Can I collect Washington ESD unemployment if I get severance pay?

So they'll reduce my weekly benefit by the severance amount? That kind of defeats the purpose doesn't it?

Not necessarily. If your weekly benefit would be $400 and you get $1000 in severance that week, you'd get $0 in UI. But if you get $300 in severance, you'd still get $100 in UI benefits.

Did you have to provide documentation about the severance to Washington ESD?

Yes, I had to send them a copy of my severance agreement. They wanted to see the payment schedule and total amount.

It's being paid as a lump sum when I leave. So that shouldn't delay my benefits starting?

Correct! Lump sum severance generally doesn't delay your benefit start date in Washington state.

It's being paid bi-weekly like regular paychecks for 8 weeks. Does that mean I have to wait 8 weeks to start getting unemployment?

If it's structured as wages in lieu of notice, then yes, you'd likely need to wait until that period ends. But definitely check with Washington ESD directly to be sure.

So I can still file my initial claim right away even with the severance coming?

Yes, you should file your claim as soon as you're unemployed. Washington ESD will calculate how the severance affects your weekly payments, but filing early protects your claim date.

Thanks! It's going to be paid as a lump sum, so that sounds promising. Do I need to report it when I file my initial claim?

Definitely report it on your application. Washington ESD needs to know about all separation payments, but they'll determine how it affects your benefits based on the specifics.

How did you report it on the weekly claims? Was there a specific section for severance?

Yeah, when you do your weekly claim there's a section asking about any income received. You just put the severance amount there and they handle the calculations.

Did you have trouble getting through to Washington ESD to ask questions about this? I've been trying to call for weeks about my claim issues.

Never heard of Claimyr before. Is it legit? I'm worried about scams when it comes to unemployment stuff.

Yeah it's legitimate. They basically help you get through the phone queue to talk to actual Washington ESD agents. I used it when I had adjudication issues and it saved me hours of calling.

HR departments often give incorrect information about unemployment. You should file as soon as you're laid off, even with severance. Washington ESD will determine how it affects your benefits.

Ugh, I've been waiting 3 weeks already based on what HR said. I'm definitely filing tomorrow.

Is this legit? Sounds too good to be true honestly.

I thought the same thing but I was desperate. It's real - they just handle the calling part so you don't have to sit on hold forever. Still talk to the actual Washington ESD agent yourself.

I've heard of Claimyr from other people on here. Seems like a reasonable solution for getting through to Washington ESD when you have urgent questions.

Good point. I definitely don't want to deal with overpayment problems later.

Exactly. Always report everything to Washington ESD. They have access to wage records and will catch unreported income eventually.

That's reassuring! Did you have any trouble getting through to Washington ESD to ask questions about it?

Yeah, calling Washington ESD was a nightmare. Kept getting busy signals or hung up on after waiting forever.

I had the same calling issues until I found Claimyr. It's a service that helps you get through to Washington ESD agents without all the waiting and busy signals. Check out claimyr.com - they have a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works.

So I should file now even though I won't get paid for 8 weeks? That seems weird but I guess it makes sense for the timing.

Exactly! Filing now protects your benefit year and ensures you don't lose any potential weeks later. Plus Washington ESD needs time to process your claim anyway.

Did reporting the severance reduce your weekly benefit amount at all?

No, it didn't reduce my weekly amount since it was a true severance and not wages. But every situation is different.

That's really reassuring to hear! Did you have any trouble getting through to Washington ESD to confirm this?

Oh man, trying to call Washington ESD was a nightmare. Took me forever to get through and then they kept transferring me around.

It's not that weird when you think about it. Severance is a one-time payment for past work, not ongoing employment. Washington ESD just wants to make sure you're not double-dipping during the same weeks.

ok that makes more sense i guess

Vacation payout is usually treated differently than severance. It's considered wages for time already worked, so it might not affect your unemployment benefits the same way.

ok good to know. this is all so confusing

With a lump sum, Washington ESD typically divides it by your weekly benefit amount to determine how many weeks it covers. So if your weekly benefit is $400, that $12k would cover 30 weeks.

