PA UC demanding $8000 repayment after reporting freelance income - help with appeal?

Oh no thats TERRIBLE!! The exact same thing happened to my cousin last year. They claimed his side gig as a delivery driver made him 'self employed' even tho it was just a few hours on weekends. PA unemployment is SO BROKEN! They demand everything back plus interest if u lose. Its totally unfair since they tell you to report all income but then use it against u. My cousin tried appealing but got nowhere - the system is RIGGED against regular people!!!!

This is actually a common misunderstanding with PA UC. There's an important distinction between "side work" and "self-employment." The key factors UC looks at are: 1) How many hours spent on freelance work, 2) If you're actively marketing your services, 3) If you have business cards/website/etc., and 4) If you're available for full-time work elsewhere. For your appeal, you'll need to emphasize that these were temporary gigs, not an established business, and that your husband remained available for and was actively seeking full-time employment. Bring documentation of job applications and any interviews during this period. The appeal referee will consider whether the consulting was truly "sideline" work or his primary occupation.

contact ur state rep asap! my brother had similar issue last yr, got hit with $6k overpayment for some weekend handyman jobs. state rep office helped him navigate the appeal system & even wrote a letter of support. he won his appeal! dont wait til after appeal to contact them - do it now so they can help u prepare

I successfully appealed an overpayment determination related to self-employment last year. Here's what worked for me: 1. Request a copy of your entire UC file through a Right to Know request before your hearing 2. Get a detailed breakdown of how they calculated the overpayment amount 3. Bring documentation showing job search activities for each week claimed 4. If possible, have former employer provide a letter confirming the layoff was due to lack of work 5. Be prepared to explain how the freelance work was substantially different from previous employment The burden is on UC to prove that self-employment was the primary occupation, not just supplemental income. In my case, I was able to show that my occasional website design work (about 5-10 hours/week) was not my primary occupation and that I remained available for full-time work. If you're struggling to reach someone at UC to get clarification before your hearing, I recommend trying Claimyr (claimyr.com). They helped me get through to an actual person at UC after weeks of busy signals. They have a video showing how it works: https://youtu.be/CEPETxZdo9E?si=WL1ZzVZWG3KiHrg2

just wondering did ur husband file as an independent contractor for tax purposes for the freelance work? that can make a huge difference in how UC views it. if he got 1099s that might be why they're calling it self employment instead of just part time work

So here's the deal with PA unemployment and side work. It's not just about reporting income - it's about your employment STATUS. If UC determines your husband was "customarily self-employed" even part-time, they can disqualify all benefits. It's a stupid technicality but I've seen it happen a lot. At your appeal, focus on: 1) These were temporary assignments, not ongoing business 2) He wasn't actively soliciting this work (they came to him) 3) He remained available for full-time traditional employment Also - YES contact your state rep! They can often cut through red tape. I've worked with several clients who got help this way when the UC system wasn't responding.

update us after ur appeal!! im so curious if u can win this. the whole system is designed to make people give up and just pay. my neighbor had to set up a payment plan for $13k in overpayments and its like $300/month for YEARS. completely insane!!

One more important tip - review Section 402(h) of the PA UC Law and the "sideline business" exception. If your husband had been doing this consulting work while also employed full-time before the layoff, and then continued it at the same approximate scale after layoff, that's a strong defense. UC's own policy states that continuing a pre-existing sideline business doesn't disqualify you if you remain available for suitable work. Print that section of the law and bring it to your hearing.

I used to work as a paralegal helping with UC appeals, and I've seen these cases go both ways. The deciding factor is usually whether the claimant can prove they remained able and available for full-time work despite the freelance activities. Bring a detailed calendar showing when your husband did the freelance work versus when he was job searching, interviewing, etc. Also, if the consulting work was in any way different from his regular occupation (different skills, industry, etc.), make sure to emphasize that. Good luck!

I'm dealing with something similar right now - got laid off from my retail job in January and have been doing some freelance graphic design work while job hunting. I've been reporting everything but now I'm terrified they'll come after me too! This thread is super helpful though. I didn't realize there was such a specific distinction between "sideline work" and "self-employment" in PA's eyes. Quick question for those who've been through appeals - about how long does the whole process take? I'm worried if I get hit with an overpayment notice, how much time I'd have to prepare a defense. Also, does anyone know if you can get a lawyer for these hearings or is it mostly just you representing yourself? Really hoping your appeal goes well OP! The fact that your husband reported everything and was actively job searching should work in your favor.