NYS Department of Labor unemployment claim denied - owned clothing factory but lost everything
I owned a small clothing manufacturing business in Queens for 8 years until everything fell apart last September. Had to close the factory, lost my house, the whole nightmare. Applied for unemployment in October thinking I'd qualify since I paid into the system when I took a salary, but NYS Department of Labor denied my claim saying I was 'self-employed.' I appealed but they upheld the denial. Has anyone else who owned a business been able to get unemployment benefits? I'm at my wit's end here and don't know what other options I have.
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Emma Swift
This is actually a complex area of unemployment law. If you were incorporated and took a W-2 salary (not just distributions), you may have been eligible. The key is whether you were paying unemployment insurance taxes on your own wages. Did you have payroll records showing SUTA contributions for yourself?
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Max Knight
•Yes I was incorporated and took a regular salary with taxes taken out including unemployment tax. I have all the payroll records from ADP. Should I appeal again with this documentation?
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Isabella Tucker
omg this sounds horrible, losing everything like that. the unemployment system is so messed up, they probably didn't even look at your case properly
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Jayden Hill
You need to request a hearing with an Administrative Law Judge. The local NYS Department of Labor office probably made an error. Bring your incorporation papers, payroll records showing SUTA payments, and any W-2s you issued to yourself. The fact that you paid unemployment taxes should make you eligible.
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LordCommander
•How long does it take to get a hearing scheduled? I tried calling NYS Department of Labor but can never get through to an actual person.
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Lucy Lam
•I had trouble reaching them too until someone told me about claimyr.com - they help you get through to actual NYS Department of Labor agents. There's a demo video at https://youtu.be/qyftW-mnTNI that shows how it works. Saved me hours of calling and getting hung up on.
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Aidan Hudson
Wait, I thought business owners couldn't get unemployment at all? My cousin owned a restaurant and when it closed during COVID he couldn't get regular unemployment, only got some business assistance stuff.
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Emma Swift
That's a common misconception. Corporate officers who take W-2 wages and pay unemployment taxes are generally eligible. It's sole proprietors and partners who typically can't collect. The restaurant owner was probably unincorporated or didn't pay SUTA on his own wages.
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Max Knight
•This gives me hope. I definitely paid all the taxes properly. Going to gather all my records and request that hearing. Thank you for the guidance!
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