So I'd have to wait 30 weeks before I could collect unemployment? That seems really harsh.

Not necessarily 30 weeks. They might prorate it differently. You really need to talk to Washington ESD directly about lump sum severance calculations.

Severance is different from regular wages. Washington state unemployment law treats lump sum severance payments separately from ongoing income.

Okay but what if the company calls it 'continuation of pay' instead of severance? Does that make a difference?

Never heard of that before, is it legit? Seems too good to be true.

Yeah it's real, they basically handle the waiting and calling for you so you don't have to sit on hold forever. Really helped when I needed to talk to someone about my specific situation.

This is so confusing! What counts as 'wages' vs 'severance' exactly? My company is giving me pay for unused vacation days too.

Vacation pay is usually treated as wages, not severance. So that might delay your benefits depending on how much it is.

Right?? I've been going in circles on their site. Did you ever get a clear answer?

Eventually but I had to call like 20 times before getting through to someone who knew what they were talking about

So if my severance is paid as a lump sum, does Washington ESD spread it out over multiple weeks?

Usually they'll ask you to report when you actually receive the severance payment, not spread it out. So if you get $8,000 in one week, that's when it counts against your benefits.

That seems unfair though. Why should a lump sum severance wipe out multiple weeks of benefits?

If it's structured as periodic payments rather than a lump sum, Washington ESD will typically deduct it from your weekly benefits as you receive each payment. Much easier to manage that way.

That's a relief. I was worried they'd count the whole amount upfront.

Vacation payout is usually treated differently. Washington ESD often considers unused vacation pay as wages for work already performed, so it might be allocated to the period before your unemployment started.

Interesting, so it might not affect my weekly claims at all then?

Potentially, but you should definitely report it and let Washington ESD make the determination. Better to be transparent than risk an overpayment issue later.

Yeah, it's definitely confusing. I just want to make sure I do everything right.

How much does Claimyr cost? I'm trying to save money while I'm unemployed.

It's definitely worth it if you need to get through to Washington ESD quickly. The peace of mind alone was worth it for me when I had severance questions.

Good idea. I should call HR and ask about the payment structure.

Definitely. Sometimes they can adjust the payment schedule to minimize the impact on your unemployment benefits.

Ugh, I've been trying to call for two days and keep getting the busy signal or getting disconnected after waiting on hold for an hour.

Have you tried using Claimyr? It's a service that helps you get through to Washington ESD agents. I used it when I had adjudication issues and it actually worked. Check out claimyr.com - they have a video demo at https://youtu.be/7DieNd3C7zQ that explains how it works.

I get the frustration, but there are guidelines. The issue is that every severance situation is unique so they need to evaluate case by case.

Well their phone system is useless so how are we supposed to get these case-by-case evaluations?

Wait, you still had to do job searches while getting severance? That seems like a waste of time.

yeah its stupid but thats what they told me. had to log job searches on worksourcewa even though i wasnt getting paid yet

Actually, you don't have to do job searches during the severance postponement period. The person above might have been given incorrect information. You only need to start job search activities once your UI benefits actually begin.

That's exactly what I'm worried about. How did you finally get it resolved?

Had to appeal their overpayment decision and provide documentation showing exactly when I received the severance. Took forever but they eventually fixed it.

Good advice. Should I get something in writing from my employer about the severance details?

Absolutely. Get the severance agreement and any documentation showing payment dates and amounts. Makes everything much smoother if questions come up later.

Good point. My last day is February 15th and the severance gets paid out then. Should I wait until the 16th to file?

That would be safest. File on or after your actual separation date to avoid any complications.

Never heard of this service. Is it legit? Seems too easy.

Yeah it's real. They basically handle the calling process for you so you don't have to deal with busy signals and waiting on hold forever.

I know right? The whole unemployment system is needlessly complicated.

