Can I collect Washington ESD unemployment if I received severance pay?
My company laid me off last month and gave me 8 weeks of severance pay. I'm wondering if I can still file for unemployment benefits with Washington ESD while receiving this severance? The severance covers my regular salary but I'm not sure if it disqualifies me from UI benefits. Has anyone dealt with this situation before? I don't want to mess up my claim by filing incorrectly.
101 comments


Isaiah Sanders
You can still file for unemployment even with severance pay, but you need to report it when you file your weekly claims. Washington ESD will determine how it affects your benefits. The key is being upfront about it from the start.
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Fidel Carson
•Thanks! Do I report the full severance amount when I first file my claim or just week by week as I receive it?
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Isaiah Sanders
•Report it weekly based on when you actually receive the payments. If you got a lump sum, you'll need to prorate it across the weeks it's meant to cover.
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Xan Dae
I had the same situation last year. Washington ESD told me that severance pay can delay when your benefits start but doesn't necessarily disqualify you completely. It depends on how much you're getting and how long it lasts.
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Fidel Carson
•How long was your delay? My severance is pretty substantial so I'm worried it might push back my benefits for months.
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Xan Dae
•Mine delayed benefits for about 6 weeks. The formula they use is based on your weekly benefit amount compared to the severance payments.
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Fiona Gallagher
Just went through this myself and it was confusing trying to reach Washington ESD to get clear answers. I ended up using a service called Claimyr (claimyr.com) that helped me get through to an actual agent quickly. They have a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works. Made the whole process so much easier than sitting on hold for hours.
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Thais Soares
•How much does something like that cost? I've been trying to call Washington ESD for weeks with no luck.
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Fiona Gallagher
•It's worth it if you need to talk to someone quickly. Way better than the frustration of never getting through on your own.
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Fidel Carson
•I might need to try that. I've called Washington ESD probably 20 times and either get busy signals or get disconnected after waiting forever.
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Nalani Liu
The Washington ESD website has information about this under 'Other Income' but it's pretty confusing. Basically severance counts as wages for the weeks it covers, which can reduce or eliminate your weekly benefit amount during that time.
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Axel Bourke
•Yeah that section of their website is horrible. I read it three times and still didn't understand what it meant for my situation.
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Nalani Liu
•The key thing to remember is that you still need to file your weekly claims even if you think you won't get paid. Otherwise you lose those weeks completely.
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Victoria Scott
You can actually file for unemployment right away in Washington state, but the severance will likely delay when you start receiving benefits. Washington ESD treats severance as deductible income during the weeks it covers. So if you got 8 weeks worth of severance, you probably won't get UI payments for those 8 weeks.
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Ezra Collins
•That makes sense but seems harsh. So I'm basically getting punished for my employer being decent enough to give severance?
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Victoria Scott
•I know it feels unfair, but the logic is that you're not truly unemployed if you're still receiving income from your former employer. The good news is you can still file now and get your claim established.
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Aidan Percy
wait so if I got severance I cant get unemployment at all?? thats not fair, I still lost my job!
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Isaiah Sanders
•No, you can still get unemployment. The severance just affects the timing of when benefits start or how much you receive each week.
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Aidan Percy
•ok good cause I was about to panic. my severance runs out in a few weeks and I still haven't found anything
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Fernanda Marquez
I'm in HR and deal with this question a lot. Washington ESD treats severance as allocated wages, so it's spread across the weeks it's intended to cover. If your severance equals or exceeds your weekly benefit amount for those weeks, you won't receive UI benefits during that period.
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Fidel Carson
•That makes sense. My severance is definitely more than what my weekly benefit would be, so I guess I'll have to wait until it runs out.
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Fernanda Marquez
•Exactly, but make sure you still file your initial claim right away. You want to establish your claim date even if benefits are delayed.
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Norman Fraser
•This is really helpful info. I wish Washington ESD explained it this clearly on their website.
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Kendrick Webb
Does anyone know if vacation payout is treated the same way as severance? I got both when I was laid off and I'm not sure how to report them.
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Fernanda Marquez
•Vacation payout is usually treated differently. It's typically allocated to the period right after your last day of work, while severance is spread over a longer period.
