Can you collect unemployment if you work for a nonprofit organization - NYS Department of Labor eligibility question
I just got laid off from my job at a local food bank where I worked for 2 years. My coworker said nonprofits don't pay into unemployment so I might not be eligible for benefits. Is this true? I'm really confused about whether nonprofit employees can file for unemployment in New York. I've been trying to find clear information on the NYS Department of Labor website but it's not super clear to me. Has anyone here worked for a nonprofit and successfully collected UI benefits?
12 comments


Yuki Tanaka
Yes, you can absolutely collect unemployment if you worked for a nonprofit! Most nonprofits in NY are required to pay unemployment taxes just like regular employers. The only exception might be very small religious organizations, but even most of those participate in the system. You should definitely file your claim through the NYS Department of Labor website. Don't let anyone discourage you from applying.
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Ethan Davis
•Thank you so much! That's a huge relief. I was really worried I wouldn't qualify since we're a 501c3. I'll start my application today.
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Carmen Ortiz
been there! worked at a nonprofit for 3 years and collected unemployment when they had budget cuts. took forever to get through on the phone though when i had questions about my claim status
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MidnightRider
The confusion probably comes from the fact that some nonprofits can choose to reimburse the state for unemployment costs instead of paying regular unemployment taxes. But either way, as an employee you're still covered and eligible for benefits. Your employer's payment method doesn't affect your eligibility at all. Just make sure you have all your employment documentation ready when you file.
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Andre Laurent
•Wait, what's the difference between reimbursing and paying taxes? Does that affect how long it takes to get approved or anything?
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MidnightRider
•No difference for you as the claimant. It's just two different ways nonprofits can handle their unemployment obligations. Your claim gets processed the same way regardless.
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Zoe Papadopoulos
I had such a hard time reaching anyone at NYS Department of Labor when I needed to verify my nonprofit employment history. Spent weeks calling and either getting busy signals or hung up on after waiting for hours. Finally found this service called Claimyr (claimyr.com) that actually got me through to a real person at the unemployment office. They have a video demo showing how it works: https://youtu.be/qyftW-mnTNI. Saved me so much frustration trying to get my questions answered about my claim.
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Ethan Davis
•Interesting, I've never heard of that before. Did they charge you a lot to help get through?
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Zoe Papadopoulos
•They focus on just getting you connected to the right person rather than dealing with pricing details. For me it was worth it because I needed to resolve an issue with my weekly claims that was holding up my payments.
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Jamal Washington
Just to add - when you file make sure you list your nonprofit employer correctly with their full legal name and EIN if you have it. Sometimes the automated system has trouble matching nonprofit names if they're not entered exactly right.
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Liam Murphy
I worked at a nonprofit health clinic for 4 years and was able to collect unemployment when they had to reduce staff due to funding cuts. The application process was pretty straightforward - just make sure you have your pay stubs and any termination paperwork ready. One thing I learned is that you should file as soon as possible after your last day of work, even if you're not 100% sure about all the details. You can always provide additional information later, but there's a waiting period before benefits start so the sooner you file the better. Good luck with your claim!
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Ali Anderson
I'm in a similar situation - just got notice that my position at a nonprofit mental health organization is being eliminated next month due to budget constraints. This thread is really helpful because I was also unsure about eligibility. Does anyone know if there are any special considerations for nonprofit employees when it comes to calculating benefit amounts? I'm wondering if our typically lower salaries affect the weekly benefit calculation differently than private sector jobs.
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