There's a lot of confusion on this topic because the rules changed during COVID and then changed back. Let me break it down: • Pre-COVID: Unemployment benefits were 100% taxable • 2020 only: The first $10,200 was tax-free federally (American Rescue Plan) • 2021 and beyond: Back to being 100% taxable So your friend was partly right - there WAS a time when some unemployment wasn't taxed, but that ended. If you're receiving benefits now, they are definitely taxable. You have two options: 1. Continue withholding taxes now (what you're currently doing) 2. Stop withholding but set aside money yourself for tax time Personally, I recommend keeping the withholding to avoid a nasty surprise when filing. If you need to change your withholding settings and can't figure it out online, good luck reaching someone by phone! After weeks of trying, I finally used claimyr.com to get through to a live agent. It was a game changer - finally got all my questions answered in one call instead of endless busy signals.

Wait, I'm so glad I found this thread! I'm in the exact same situation - just started collecting unemployment last month and was totally confused about the tax thing. My sister told me the same thing about unemployment not being taxed anymore, but everyone here is saying otherwise. I guess I should probably elect to have taxes withheld then? I was planning to opt out because I need every dollar right now, but sounds like that might bite me come tax season. How much do they typically withhold? Is it a flat percentage or does it depend on your benefit amount? Also seeing lots of mentions of claimyr.com - has anyone actually used this successfully? The NY unemployment phone system is absolutely brutal and I've been trying to get through for days about a different issue with my claim.

Two weeks isn't even that long honestly. I've seen people wait 3+ months during busy periods. The system is completely broken and they don't care about people struggling to pay bills while they take their sweet time 'reviewing' obvious cases.

I'm going through something similar right now - my claim has been pending for about 3 weeks after I was laid off from my job in February. The waiting is incredibly stressful when you're trying to make ends meet. From what I've read on various forums, retail separations sometimes get flagged for review more often, possibly because they want to verify it wasn't a quit situation. I'd definitely recommend continuing to file your weekly claims like others mentioned - that seems to be crucial for getting back pay later. Have you tried reaching out to your local career center? Sometimes they can provide guidance or at least give you a better sense of typical wait times in your area. Hang in there!

Check with 211 by dialing 2-1-1 for local emergency assistance programs. Many areas have rapid rehousing programs specifically for people experiencing unemployment-related housing crises. Some programs can provide temporary rental assistance while you wait for your NYS Department of Labor benefits to start. Also contact local homeless prevention services - they often have emergency funds for situations exactly like yours.

same boat here, been waiting 6 weeks for my claim to get approved and behind on everything. landlord is threatening eviction too. this whole thing is a nightmare

Just want to add that timing is really important here. If you know layoffs are coming at your company, you might want to talk to HR about the sequence of events. Sometimes it's better to wait and see if you get laid off first, then you could potentially use unemployment while also having FMLA job protection for intermittent family care. But definitely get proper advice for your specific situation.

I went through something similar when my father was going through chemotherapy. The timing coordination is crucial - you really need to think strategically about when to use each benefit. In my case, I used intermittent FMLA first (unpaid leave for medical appointments) while still working, then when our company downsized and I was laid off, I was able to file for unemployment. The key is that you can't be actively receiving PFL payments and UI payments simultaneously. If your mom's care needs are ongoing, you might also want to look into whether your employer offers any flexible work arrangements that could help you manage both situations without having to choose between benefits.

anyone else's anxiety go 📈📈📈 when trying to explain your situation in 30 seconds before they hang up?

I feel your pain! Been in the same boat for weeks. What finally worked for me was calling the technical support line (518-457-9000) instead of the main claims line. They can sometimes transfer you directly to a claims specialist without the usual wait. Also try calling right before lunch (11:30am) - found the hold times are shorter then. Don't give up, you'll get through eventually! 💪