Can you collect unemployment when you retire from NYS Department of Labor?

Unfortunately, no - if you voluntarily retire, you're not eligible for unemployment benefits in New York. The NYS Department of Labor requires that you be unemployed through no fault of your own. Retirement is considered a voluntary separation from employment. You'd need to be laid off, terminated, or have your hours reduced involuntarily to qualify for UI benefits.

my dad tried this last year and got denied immediately, they said since he chose to retire he wasnt eligible

There might be one exception though - if your employer eliminates your position and offers you the choice between layoff or early retirement, you might be able to collect if you choose the layoff option instead. But you'd have to actually be laid off, not retire. The NYS Department of Labor looks at whether the separation was voluntary or involuntary. If you're planning to retire anyway, you might want to talk to HR about whether there are any upcoming layoffs in your department.

Wait, what about if you're forced to retire due to health issues? Wouldn't that be considered involuntary? I'm asking because my doctor says I might not be able to continue working much longer due to a chronic condition, but I'm not quite ready for Social Security yet.

Health-related retirement can be tricky with unemployment claims. If you're unable to work due to health issues, the NYS Department of Labor might consider you not 'able and available' for work, which is a requirement for UI benefits. You'd need to be able to work and actively seeking employment to qualify. However, if your employer terminates you due to inability to perform your job duties (rather than you voluntarily retiring), that could potentially be considered involuntary separation.

If you're having trouble reaching the NYS Department of Labor to get definitive answers about your specific situation, I had success using a service called Claimyr (claimyr.com) that helped me get through to an actual agent. They have a video demo at https://youtu.be/qyftW-mnTNI showing how it works. Sometimes you really need to speak with someone directly about these complex situations rather than trying to figure it out from the website.

Bottom line - regular voluntary retirement = no unemployment benefits. But there are some edge cases like company restructuring or certain health situations that might work differently. Your best bet is to talk to an actual NYS Department of Labor representative about your specific circumstances before making any final decisions about retiring.

One more thing to consider - if you're 64 and thinking about retiring next year, you might want to look into whether your employer offers any severance packages or voluntary separation incentives. Some companies will pay severance even for voluntary retirement, which can help bridge the gap until you're eligible for Social Security at 62 (if you haven't already claimed it). While this won't make you eligible for unemployment, it might provide some financial cushion during the transition. Also worth checking if your company has any phased retirement options where you could reduce hours gradually - that might be another way to ease into retirement without completely losing income.

I went through something similar a few years ago. The key thing to understand is that unemployment benefits are specifically for people who lose their jobs involuntarily. If you voluntarily retire, you're essentially choosing to leave the workforce, which disqualifies you from UI benefits. However, I'd recommend checking with your HR department to see if there are any upcoming layoffs or restructuring plans. If your position is going to be eliminated anyway, you might be able to time it so you get laid off instead of retiring - that would make you eligible for benefits. Just make sure it's a legitimate layoff situation, not just asking to be "laid off" when you really want to retire. The Department of Labor can usually tell the difference and you don't want to risk any fraud issues.

Just wanted to add another perspective - I'm 62 and was in a similar situation last year. Even though regular retirement doesn't qualify you for unemployment, don't forget about other benefits you might be eligible for. If you've been working for 30 years, you should definitely look into your Social Security options. You can start collecting reduced benefits at 62, or wait until full retirement age for full benefits. Also check if your employer offers retiree health insurance - that's often a bigger concern than the unemployment benefits. And if you're a union member, there might be additional pension benefits to consider. Sometimes the combination of early Social Security, pension, and any retirement savings can actually work out better financially than trying to figure out how to get unemployment benefits. Just something to think about as you plan your exit strategy!

I'm going through this exact situation right now and wanted to share what I learned from speaking with a NYS DOL representative. The key factor they look at is whether your separation from employment was "voluntary" or "involuntary." Regular retirement is always considered voluntary, so you won't qualify for UI benefits. However, there are a few scenarios where you might still have options: 1) If your employer eliminates your position and gives you the choice between layoff or early retirement, choose the layoff (but it has to be a real elimination, not just a favor from HR). 2) If you have a disability that prevents you from doing your job and your employer terminates you for inability to perform duties (rather than you retiring due to health), that could potentially qualify - though you'd still need to be "able and available" for other suitable work. 3) Some early retirement packages that are part of company-wide downsizing might qualify if they're structured as involuntary separations. My advice would be to contact the DOL directly to discuss your specific situation before making any decisions. Don't assume anything based on what worked for someone else - these cases are very fact-specific.

I'm in a similar boat at 61 and have been researching this extensively. One thing I discovered that might be helpful - if you're considering retirement but not quite ready financially, look into whether your state has any "bridge" programs or extended unemployment benefits for older workers. Some states have special provisions for workers over 50 or 55 who lose their jobs involuntarily. New York doesn't have a specific program like this, but they do have extended benefits during high unemployment periods. Also, if you're a federal employee or work for certain state agencies, there might be different rules that apply. The other thing to consider is COBRA health insurance costs - if you retire voluntarily, you'll likely pay full price for COBRA, but if you're laid off, your employer might subsidize it for a few months. That alone could be worth thousands of dollars. I'd suggest making a spreadsheet comparing all the financial implications of voluntary retirement versus waiting to see if layoffs happen naturally. Sometimes the math works out better to just retire cleanly rather than trying to navigate the unemployment system.

I'm 59 and have been following this discussion closely since I'm in a similar situation. One thing I wanted to add that I don't think has been mentioned yet - if you do end up retiring voluntarily and aren't eligible for unemployment, make sure you understand how it affects your taxes. Unemployment benefits are taxable income, but so are most retirement account withdrawals. If you're planning to bridge the gap by pulling from your 401k or IRA early, you'll not only pay regular income tax but also a 10% early withdrawal penalty unless you qualify for an exception. The "separation from service after age 55" rule might apply to your 401k if you leave your current employer, but IRA early withdrawal penalties are harder to avoid. Sometimes people get so focused on the unemployment benefits question that they forget to plan for the tax implications of their retirement income strategy. I'd definitely recommend talking to a tax professional or financial advisor before making any final decisions - the unemployment benefits are temporary anyway, but tax mistakes can be costly for years to come.

I'm 63 and went through this exact situation two years ago. After reading all these responses, I want to emphasize something that might not be clear - timing is absolutely critical if you're hoping for any kind of involuntary separation. Don't wait until you're mentally ready to retire to start paying attention to your company's financial health and restructuring plans. I almost missed my opportunity because I wasn't plugged into the office gossip network. What saved me was that our union rep mentioned potential layoffs about 6 months before they happened, which gave me time to position myself (I volunteered for some less critical projects and made sure I wasn't indispensable). When the layoffs came, I was selected and was able to collect UI benefits for 8 months before I transitioned into full retirement. The key is being strategic about it early - once you've already announced retirement plans or started your pension paperwork, it's too late to change course. Also, document everything if you do get laid off instead of retiring, because the NYS DOL will ask detailed questions about the circumstances.