightOwl42

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This is incredibly helpful! I didn't realize I would need to specifically request the reimbursement after winning the appeal. I've been trying to call EDD for weeks about another issue and can never get through. I'll check out that Claimyr service - at this point I'm willing to try anything to actually speak to a human at EDD.

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Zainab Ali

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My sister works at EDD (not going to say which office) and she says the reimbursements are supposed to be automatic but the system is so backed up that sometimes they don't process for months or get lost. Make sure you document EVERYTHING and follow up every few weeks if you don't see the money after winning your appeal.

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NightOwl42

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Thanks for the insider perspective! I'll definitely keep thorough records of everything. Do you know if there's a specific department I should be asking for when I follow up about reimbursements?

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Zainab Ali

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She says to ask for the Benefit Overpayment Section when you call. They handle the reimbursements for garnishments after appeal decisions.

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Connor Murphy

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Wait I'm confused... are UI and SDI the same thing? Why would they even garnish your disability if it's about unemployment? The whole system is so messed up I swear.

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UI (Unemployment Insurance) and SDI (State Disability Insurance) are different programs, but both are administered by EDD. UI is for people who lost their job, while SDI is for people who can't work due to a non-work-related illness or injury. EDD can garnish your SDI benefits to recover UI overpayments because they're authorized to collect overpayments from any benefits they administer. It's basically like getting money from your left pocket if they think they overpaid your right pocket.

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Yara Nassar

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This happened to me in 2024! I won my appeal and had to call EDD 42 TIMES before I got through to someone who could help with the reimbursement. They told me the system should have automatically processed it but there was a "flag" on my account that needed to be manually removed. Once that was done, I got my money back within 2 weeks. Don't give up!

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NightOwl42

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42 times?! That's ridiculous but honestly not surprising based on my experience so far. Did you notice if the reimbursement came as a separate payment or was it added to your regular benefits?

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Yara Nassar

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It came as a separate direct deposit with a description like "EDD ADJUSTMENT" or something similar. I almost missed it because I wasn't checking my account daily at that point!

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Zainab Ali

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I can't wait to hear how your appeal goes. My hearing is next week for a similar issue. So nervous!!!!

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NightOwl42

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Good luck with your hearing! I'm nervous too. If you don't mind sharing afterward, I'd love to hear how yours goes. It helps to know I'm not the only one dealing with this.

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Connor Murphy

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This is why I always tell people to put 25% of their EDD payments aside if theres ANY chance of an appeal or dispute. My cousin didn't do that and ended up in a huge financial mess when she had to repay benefits. But in your case since you're fighting it AND winning hopefully, you should get it all back. Just be prepared to wait...

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Ava Thompson

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That's RIDICULOUS advice! Why should people have to save 25% of their SURVIVAL MONEY just because EDD can't get their act together? Most people on unemployment are barely making ends meet as it is!!

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Connor Murphy

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I'm just being realistic. Not saying it's fair but that's how the system works. Better to be prepared than caught off guard.

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One important thing to note: make sure you continue certifying for your SDI benefits properly while this is all going on. Sometimes people get so focused on the appeal that they miss certification deadlines, which creates a whole new problem. Also, when you win your appeal (staying positive here), get the decision in writing and keep multiple copies. EDD has been known to request the same documentation multiple times.

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NightOwl42

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That's a good reminder. I've been keeping up with my SDI certifications but hadn't thought about making copies of the appeal decision when it comes. I'll definitely do that!

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CosmicCaptain

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I went through something very similar in 2023. EDD garnished about $3,200 from my SDI payments over 4 months while my appeal was pending. When I finally won my appeal, it took about 8 weeks to get the money back, but I did receive every penny they had taken. A few tips from my experience: - Keep detailed records of every garnishment amount and date - When you call EDD after winning, ask specifically for the "Benefit Payment Control" unit - they handle garnishment reversals - If the first rep says they can't help, politely ask to be transferred to a supervisor who can access overpayment adjustments - The reimbursement will likely come as a separate EDD debit card deposit, not added to your regular SDI payments The whole process is stressful and unfair, but hang in there. The fact that you have documentation proving it was a layoff puts you in a strong position for your hearing. Best of luck!

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