It's complicated because they have to account for so many different employment situations. But once you understand the basics it's not too bad.

How long did it take for Washington ESD to process your claim with severance involved?

About 3 weeks, but that was pretty typical. The severance didn't seem to slow down the processing time much.

How can I tell which type mine is? The paperwork just says 'severance pay' but doesn't specify.

You'd need to ask HR or look at how it's being paid. If it's replacing your regular paychecks for a specific period, it's probably wages in lieu of notice.

I had the same problem until I found Claimyr. It's a service that helps you get through to Washington ESD agents. You can check it out at claimyr.com - they have a demo video at https://youtu.be/7DieNd3C7zQ that shows how it works. Really saved me from wasting hours on hold.

Definitely planning to report it! I just want to understand what to expect before I file.

Smart approach. Better to know going in than be surprised later.

Do you know if lump sum severance is treated differently than weekly severance payments?

Lump sum severance gets divided by your regular weekly wage to determine how many weeks it covers for UI purposes. So if you got $4000 lump sum and made $500/week, that's 8 weeks of postponement.

Wait I'm confused - I got a lump sum severance but Washington ESD is asking me to report it every week on my weekly claim. Why would I report the same severance 8 times?

seriously? the washington esd person told me i had to do job searches the whole time. i wasted so much time on worksourcewa for nothing

Unfortunately, some Washington ESD staff give incorrect information. You should only need to do job searches during weeks when you're actually eligible for payment, not during severance postponement.

That's trickier since it's being paid like wages. You'd probably need to report those payments on your weekly claims and it could reduce or eliminate your UI benefits during those weeks.

Ugh that's what I was afraid of. Maybe I should ask HR if they can change it to a lump sum.

Did they do a phone interview automatically or did you have to request one?

They scheduled it automatically when I filed, I think because of the severance payment. Wasn't a big deal though, just confirmed the details.

Oh that's a good point, I think my health insurance continues for 60 days. I'll make sure to mention that when I file.

Same here, wasn't a big deal as long as you're upfront about it.

It could potentially help by reducing the weekly impact on your benefits, but make sure any changes to your severance agreement don't affect other terms like health insurance continuation or non-compete clauses.

Good point, I'll need to look at the whole package before making changes.

I've got copies of everything. Learned that lesson from other bureaucratic nightmares.

Starting to think I should just use Claimyr instead of trying to figure this out on my own.

That's exactly what I thought. The Washington ESD agent I talked to through Claimyr was really helpful and patient with all my severance questions.

Yes, that's different! If it's paid out over time, Washington ESD might treat it as ongoing wages which could delay your benefits until after the severance period ends.

Ugh that's what I was afraid of. So I might not be able to collect UI for 3 months?

Not necessarily. It depends on how much the monthly severance is and whether it's more than your weekly benefit amount. You really need to talk to Washington ESD directly about your specific situation.

I feel you. I've gotten three different answers about my severance situation from three different agents. It's ridiculous.

At least you got through to agents! I've been trying for a month with no luck.

Vacation payout is treated differently than severance. It's considered wages for the period it was earned, so it might not postpone your benefits the same way. You'll need to report it but Washington ESD will determine how it affects your claim.

Thanks! This stuff is so confusing. I wish there was a simple guide somewhere.

Yes, both severance and unemployment benefits are taxable income. You can have taxes withheld from your UI benefits to avoid owing at tax time.

Thanks, I'll definitely do that. Don't want a huge tax bill next year.

The amount doesn't disqualify you from unemployment benefits in Washington. It's all about the weekly impact. Even a large severance just affects the timing of when you'll receive UI payments, not your overall eligibility.

How much does Claimyr cost? I'm already tight on money.

It's not expensive, especially compared to the potential overpayment issues you could face if you get it wrong. Plus you get a definitive answer from an actual Washington ESD agent.

What do you mean about job search requirements?

You still have to do your 3 job search activities per week even if you're receiving severance. The severance doesn't excuse you from the work search requirement.