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Kendrick Webb
•Thanks! This is all so complicated. I wish there was an easier way to get answers from Washington ESD directly.
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Benjamin Johnson
File immediately! Don't wait. There's a waiting week anyway and you want to get your claim started. When you do your weekly claims just report the severance income accurately.
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Ezra Collins
•How do I report it exactly? Do I divide the total by 8 weeks or report it all at once?
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Benjamin Johnson
•Report it for the weeks it's intended to cover. So if it's 8 weeks worth, divide by 8 and report that amount each week.
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Hattie Carson
The whole severance thing screwed me over last time I was unemployed. I didn't know I had to report it and they hit me with an overpayment notice months later. BE HONEST about everything!
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Fidel Carson
•Oh no! How much did they want back? That sounds terrifying.
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Hattie Carson
•Like $2800 plus penalties. I'm still paying it off. Just don't try to hide anything from them, they will find out eventually.
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Destiny Bryant
•This is exactly why I'm being super careful about reporting everything correctly. The consequences sound awful.
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Dyllan Nantx
I used Claimyr too after reading about it here and it really helped me get clarity on my severance situation. The agent I spoke with knew exactly how to calculate when my benefits would start.
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TillyCombatwarrior
•Did they walk you through the calculation or just tell you the result?
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Dyllan Nantx
•They explained the whole process and helped me understand exactly how Washington ESD would handle my specific severance package. Made filing my weekly claims much less stressful.
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Zara Perez
Been through this exact situation last year. The key thing is Washington ESD will ask specifically about severance when you file your initial claim. Be 100% honest about it because they WILL find out eventually through wage matching systems. I tried to get through to them by phone to ask questions but spent literally 4 hours on hold before giving up. Ended up using this service called Claimyr (claimyr.com) that got me connected to an actual person in like 20 minutes. They have a demo video at https://youtu.be/7DieNd3C7zQ that shows how it works.
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Ezra Collins
•Never heard of Claimyr but that sounds way better than sitting on hold forever. Did they charge you a lot?
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Zara Perez
•They don't publish pricing but it was worth it to actually talk to someone who could explain the severance rules properly. Way less stressful than guessing.
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Daniel Rogers
•This sounds like an ad. Can't you just call Washington ESD directly?
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Zara Perez
•You can try but good luck getting through. I wasted days trying the regular way before finding this option.
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Aaliyah Reed
Wait I thought severance was different from wages? My friend got severance and collected unemployment at the same time in Oregon I think.
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Victoria Scott
•Every state has different rules. In Washington, severance is considered deductible income that affects your weekly benefit amount.
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Aaliyah Reed
•That's confusing. Why can't they just make it simple?
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Anna Xian
Pro tip: keep all your severance documentation. If Washington ESD has questions later, you'll need to provide proof of the amounts and dates. I learned this the hard way when they requested documents I had thrown away.
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Fidel Carson
•Good point! I'll make sure to keep copies of everything my company sent me.
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Jungleboo Soletrain
•Yes! And take screenshots of your online account too. Sometimes the system glitches and you lose access to older information.
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Rajan Walker
My company offered me a choice between lump sum severance or monthly payments. I chose monthly specifically because I thought it would be easier to handle with unemployment benefits. Not sure if that was the right call though.
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Fernanda Marquez
•Monthly payments can sometimes work better with the Washington ESD system since you're reporting actual income received each week rather than prorating a lump sum.
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Rajan Walker
•That's what I was hoping! Fingers crossed it makes the process smoother.
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Nadia Zaldivar
Anyone know what happens if you start a new job before your severance period ends? Do you have to pay back the remaining severance?
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Fernanda Marquez
•That depends on your severance agreement with your former employer. Some companies have clauses about repayment if you find work early, but that's separate from your unemployment benefits.
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Nadia Zaldivar
•I'll have to check my paperwork. This stuff is so complicated!
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Ella Russell
The Washington ESD website has a whole section about this under 'income reporting' but it's written in government speak that's impossible to understand. Basically if your severance pushes your weekly income above your weekly benefit amount, you won't get UI that week.
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Ezra Collins
•So if my weekly benefit would be $400 and my severance works out to $600 per week, I get nothing?
