What happens if you claim unemployment while working - NYS Department of Labor consequences?
I'm really worried because I think I messed up big time. I was getting unemployment benefits for about 6 weeks earlier this year, and during that time I picked up some part-time work at a restaurant. I reported the hours on my weekly claims like I thought I was supposed to, but now I'm getting conflicting information about whether I should have been claiming at all while working. My friend says the NYS Department of Labor considers any work as disqualifying you completely, but that doesn't make sense because they ask about earnings on the weekly claim form. Can someone explain what actually happens if you claim unemployment while working? Am I going to get in trouble for fraud or something?
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Yara Khalil
You did the right thing by reporting your part-time work! NYS Department of Labor allows you to work part-time while collecting unemployment as long as you report all earnings. The key is that your weekly benefit amount gets reduced based on how much you earn. If you earn more than your weekly benefit rate plus $50, you won't get any benefits for that week, but it's not fraud if you're reporting honestly. The problem comes when people work and don't report it at all.
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LunarEclipse
•Oh thank god, I was so scared I was going to have to pay everything back. So as long as I reported the hours and earnings on my weekly claims, I should be okay?
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Keisha Brown
yeah i worked part time while on unemployment too and it was fine. they just take some money off your weekly amount based on what you make. the formula is weird but basically you can earn like $50 without any reduction then after that they start taking money off your benefit
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Paolo Esposito
There's actually a specific calculation NYS Department of Labor uses. You can earn up to 25% of your weekly benefit rate plus $50 without any reduction. After that, they subtract 25% of your earnings from your benefit. So if your weekly benefit is $200, you can earn up to $100 without penalty ($50 + 25% of $200). If you earn $150 that week, they'd subtract $12.50 from your $200 benefit (25% of the $50 over the threshold).
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LunarEclipse
•This is super helpful! I was making about $80-120 per week at the restaurant, so it sounds like I was within the allowed limits most weeks.
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Amina Toure
The real issue is when people work full-time or don't report their earnings at all. That's when NYS Department of Labor hits you with overpayment notices and potential fraud charges. I've seen people get letters demanding thousands back because they worked under the table while claiming. If you're honest about your part-time work, the worst that happens is your weekly benefit gets reduced or you get $0 for that week.
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Oliver Weber
Had a similar panic attack about this last year! I was doing some freelance graphic design work while on unemployment and reported everything. Never had any issues. The NYS Department of Labor phone lines are impossible to get through, but I found this service called Claimyr (claimyr.com) that actually got me connected to a real person to verify I was doing everything correctly. They have a video demo at https://youtu.be/qyftW-mnTNI showing how it works. Gave me so much peace of mind to talk to an actual agent.
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LunarEclipse
•That's exactly what I need - someone to confirm I'm not going to get hit with fraud charges. How much does that service cost?
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Oliver Weber
•They don't ask for any personal info upfront and focus on just getting you connected. Way better than sitting on hold for hours and getting hung up on.
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FireflyDreams
THE SYSTEM IS DESIGNED TO CONFUSE PEOPLE!!! They make it so complicated with all these formulas and exceptions that honest people like you panic while the real cheaters know exactly how to game it. I reported everything correctly for months and still got audited. Took 3 months to clear up even though I had all my documentation. NYS Department of Labor needs to fix their communication!
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Natasha Kuznetsova
Wait, I'm confused now. I thought if you worked ANY hours you couldn't claim that week? I've been skipping my weekly claims whenever I pick up shifts at my retail job. Have I been losing money I was entitled to?
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Yara Khalil
•You've definitely been losing money! As long as you work less than 4 days and earn under a certain amount, you can still get partial benefits. You should call NYS Department of Labor to see if you can retroactively claim any weeks you missed.
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