Is it illegal to collect unemployment while working - need to understand NYS Department of Labor rules
I'm really confused about the rules around working while collecting unemployment benefits. I've been getting UI for about 6 weeks now and I just got offered some part-time work that would be maybe 15-20 hours a week. I want to take it because I need the money but I'm terrified of getting in trouble with NYS Department of Labor. Is it actually illegal to work while collecting unemployment? I've heard different things from different people and I don't want to accidentally commit fraud or something. The job would pay about $400-500 a week which is less than my unemployment benefit amount. Can someone explain what the actual rules are?
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James Maki
It's not illegal to work while collecting unemployment, but you MUST report all work and earnings to NYS Department of Labor when you file your weekly claim. The key is being honest about it. You can work part-time and still receive partial unemployment benefits as long as your earnings don't exceed your benefit rate plus $50. So if your weekly benefit amount is $300, you can earn up to $350 and still get some unemployment. Anything over that and you won't get any UI for that week.
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Kayla Morgan
•Thank you! So I just need to report the hours and earnings when I do my weekly claim filing? Is there a specific section for that on the my.ny.gov site?
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Jasmine Hancock
yeah definitely report it or you'll get in big trouble later. happened to my cousin - she worked a few days and didn't report it thinking it was no big deal. NYS Department of Labor found out somehow and now she owes back like $2000 in overpayments
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Cole Roush
•This is exactly right. NYS Department of Labor cross-references with wage records from employers, so they WILL find out eventually. It's much better to be upfront about any work. The partial benefit calculation actually encourages people to take part-time work while looking for full-time employment.
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Scarlett Forster
I've been dealing with NYS Department of Labor for months and honestly their phone system is impossible. If you need to talk to someone about your specific situation, I found this service called Claimyr (claimyr.com) that actually gets you through to a real person at NYS Department of Labor. They have a video showing how it works: https://youtu.be/qyftW-mnTNI. I was skeptical but it actually worked - got through in like 20 minutes instead of calling for days.
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Arnav Bengali
•How much does that cost though? I'm already broke from being unemployed
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Sayid Hassan
The partial benefit formula is: Weekly Benefit Amount - (Gross earnings - $50) = Partial benefit. So if your WBA is $300 and you earn $200 that week, you'd get $300 - ($200 - $50) = $150 in unemployment plus your $200 in wages. You still need to be available for full-time work and continue your job search activities though.
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Kayla Morgan
•This is super helpful! I had no idea about the $50 thing. So essentially I can earn $50 without it affecting my benefits at all?
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James Maki
•Exactly! The first $50 you earn each week doesn't reduce your unemployment benefit at all. It's designed to encourage people to take temporary or part-time work.
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Rachel Tao
Just make sure you understand what counts as 'work' too. Even if you do some freelance stuff or odd jobs, that all needs to be reported. NYS Department of Labor considers any work for pay as work, regardless of whether you get a W-2 or 1099 or just cash.
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Royal_GM_Mark
I went through this exact situation last year! The key thing to remember is that you have to report your work and earnings EVERY week when you file your claim, even if you didn't work that particular week. When you log into the my.ny.gov portal to file your weekly claim, there's a section that asks "Did you work or earn money this week?" - you answer yes and then fill out the details about hours worked and gross earnings. Don't overthink it - as long as you're honest about your part-time work, you'll be fine. The system will automatically calculate your partial benefit. And like others said, taking that part-time job while still looking for full-time work is actually encouraged by NYS Department of Labor!
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