Will severance pay disqualify me from EDD benefits or just reduce weekly amount?

You definitely need to report the severance when you certify. EDD considers severance as wages for the week(s) it was paid, not when it was earned. So if you got $6,800 in one week, that week you'll be considered fully employed and ineligible for benefits. But you can still certify for future weeks - just report the income accurately on the certification form. I wouldn't bother calling them proactively unless you run into problems after certification.

whoeever told u that is WRONG!!!! EDD doesn't just count it for 1 week. they spread it out over multiple weeks based on ur weekly pay. they'll take ur normal weekly salary and divide the severance by that. so if u made like $1700/week before, they'll count that as 4 weeks of "work" and ur benefits will be affected for a MONTH not just a week. the system is designed to SCREW YOU

Let me clarify this since there's some confusion. Severance pay handling depends on how your employer reports it: 1. If reported as a lump sum for a specific week - affects only that week 2. If reported as allocated over multiple weeks - affects benefits for those weeks You should check your severance letter to see how it's structured. Either way, continue certifying every two weeks and accurately report the income when asked. Your claim remains active even during weeks you're ineligible due to income. If you want to be 100% sure, calling EDD to verify would be best, but reaching them is notoriously difficult.

I got a severance last year and just reported it on my certification. Just make sure you're honest about it - EDD will cross-check with your employer and if the amounts don't match up you could get flagged for an interview.

If you're having trouble getting through to EDD to ask about your specific situation (which honestly you should do since severance can be complicated), I used Claimyr recently and it worked really well. They connect you directly to an EDD agent without the constant busy signals and hangups. Their website is claimyr.com and they have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km I spent days trying to get through on my own before using them, and I got connected to an agent in about 25 minutes. The peace of mind from getting official answers about my specific situation was worth it.

quick question - do u have to pay taxes on the severance too? or just the unemployment? im in a similar situation and not sure wat to do about taxes

UPDATE: Just wanted to let everyone know what happened. I called EDD (took forever to get through) and they confirmed my severance will be allocated over 4 weeks since that's how my employer reported it. I won't receive benefits during those 4 weeks, but my claim stays active. The rep said to keep certifying every two weeks as normal, report the income for those weeks, and after the 4-week period, my regular benefit payments will resume automatically. Thanks everyone for the help!