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EDD tax withholding checkbox confusion - weekly taxes on unemployment benefits

Can someone PLEASE clarify the tax withholding option on the EDD certification form? I'm so confused about whether checking the box means they WILL take taxes out or they WON'T take taxes out. I want them to withhold federal taxes weekly from my benefits (I learned my lesson last year when I got hit with a huge tax bill). The wording on the form is so confusing - it says something like 'Do NOT withhold federal income tax'... so if I want taxes taken out, do I check it or leave it blank?? I've certified for 3 weeks now and I'm afraid I've been doing it wrong this whole time. I really don't want another tax surprise next April!

Isaac Wright

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i think ur supposed to leave it UNCHECKED if u want taxes taken out. the box literally says 'do not withhold' so checking it means dont take taxes

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Yara Campbell

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That's what I thought too but then I second-guessed myself! The wording is so backwards. Thanks for confirming.

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Maya Diaz

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The correct answer is: If you want federal taxes withheld from your weekly benefits, do NOT check the box. The checkbox specifically says "Do NOT withhold Federal Income Tax from my benefits payments." So: - If you check the box = NO taxes withheld (you'll pay later) - If you leave it unchecked = YES, 10% federal taxes will be withheld It's definitely confusing because it's phrased as a negative. If you've been checking the box for 3 weeks, no taxes have been withheld. You can change your preference on future certifications, but you can't change it retroactively for past payments.

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Tami Morgan

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OMG thank u for explaining this so clearly!! I've been doing mine wrong for WEEKS!! Now I'm going to have a huge tax bill again 😭

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Rami Samuels

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The EDD website is so poorly designed! I made the exact same mistake my first time filing for unemployment back in January. The checkbox says "Do NOT withhold Federal Income Tax from my benefits payments" which means: āœ“ Checked = NO tax withholding ā–” Unchecked = YES to tax withholding (10%) It's completely counterintuitive. I only realized my mistake when I got my first payment and noticed it was the full amount. Had to call EDD six times before getting through to fix it for future payments.

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Yara Campbell

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Six times?! I've already tried calling twice and couldn't get through. I'm starting to think I should just give up and set aside money for taxes myself.

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Haley Bennett

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just save 10% of ur benefits on ur own, thats what i do. EDD system is trash anyway

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This isn't good advice for everyone. Many people struggle with setting aside money themselves, and the automatic withholding helps ensure they don't face a large tax bill. The EDD interface could definitely be clearer though!

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Nina Chan

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If you're struggling to reach EDD about this or any other issues, I was in the same boat last month. After days of trying, I used a service called Claimyr (claimyr.com) that got me through to an EDD rep in about 20 minutes. They have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km. The rep confirmed that unchecked = withhold taxes, checked = don't withhold. I was able to make sure my settings were correct going forward.

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Yara Campbell

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I'll check that out! At this point I'd try anything to talk to a real person at EDD. Thanks for the recommendation.

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Ruby Knight

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Its confusing bcause they use a double negative kind of language!! Same thing happened to me and i end up owing $2,345 when i filed my taxes!! so annoying!!!!!!

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Rami Samuels

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Exactly! And then when tax time comes around, you get Form 1099-G showing all the benefits you received, but with $0 in the federal tax withheld box if you made this mistake. It's such an easy mistake to make with their confusing wording.

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To clarify for everyone regarding tax withholding on EDD benefits: 1. The checkbox reads "Do NOT withhold Federal Income Tax from my benefits payments" 2. If you CHECK the box, you are telling EDD NOT to withhold taxes 3. If you leave it UNCHECKED, you are allowing EDD to withhold the standard 10% for federal taxes Unfortunately, you cannot change past certifications. For any future certifications, leave it unchecked if you want taxes withheld. If you're concerned about past certifications where taxes weren't withheld, consider making estimated tax payments directly to the IRS to avoid penalties next tax season.

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Yara Campbell

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Thank you for the clear explanation. I'll definitely leave it unchecked from now on. Do you know if there's any way to see on the EDD website whether taxes have been withheld from my previous payments?

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Rami Samuels

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@original poster - You can check your payment history in UI Online to see if taxes were withheld. Go to Payment History and look at the amounts. If the "Amount Paid" is 10% less than the "Weekly Benefit Amount" then taxes were withheld. If they're the same, then no taxes were taken out.

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Yara Campbell

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Just checked and they match exactly - no taxes taken out. Guess I've been doing it wrong this whole time. Thanks for helping me figure this out!

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