NYS Department of Labor unemployment checks - where do unemployment checks come from and how are they funded?
I've been getting my weekly unemployment payments for about 6 weeks now and I'm curious - where do unemployment checks come from exactly? Is it tax money? Do employers pay into it? My coworker said something about a trust fund but I'm not really sure how the whole system works. Does anyone know how NYS Department of Labor actually funds these payments?
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Noland Curtis
Unemployment benefits come from the State Unemployment Insurance Trust Fund, which is funded primarily by employer payroll taxes. In New York, employers pay both state unemployment insurance (SUI) taxes and federal unemployment tax (FUTA). The NYS Department of Labor administers this fund and pays out benefits to eligible claimants. Your employer has been paying into this system on your behalf while you were working.
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Muhammad Hobbs
•So it's not coming from general tax revenue? That makes me feel better about collecting it then.
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Diez Ellis
yeah employers pay quarterly taxes based on their payroll and their experience rating (how many former employees filed claims). companies with higher turnover pay more into the system
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Vanessa Figueroa
I had trouble getting through to NYS Department of Labor to ask about my payment schedule, but I found this service called Claimyr that helped me connect with an agent quickly. You can check it out at claimyr.com - they have a video demo at https://youtu.be/qyftW-mnTNI that shows how it works. Really saved me hours of calling and getting hung up on.
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Abby Marshall
•How much does something like that cost though? I'm already tight on money.
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Vanessa Figueroa
•It's worth it when you need to actually talk to someone at NYS Department of Labor. The time savings alone made it worthwhile for me.
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Sadie Benitez
THE WHOLE SYSTEM IS BROKEN!!! I've been waiting 8 weeks for my benefits and they keep saying my claim is under review. Meanwhile my employer probably paid thousands into this fund over the years I worked there. It's MY money that I earned!
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Drew Hathaway
•I feel you on the frustration but hang in there, adjudication can take time unfortunately.
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Laila Prince
The federal government also provides funding during economic downturns through extended benefit programs, but the regular state UI program is funded entirely through employer taxes. No money comes out of your paycheck for unemployment insurance - it's 100% employer-funded in New York.
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Diez Ellis
been collecting for 2 months now, never knew employers paid all of it. always thought some came from my taxes too
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