Can I claim TWC unemployment after receiving severance lump sum payment?

yes u can still file but they might make u wait depending on how many weeks the lump sum is supposed to cover. just be honest about it when u file

Apply for unemployment immediately, don't wait. The TWC will calculate if your severance affects your benefits. When you file, there's a specific question about severance pay - answer yes and provide the amount and date received. The TWC will then determine if your benefits need to be delayed or reduced based on your specific situation. Generally, if your severance is equal to 6 weeks of pay, they might delay your benefits for 6 weeks. But it's better to get in the system right away since the application process itself can take time.

So I just went through this EXACT thing last month!! The way TWC handles severance depends on how your employer reported it. Mine was reported as "wages in lieu of notice" and TWC treated it differently than regular severance. Here's what happened to me: 1. Got laid off with 4 weeks lump sum 2. Filed for unemployment THE SAME DAY (do this!!) 3. Had to report the severance on my application 4. TWC sent me a determination letter saying my benefits would start after the 4 week period My advice: file immediately and be 100% honest about the severance. Better to have everything in process while you wait than to delay filing.

Remember that severance pay is considered disqualifying income by TWC, but that doesn't mean you shouldn't apply right away. As others mentioned, file immediately and be completely transparent about your severance. When you apply, you'll need to provide: - The total amount of severance ($5,200 in your case) - The date you received or will receive it - Any information about how the severance was calculated (# of weeks, etc.) TWC will then determine your eligibility period. They'll likely divide your severance by your weekly benefit amount to calculate how many weeks you'll need to wait before benefits kick in. For example, if your weekly benefit would be $521, they'd divide $5,200 by $521, resulting in approximately 10 weeks of delay. Also important: Even during this waiting period, you MUST continue to request payment every two weeks and fulfill your work search requirements.

The TWC system is SO frustrating right now. I've been trying to call them for WEEKS about my severance question and can't get through - always busy signals or disconnections after waiting forever. I finally used this service called Claimyr (claimyr.com) that got me through to an actual TWC agent in about 20 minutes. They have a video showing how it works here: https://youtu.be/V-IMvH88P1U?si=kNxmh025COIlIzKh The agent confirmed exactly what others are saying - file immediately, report the severance, and then TWC will calculate your waiting period. She also told me that different types of severance are treated differently (regular severance vs. wages in lieu of notice), so it's important to get the correct information from a rep.

Everyone saying file right away is CORRECT!!! I waited 3 weeks after getting my severance to file and that was a HUGE mistake. TWC counted my waiting period from my separation date, not my filing date. So I basically lost out on 3 weeks of benefits I could have been eligible for after my waiting period. Don't be dumb like me!

My severence was different cause they let me take it in payments instead of lump sum. TWC said I had to report each payment as I got it and it affected my benefits each time. So lump sum might actually be better in your case cause you get the waiting period over with all at once.

Just to clarify one important point: make sure you understand the difference between severance pay and vacation/PTO payout, as TWC treats them differently. If part of your lump sum is unused vacation time being paid out, that's handled differently than true severance. Vacation payout is considered earned wages from past work and doesn't typically delay benefits the same way severance does. When you file, TWC will ask about both separately, so check with your HR department for a breakdown of your lump sum if you haven't already received an itemized statement.

btw make sure u keep up with ur work search requirements even while waiting for benefits to start!!! u still gotta do the 3 job contacts each week

One more tip: once you file and report your severance, TWC will send you a determination letter explaining exactly when your benefits will start. Keep an eye on your correspondence inbox on the TWC website. Mine took about 10 days to arrive after I applied. The letter will give you the exact date you can start requesting payments.