Can I collect Washington ESD unemployment benefits while receiving severance pay?

That's good to know! So I should go ahead and file even though I'm getting the severance?

Yes, definitely file right away. There's a waiting week anyway, and you want to get your claim established. The worst thing that happens is they reduce some payments, but you'll still be in the system.

It's being paid out bi-weekly like my regular paycheck was. Does that mean they'll treat it like wages?

Possibly, but not necessarily. Washington ESD looks at whether you're performing services for the pay. Since you're not working during the severance period, it might not count as wages. You'll need to report it and let them make the determination.

This is confusing. I thought any money from your employer would disqualify you from unemployment benefits.

How did you finally get through to someone? I've been trying to call Washington ESD but keep getting disconnected.

I actually used this service called Claimyr that calls for you and gets you connected to a real person. Found it at claimyr.com and there's a demo video at https://youtu.be/7DieNd3C7zQ that shows how it works. Way better than spending hours on hold.

It's not double dipping if you're legitimately unemployed and available for work. Severance is usually compensation for past service, not payment for future work.

i guess that makes sense. i always thought you had to choose one or the other

Definitely don't want to deal with an overpayment issue. I'll make sure to report everything accurately.

Good call. I got hit with an overpayment notice for not reporting some consulting income and it was a nightmare to sort out.

They do have guidelines, but every situation is different. Severance can be structured so many ways that they have to evaluate each case individually.

I suppose that makes sense, but it's still frustrating when you're trying to figure out what to do.

That's a good point about the job search requirements. I should probably start looking immediately anyway.

Exactly. The job market is competitive right now, so the sooner you start, the better. And Washington ESD requires you to be actively searching anyway.

How long did it take them to make that determination? Did you have to provide any special documentation?

It took about 2 weeks after I filed my first weekly claim. I had to provide a copy of my severance agreement that showed it wasn't tied to any work requirements.

My severance agreement does have a non-compete clause but I'm not doing any work for them. Think that would be an issue?

The non-compete shouldn't matter as long as you're not actually working. It's more about whether you're getting paid to provide services, not about restrictions on future employment.

Good advice. I think I'm overthinking this. I'll file tomorrow and deal with whatever happens.

That's the right approach. The worst case is they reduce some payments temporarily, but you'll still be establishing your benefit year.

Right, I need to make sure I'm meeting all the other requirements too. Thanks for the reminder.

Yeah, the job search requirement doesn't go away just because you have severance. You'll still need to log your activities in WorkSourceWA.

It definitely won't disqualify you completely. At worst, it might reduce some payments. File as soon as possible.

Thanks! I'll get my application in this week.

How long does adjudication usually take? I'm hoping to start getting benefits soon.

It varies, but usually 2-4 weeks. They'll contact you if they need additional information about the severance arrangement.

If you end up in adjudication and need to talk to someone, that Claimyr service I mentioned earlier really helps get through to agents faster than trying to call yourself.

Interesting. I wonder if that works for or against me in this case.

It really depends on the specific terms of the severance agreement. Washington ESD looks at each situation individually.

Absolutely. I'd rather over-report than under-report and face problems later.

Smart approach. Washington ESD is pretty good about working with people who are honest about their situations.

Thanks! Yeah, I'm grateful for the severance. It definitely takes some pressure off while I look for something new.

That's the whole point of severance really - to give you time to land on your feet. Sounds like your company did right by you.