Health insurance continuation isn't considered wages, so you don't report it. Only report the actual severance payments that are considered wages.

Good to know. This is all so complicated compared to just having a regular job.

Yeah their website could be clearer. That's why it's often worth calling to get clarification for your specific situation.

You're right, I'm probably overcomplicating this. I'll just file and be upfront about everything.

How much does something like that cost?

Not sure about the exact cost but it was way cheaper than the stress of not knowing what was happening with my claim. Plus they got me through to someone who could give me the right information.

Yes, you can appeal any determination about your benefits. If their calculation seems wrong, request a redetermination first, then appeal if needed. Make sure you have documentation of your severance amount and pay rate.

I'll try that. Do you know how long appeals usually take?

Appeals can take several months unfortunately. The system is backlogged. But don't let that stop you from filing if you think they made an error.

That's exactly why I used Claimyr - they handle all the calling and waiting so you don't have to deal with the busy signals and hang-ups. Worth checking out if you're having phone issues.

I'll look into that, thanks. Spending hours on hold just to get disconnected is driving me crazy.

Definitely planning to be completely honest. Not worth risking having to pay back benefits later.

That makes sense. Better to file early and sort out the details than to wait and potentially lose benefits.

12 weeks?! That's brutal. Did you try to appeal or anything?

Nope, that's just how it works if it's structured as wages. Nothing to appeal - it's Washington ESD policy.

This is making me really worried about my situation now.

That's a great question for a Washington ESD agent. The terminology companies use can be confusing but ESD looks at the actual nature of the payment.

Yeah I need to call them but dreading the phone maze...

Good point. Better to be upfront about everything from the start.

Exactly. I've seen people get in trouble for not reporting severance properly. The overpayment notices are no joke.

What did they tell you about the severance rules? I'm still confused about how it all works.

They confirmed that you file right away but benefits are postponed until after severance ends. Also clarified that job searches aren't required during the postponement period.

Stock buyouts are usually treated differently than traditional severance. You'd really need to check with Washington ESD on that one.

Yeah, sounds like I need to bite the bullet and call them.

If you end up needing to call Washington ESD, definitely check out Claimyr first. Saved me so much frustration when I had complex questions about my layoff benefits.

My package includes payout for unused PTO. Should I ask HR to break down exactly what's included?

Definitely. The more detail you have about each component of your severance package, the better you can report it accurately to Washington ESD.

You still need to meet the job search requirements if you're collecting UI benefits, regardless of severance. The requirements start immediately when you begin claiming weekly benefits.

Good to know, thanks. I'll make sure to register with WorkSource right away then.

Same here! Glad I asked before waiting. Sounds like timing is really important with UI claims.

Yeah definitely file ASAP. I waited too long once and lost out on potential benefits because of the benefit year timing.

That's a good reminder. I assume I still need to file weekly claims too, even if I'm not getting paid?

Exactly. You need to keep filing weekly claims and documenting your job search activities throughout the entire process.

That makes me feel better about the whole situation. Thank you everyone for all the helpful information!

This thread was really helpful for me too. Had no idea severance worked this way with unemployment.

COBRA assistance is usually not counted as income for unemployment purposes. It's a health benefit, not wages or severance.

Good to know, thanks. This whole process is more complicated than I expected.

Just make sure to report everything accurately when you file. Washington ESD will review your situation and let you know how it affects your benefits.

From what I understand, it's more about how it's paid out than the amount. Lump sum vs. weekly payments seems to be the bigger factor for Washington ESD.

COBRA assistance is usually separate from severance for UI purposes. But mention it when you file just to be safe.

That sounds really helpful. I might try that if I have trouble getting through on my own.

No problem! That's what these forums are for. Good luck with your claim!

Great point, I'll make sure to save everything. Better to have it and not need it than the other way around.

Exactly right. Transparency is key with Washington ESD. They've seen every situation before and can handle it appropriately if you give them accurate information.

