PA UC severance pay confusion - Can I file for benefits before my severance runs out?

You should file for PA UC benefits immediately! Do NOT wait until your severance runs out. Pennsylvania treats severance differently than regular wages, especially if it's paid in a lump sum. File your initial claim right away, then report your severance when you file your weekly claims. The system will calculate any offset to your benefits. Remember that delaying your application could mean losing benefits you're entitled to, as claims aren't backdated to your layoff date unless there are special circumstances.

ya i got laid off last year and got severence too. just apply now!! PA will figure out what ur eligible for. might get reduced payments during severence period but at least ur in the system.

I'll share what happened in my case. Filed immediately after layoff in January 2025 with 12 weeks severance. PA UC required me to report the severance amount on my application. They reduced my weekly benefit amount during the severance period, but I still received partial payments because my severance was less than my previous salary. Very important: Severance and vacation payout are treated differently! Vacation payout is considered wages for the period it would cover, while severance follows the deduction rules based on when you receive it and how much. Make sure you answer all severance questions honestly and accurately. If you make a mistake, call and correct it immediately to avoid overpayment issues later.

The PA UC system is DESIGNED to be confusing about severance!!! They want you to mess up so they can deny benefits or hit you with overpayments later. I went through this last year and the forms aren't clear AT ALL about how to report severance vs. vacation payout. When you file online there's a specific section for severance but it doesn't explain the difference properly. And good luck getting anyone on the phone if you have questions!!!!

I was in your exact situation in February. Tried for DAYS to reach someone at PA UC to ask about how to report my severance correctly. Busy signals, disconnects, website errors... so frustrating. Finally used Claimyr (claimyr.com) and got through to a UC rep in under an hour. They explained exactly how to report my severance and vacation payout separately. Saved me weeks of stress and potential mistakes. You can see how it works in their video: https://youtu.be/CEPETxZdo9E?si=WL1ZzVZWG3KiHrg2. Definitely worth it to get clear answers about your specific situation.

My brother just went through this last month! He filed right away but forgot to report his severance on the initial application. Big mistake! They found out when his employer responded to their inquiry and now he has an overpayment issue and they stopped his benefits until it's resolved. Just make sure you report EVERYTHING correctly up front.

One time my cousin's neighbor's dog walker got severance and they filed for unemployment and then they bought a new car with the money and then unemployment found out and made them sell the car to pay back the benefits but then they appealed and won but had already sold the car so they had to take the bus for like a year and that's why you should always report severance correctly

Thank you everyone for all this helpful information! I'm going to file my initial claim today and make sure I report my severance package accurately. I'll double check all the details on the severance agreement from HR first. Sounds like I might get partial benefits during this period which would really help. And if I have any trouble getting answers from UC about how to report things correctly, I'll try that Claimyr service. Really appreciate all your advice!

Just wanted to add one more thing that helped me when I was in a similar situation - make sure to keep a copy of your severance agreement and any documentation about how it's being paid out (lump sum vs. weekly payments). PA UC may ask for this later to verify your reported amounts. Also, if your company is paying your health insurance during the severance period, that's NOT considered part of your severance payment for UC purposes, so don't include that value when reporting. The distinction between different types of payments can be confusing but it's really important to get it right. Wishing you the best with your claim!

Great advice from everyone here! I went through this exact situation about 6 months ago and can confirm - file immediately! Don't wait. I made the mistake of waiting 3 weeks into my severance period before filing and lost out on those weeks of potential benefits. Even though my weekly UC payment was reduced during the severance period, I still received something which helped cover expenses my severance didn't fully cover. The key is being completely transparent about your severance amount and payment schedule when you file. PA UC will do the math on what you're eligible for. Also, if you're getting severance paid out weekly vs. lump sum, make sure you understand how to report that correctly - it can affect your benefit calculation differently.

I just went through this exact situation 2 months ago! Filed immediately after my layoff even though I had 6 weeks severance coming. Best decision I made. PA UC reduced my weekly benefit by about 60% during the severance period, but I still got around $180/week which helped with groceries and utilities while my severance covered rent and bigger expenses. The key thing is they calculate it based on your severance amount divided by your previous weekly wage - so if your severance is less than what you were making weekly, you'll still get partial UC benefits. Just make sure when you file that you report the total severance amount and whether it's lump sum or weekly payments. Don't overthink it - the system will figure out what you're eligible for once you input everything correctly!

