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Just to confirm what others said - no Social Security tax on UI benefits. But definitely consider withholding because unemployment income can push you into a higher bracket when combined with your regular job income from earlier in the year.
I went through this same situation last year when I was laid off from my retail job. Emma and Isabella are absolutely right - no FICA taxes on unemployment benefits, but they're fully taxable as regular income. I'd strongly recommend having the 10% federal withholding taken out when you certify each week. Even though it reduces your weekly payment, it saves you from a big tax bill later. You can change your withholding election anytime through the NY DOL website or by calling them. Trust me, it's worth the smaller weekly payments to avoid scrambling for tax money in April.
I went through the same situation a few months ago when I started my new job. NYS DOL didn't contact my employer at all - they rely on their quarterly wage reporting system to verify employment. As long as you're honest about your work hours and earnings on your weekly certifications, you shouldn't have any issues. The key is just being accurate and timely with your reporting. Your new employer won't even know you were on unemployment unless you tell them.
I had a similar worry when I got my new job last year. NYS DOL never contacted my employer directly - they have automated systems that cross-reference your reported wages with employer quarterly reports, so they don't need to make phone calls unless there's a red flag. Just keep filing your weekly certifications accurately until your benefits end, and you should be all set. Your employer likely won't even know you were collecting unemployment benefits unless you mention it yourself.
Great advice from everyone here! I just wanted to add that when you file your new claim, you might also want to consider the timing strategically. Since you're doing Uber Eats part-time, try to plan your delivery schedule around your weekly certification days if possible. For example, if you certify on Sundays, you could potentially do most of your Uber work on Friday-Sunday and then focus on job searching Monday-Thursday. This way you're maximizing your unemployment benefits while still earning some income. Also, don't forget that you're still required to do job search activities even while working part-time gig work. Keep track of your applications and interviews because they may ask for that information during certification too. Good luck with your claim! The fact that you're asking these questions upfront shows you're being responsible about following the rules correctly.
This is really smart strategic thinking! I hadn't considered timing my Uber work around certification days. That Friday-Sunday schedule idea could really help maximize benefits while still bringing in some income. And thanks for the reminder about job search requirements - I definitely don't want to forget that part. This whole thread has been so educational for someone new to navigating unemployment with gig work!
Just want to echo what everyone's saying about being completely honest with your reporting! I did DoorDash while on unemployment for about 6 months last year and it worked out fine as long as I was accurate with everything. One thing I learned the hard way - when you're doing deliveries, NY considers you "self-employed" for that work, so make sure you answer the self-employment question correctly during weekly certification. They ask if you worked for yourself or did any freelance/contract work, and Uber Eats definitely counts. Also, save all your weekly earnings statements from Uber because if they ever audit your claim (which they do randomly), you'll need to provide documentation. The Uber app lets you download these pretty easily. The combination of partial unemployment + gig work really helped me stay afloat while job hunting. Just be patient with the system and keep detailed records of everything!
@Zainab Ahmed This is exactly the kind of real-world experience I needed to hear! The self-employment question detail is gold - I would have definitely answered that wrong and potentially caused issues with my claim. I m'curious about your audit experience too. When they randomly audited your claim, how long did that process take and was it stressful? I want to be prepared mentally for what that might involve if it happens to me. Also, did you find any particular day patterns worked better for maximizing both your delivery earnings and unemployment benefits? I m'trying to balance making decent money from Uber Eats while not working too many days that would kill my partial benefits. Really appreciate you sharing your 6-month journey - it gives me hope that this can actually work!
@Zainab Ahmed This is so reassuring to hear from someone who successfully did this for 6 months! I m'definitely going to be extra careful about that self-employment question - thanks for that crucial detail. Quick question about the audit process - roughly how long after you started claiming did they audit you, and was it just a matter of providing those weekly statements or did they ask for other documentation too? I want to make sure I m'keeping everything they might need. Also, did you find that doing gig work actually helped or hurt your job search? I m'worried potential employers might think I m'not serious about finding full-time work if they see I m'doing deliveries, but I really need the income to survive while looking.
Good luck with your hearing! I had one last year for a different reason and the judge was actually pretty fair. Just stick to the facts and don't get emotional even if your employer says things that upset you. The burden is on you to prove good cause for quitting, so focus on presenting your evidence clearly.
I went through something similar about 6 months ago when I quit due to discrimination issues at my job. One thing that really helped me was organizing everything chronologically - I made a timeline with dates, what happened each time, and any evidence I had for each incident. The judge appreciated having it laid out clearly. Also, if you have any documentation showing you tried to follow company policy for reporting these issues (like employee handbook procedures), bring that too. It shows you were trying to work within the system before quitting. Don't forget to bring proof of your job search efforts since quitting - it shows you're actively trying to get back to work. The whole process was nerve-wracking but the judge really did seem to want to get to the truth of what happened.
This is really helpful advice, thank you! I never thought about creating a chronological timeline - that's a great idea to keep everything organized. I do have my employee handbook and can show I followed the reporting procedure by complaining to the shift manager. Quick question - what kind of job search documentation did you bring? Just applications I've submitted or something more detailed?
Zainab Ismail
UGH the NYS Department of Labor system is so unreliable!! I've had payments just randomly delayed for no reason multiple times. Sometimes it's their system glitching, sometimes it's banks being slow. It's SO frustrating when you're counting on that money and it just doesn't show up. I hope yours comes through soon!
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Connor O'Neill
•Same thing happened to me twice and both times it was just a processing delay. Showed up the next day.
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Scarlett Forster
I had this exact same issue two weeks ago! My payment showed as "issued" on the NYS Department of Labor site but didn't hit my account for 3 days. It turned out my bank (Chase) was having some technical issues with processing government payments. I'd recommend checking with your bank first to see if there are any delays on their end before going through the hassle of calling NYS Department of Labor. Also, sometimes payments get delayed if there was a federal holiday recently that affected processing schedules. Fingers crossed it shows up tomorrow!
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Astrid Bergström
•That's really helpful to know about Chase having issues with government payments! I have Bank of America so maybe it's a similar situation. I didn't even think to check with my bank first. Did Chase give you any explanation when you called them about it, or did the payment just randomly show up after 3 days?
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