Good to know there are options when the regular phone system doesn't work.

Good point. Anything beyond straight salary replacement can get complicated. Washington ESD wants to see all the details.

Exactly. I had to get a letter from HR breaking down each component of my severance package.

You can work during the postponement period, but you'll need to report any earnings on your weekly claims. It won't affect your postponed benefits, but you'll need to report it when your UI payments actually start.

That makes sense. I'll make sure to keep good records of any work I do during that time.

Just be honest and report everything accurately. If you make a mistake, it's usually fixable. The problems come when people intentionally don't report income or benefits.

Okay that's reassuring. I'll just be super careful with the weekly claims and keep all my severance documentation.

That's encouraging. I'm still trying to reach them but maybe I'll try that Claimyr thing if I can't get through soon.

Yeah I probably should have tried that instead of spending days redialing. Live and learn.

Because Washington ESD needs to see the full picture of your employment separation. Even if it doesn't affect your weekly benefits, it's still relevant information for your claim.

Ah okay, makes sense. Better safe than sorry with these things.

RIGHT?? I spent forever digging through their website trying to find straight answers.

The ESD handbook has some info but it's written in government-speak that's hard to understand.

That's exactly what I was hoping to hear! Did you have any issues during the adjudication process?

Nope, went through without any problems. Just made sure to report the severance amount accurately on my initial application.

Good point about taxes. I hadn't thought about how the severance would affect my overall tax situation.

Yeah definitely something to consider. UI benefits are taxable income too so it all adds up.

Absolutely. I want to make sure I do everything by the book from the start.

Smart approach. It's much easier to get it right the first time than to deal with appeals and overpayments later.

That's somewhat reassuring. Do I file now or wait until the severance ends?

File now! You want to get the claim established even if benefits are delayed. Don't wait.

How long did it take for them to process your claim and let you know about the hold?

About 3 weeks for the initial determination. Then they sent a letter explaining the severance hold period.

Thanks! I'll make sure to include all those details when I file.

Exactly. Better to over-explain than have them come back with questions later.

Vacation payout is usually treated separately from severance. It typically doesn't delay benefits but you still need to report it.

Good to know, thanks!

That would be amazing but probably too complex given all the variables. Every severance agreement is different.

True, but at least some basic guidance would help.

I'm seriously considering trying Claimyr at this point. The uncertainty is killing me.

Do it. Having definitive answers from an actual agent is worth it, especially for something this important to your finances.

Good point, I hadn't thought about other programs. I'll look into that.

Yeah, don't forget about all the resources available. Unemployment isn't the only safety net.

Alright, I'm convinced. Filing tomorrow morning. Thanks everyone for all the advice!

Good luck! Hope it works out better than you expect.

Will do! I've got copies of everything from HR.

Perfect. You sound well prepared. Should go smoothly.

No problem! I'm planning to file tomorrow morning. Good luck with your claim.

Thanks for the update! I filed mine too. Fingers crossed it goes smoothly.

Hope it works out for you. At least we're both in the system now instead of waiting around.

That's reassuring. I was worried they'd see the severance as a red flag or something.

Not at all. They deal with severance situations all the time. The problems come when people try to hide it or don't report it properly.

That's good to know! I was overthinking this whole thing. Just filed my claim this morning and made sure to include all the severance details. Hopefully it goes as smoothly as everyone says it should when you're transparent about everything.

Glad you got your claim filed! I just went through the same thing and the transparency really does make a difference. My severance is being handled exactly as they explained it would be, no surprises. The waiting period is annoying but at least I know what to expect. Hope your situation goes just as smoothly!

This whole thread has been incredibly helpful! I was so stressed about how to handle the severance situation, but reading everyone's experiences makes me feel much more confident about filing. It sounds like as long as you're honest and report everything accurately, Washington ESD can work with pretty much any severance scenario. I'm going to file my claim tomorrow and just be completely transparent about the $8,000 I'm getting over 8 weeks. Thanks everyone for sharing your stories!