Can you file for unemployment if you get severance? Texas TWC rules explained

So I report it when I first apply and also keep reporting it every time I do a payment request while they're still sending the checks?

Exactly right. When you apply there's a spot to enter it, and then on each payment request the system asks about other income for that week. Report whatever you actually received that week.

Heads up that TWC mails a separate determination just for the severance question. Keep checking your mailbox because that decision tells you whether and when benefits can start.

That's actually really useful because I've been trying to get someone on the phone and keep getting the busy signal loop.

My sister had a similar phone situation during her claim last year and ended up spending a full week just trying to get through. I might point her to this for a different issue she has now.

Curious whether you had to explain the whole severance situation again once the agent picked up or if they already had your account pulled up.

The agent just asked for my Social Security number to pull up my account and then we went from there. Pretty straightforward once you're actually talking to someone.

Wait so the claim literally can't cover any weeks before I apply? Even if I've already been unemployed for two weeks?

Correct. The week the claim starts is the Sunday of the week you actually file. Those two weeks you already sat on are just gone. Apply today.

This is one of the most common mistakes people make with TWC honestly. I see this question come up constantly. Apply the moment you're out of a job, not after you figure everything out.

My agreement doesn't specifically say anything about notice pay, it just calls everything a severance package. Should I be worried that TWC will reclassify part of it?

Just report what you received and how the company described it. TWC will ask if they need more detail. You're not required to interpret it for them, just be accurate about what you got.

Had almost this exact ambiguity on my own claim last year. TWC sent me a letter asking for clarification and I just explained how it was described in my separation paperwork. They handled it from there.

This is making me want to log on to UBS right now and just get it done.

Do it. The application itself takes maybe 20 minutes if you have your work history handy. You can file at https://apps.twc.texas.gov/UBS/security/logon.do under Apply for Benefits.

Filing and figuring out the severance question at the same time is the right call. TWC is set up to handle both things simultaneously, that's exactly what the determination process is for.

I've heard this myth so many times. Someone at my old job told everyone that taking the severance meant signing away your right to unemployment. That's not what the separation agreement says at all if you read it carefully.

Separation agreements often include language about not suing the company, non-disparagement clauses, things like that. What they generally can't do is waive your right to file for unemployment. That's between you and TWC.

Mine definitely has the non-disparagement language but nothing specifically about unemployment. Good to know that's not something they can just take away.

How many activities are we usually talking per week? Is it like one or five?

Depends on your county. The letter TWC mails you is the official number for your situation, that's the one that counts. It ranges anywhere from one to five depending on where you live.

Harris County is five a week, just for reference if that's where you are. But check your letter because that's the official word.

So I should be submitting payment requests even during the period where TWC is still figuring out the severance situation?

Yes, absolutely. TWC only pays weeks that were requested on time. If you skip requests while waiting for the determination and then it comes back in your favor, you could lose those weeks. Keep requesting.

The instructions sheet TWC mails after you apply will tell you when to start requesting and what days to do it on. Mine said to request about one to two weeks after the application date.

How long does it typically take to get all those determination letters after applying?

TWC generally takes around four weeks before the first payment decision. That's just what they say, not a hard rule. But keep an eye on your mail from day one.

And check UBS once a day too. They update the system overnight so checking daily is the best way to catch any changes to your claim status.

That hadn't occurred to me. So even though my agreement uses the word severance throughout, TWC could look at how it was calculated and decide part of it means something different?

TWC looks at the substance of what you received, not just the label your employer put on it. Bring your separation agreement details if you end up speaking to an agent, they can help you understand how it'll likely be treated.

Got connected to a TWC agent through claimyr.com when I had a similar question about my separation package. The agent walked me through what documentation to have ready before the determination was finalized. Really clarified what I needed to do next.

That makes sense. Mine is paid out over several weeks so I'd report each installment as it comes in rather than the full $18,500 upfront each time.

Right. Report gross amounts, rounded down to whole dollars, for the week you actually received each payment.

Wait so there's a week I might never get paid for even if everything goes in my favor?

Not necessarily. It's held until those two conditions happen. If you exhaust your benefits without finding work it releases at the end. If you do find work you have to actively request it. Either way it's not lost forever, it just requires that both things happen.

To be precise: you need both the two-payments condition AND the return to work or benefit exhaustion. Neither alone is enough to trigger the release.

Good to know there's an appeal option. I hadn't even thought about that stage yet.

Appeals go through UBS under Submit An Appeal. You can also do it in person at a Workforce Solutions office or by mail. Never by email or phone though.

And keep submitting payment requests throughout any appeal process. TWC only pays weeks that were requested on time, it doesn't go back and cover weeks you didn't request just because the appeal eventually goes your way.

How many times a day were you calling? I've been trying every morning and just getting the busy signal.

Morning is actually one of the busiest times. Some people have luck calling right when they open or trying mid-afternoon. But honestly even those windows aren't consistent.

The Tele-Center number for general claims questions is 800-939-6631 during business hours. Might be worth also checking if your specific question can be answered through UBS message center instead of trying to call.

Did he eventually get the same outcome or did the delay mean he got less?

Eventually same result, just took longer. He kept his payment requests going the whole time so when the determination cleared the weeks were there to pay out.

Keeping the payment requests going during any kind of hold is probably the single most important thing people don't realize. You can't go back and claim weeks you didn't request.

That's basically what I needed to hear. Report everything, keep doing the payment requests, wait for the letter.

Exactly. The letter gives you something to work with, and if you disagree with it, the 14-day appeal window is there.

Appreciate that. I think I had myself convinced I was going to get denied automatically and that made me slow to start the process.

Super common reaction. The system is confusing enough that most people just assume the worst case. Apply, report accurately, let TWC give you an actual answer.

And if the answer is a determination you don't agree with, that's what the appeal process exists for. You have options even after the initial decision.

That's more than I expected honestly. I had no idea the amount could be that high.

The formula is your highest base period quarter divided by 25. So if you earned, say, $38,000 in your best quarter, you'd be right around the cap.

And the maximum total you can collect is either 26 times your weekly amount or 27 percent of everything you earned in the base period, whichever is smaller. The benefit year runs 52 weeks from when you apply, so there's a window to use it up.

Okay, I'm going to file today. Thank you everyone, this thread has been genuinely more helpful than anything I found on my own.

Report everything, do your payment requests on the schedule TWC gives you, and open every piece of mail they send. You've got the full picture now.

Also register on WorkInTexas.com if you haven't already, and start your work search log immediately. Those requirements run from the week you apply regardless of where your determination stands.