I went through this same situation about a year ago and want to echo what others have said - definitely file immediately! I had 10 weeks of severance and was so confused about the timing. What really helped me was understanding that PA treats severance as income that reduces your weekly benefit amount, but it doesn't make you ineligible entirely. In my case, I received about 40% of my normal UC benefit during the severance period because my severance weekly amount was less than my previous salary. The math can seem complicated but the system handles it automatically once you report everything accurately. One tip that saved me headaches - when you're filling out the application, there's a specific question about "dismissal pay" which includes severance. Make sure you answer that section completely with the total amount and payment schedule. Also keep your severance agreement handy because you might need to reference exact dates and amounts when filing your weekly claims. Good luck with everything!

I'm in almost the exact same situation right now! Just got laid off last week and have 6 weeks of severance coming. Reading through all these responses has been incredibly helpful - I was definitely leaning toward waiting until my severance ended before filing, but it sounds like that would be a huge mistake. The fact that several people mentioned still getting partial benefits during the severance period is really encouraging. I'm going to follow everyone's advice and file my claim today. One question though - for those who filed immediately, how long did it take to get your first payment? I know there's usually a waiting period, but I'm trying to plan my finances during this transition. Thanks to everyone for sharing their experiences - this community has been a lifesaver!

I'm dealing with this exact situation right now too! Got laid off two weeks ago with 12 weeks of severance and have been going back and forth about when to file. This thread has been incredibly helpful - I had no idea that delaying could mean losing out on benefits entirely. The examples everyone shared about still getting partial payments during severance (like $150-180/week) really put things in perspective. That would definitely help with day-to-day expenses while my severance handles rent and major bills. I'm convinced now that I need to stop overthinking this and just file immediately. One thing I'm still a bit nervous about is making sure I report the severance correctly - my company is paying it out in weekly installments rather than a lump sum. Has anyone dealt with weekly severance payments specifically? Want to make sure I don't mess up the reporting and end up with overpayment issues later. Thanks everyone for being so generous with sharing your experiences!

I'm also dealing with this situation and want to thank everyone for sharing their experiences! Just got laid off yesterday with 8 weeks severance and was completely lost about the timing. Reading through all these responses has been so reassuring - especially seeing the specific examples of people still getting $150-180/week during their severance period. That would make a real difference for groceries and utilities while my severance covers the bigger expenses. I was definitely planning to wait until my severance ended, but now I understand that would be a costly mistake. Filing my claim today! One quick question - for those who had success getting through to PA UC for questions, what time of day seemed to work best for calling? I want to have a backup plan in case I need clarification on anything during the process.

Just wanted to add my experience since I went through this exact situation 3 months ago! Got laid off with 10 weeks severance and made the mistake of waiting 2 weeks before filing because I thought I had to wait until severance ended. BIG mistake - lost those 2 weeks of potential benefits completely. Even though my weekly UC payment was reduced to about $120/week during the severance period (compared to what would have been around $350/week without severance), that $120 still helped with gas, groceries, and small bills while my severance handled rent and major expenses. The math works out based on your severance amount vs your previous weekly earnings, so don't assume you'll get nothing during the severance period. Also want to emphasize what others said about keeping detailed records - I saved every email, document, and screenshot from my UC filing process which came in handy when they had a question about my severance payment schedule a few weeks later. File immediately and be completely honest about all the severance details. The system is designed to handle these situations once you give it accurate information!

As someone who just went through this process a few weeks ago, I can't stress enough - FILE IMMEDIATELY! I was laid off with 6 weeks severance and almost made the mistake of waiting. Thankfully I found advice similar to what's in this thread and filed right away. During my severance period, I'm getting about $140/week in UC benefits (my full benefit would be around $380/week). It's not huge but it definitely helps with groceries and gas while my severance covers rent and utilities. The application process was actually pretty straightforward once I understood that I needed to report my total severance amount upfront and then report it again on my weekly claims. PA UC automatically calculates the reduction. My biggest tip: have your severance agreement in front of you when you file - you'll need exact dollar amounts and payment dates. Don't overthink it, just be honest and accurate with all your reporting. The longer you wait, the more potential benefits you're losing forever!

I'm going through this exact same situation right now! Got laid off on Friday with 10 weeks of severance and have been stressing about when to file. This entire thread has been incredibly eye-opening - I was absolutely planning to wait until my severance ended because I thought that's what you were supposed to do. Reading everyone's experiences about still getting partial benefits during the severance period ($120-180/week seems to be the range) is really encouraging. Even though it's not the full benefit amount, that would definitely help with everyday expenses like groceries and gas while my severance handles the bigger bills like rent and car payments. The consistent message from everyone who's been through this is crystal clear: file immediately and don't wait! I'm convinced now and will be submitting my application today. Thanks to everyone for sharing their real experiences with specific numbers - it makes such a difference to see actual examples rather than just general advice. This community is amazing for supporting people through these stressful transitions!