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Ella Russell
•Exactly. And if the severance was $300 per week, you'd get $100 in UI benefits ($400-$300=$100).
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Mohammed Khan
This whole system is ridiculous. You lose your job through no fault of your own and they make you jump through hoops just to get help. And don't get me started on the job search requirements they make you do WHILE you're dealing with severance complications.
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Gavin King
•The job search thing is real though. You still have to do 3 job search activities per week even if you're not getting paid yet because of severance.
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Mohammed Khan
•Which is completely stupid if you ask me.
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Nathan Kim
Pro tip: keep ALL documentation about your severance package. Date received, amount, what time period it covers, etc. Washington ESD will want to see this if there are any questions about your claim.
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Ezra Collins
•Good point. Should I upload documents when I file or wait until they ask?
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Nathan Kim
•File first, then upload when they request it. Don't delay your initial filing.
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Eleanor Foster
Had the same situation 6 months ago. Filed right away, reported severance honestly, and started getting benefits the week after my severance period ended. The process worked exactly like it was supposed to.
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Ezra Collins
•That's reassuring to hear a success story. Did you have any issues with adjudication or anything?
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Eleanor Foster
•Nope, smooth process because I was upfront about everything from the start.
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Lucas Turner
One thing to watch out for - if your severance includes continuation of health benefits, that might also affect your claim. Washington ESD considers some benefit continuations as additional compensation.
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Ezra Collins
•Oh great, another complication. My severance does include COBRA payments for 3 months.
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Lucas Turner
•You'll definitely want to ask about that when you file. It might not affect your claim but better to disclose everything upfront.
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Kai Rivera
The timing thing is crucial here. Even though you can't collect benefits during severance weeks, your benefit year still starts when you file. So don't delay filing just because of the severance.
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Ezra Collins
•What do you mean by benefit year?
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Kai Rivera
•You get 26 weeks of benefits total within a 52-week period. That clock starts ticking when you establish your claim, not when you receive your first payment.
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Lukas Fitzgerald
The timing of when you receive severance matters too. If you get it all upfront, Washington ESD spreads it over the intended coverage period. If you get it in installments, they count it as you receive it.
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Fidel Carson
•I got mine in a lump sum, so I guess they'll calculate how many weeks it's supposed to cover and spread it out that way?
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Lukas Fitzgerald
•Exactly. They'll look at your regular salary and figure out how many weeks the severance amount represents.
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Ev Luca
Just want to say thanks to everyone for the helpful info! I was really stressed about this but now I understand how it works. Going to file my claim this week and be completely honest about the severance.
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Isaiah Sanders
•Good luck! Remember to keep filing your weekly claims even during the weeks when severance might reduce your benefits to zero.
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Ev Luca
•Will do! I don't want to lose any weeks by not filing.
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Anna Stewart
I'm dealing with something similar but my severance was a lump sum payment instead of weekly amounts. Anyone know how that works differently?
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Victoria Scott
•Lump sum severance gets divided by your normal weekly wage to determine how many weeks it covers. So if you got $8000 lump sum and normally made $1000/week, it covers 8 weeks.
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Anna Stewart
•That makes sense. Thanks for explaining it simply.
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Layla Sanders
Whatever you do, don't try to hide the severance. Washington ESD gets wage reports from employers and they'll catch it eventually. Better to be honest upfront than deal with an overpayment situation later.
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Ezra Collins
•Definitely planning to be completely honest. Not worth the risk of getting in trouble.
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Morgan Washington
•Smart choice. I've seen people get hit with huge overpayment bills because they tried to game the system.
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Kaylee Cook
Quick question - does anyone know if signing a non-compete as part of severance affects UI eligibility at all?
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Oliver Alexander
•That's a really specific question. You'd probably need to talk to Washington ESD directly about that scenario.
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Kaylee Cook
•Yeah, sounds like another reason to use that Claimyr service someone mentioned earlier.
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Lara Woods
Bottom line OP: File now, report severance accurately, expect to wait until severance period ends to get paid, but get your claim established ASAP. The system isn't perfect but it does work if you follow the rules.
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Ezra Collins
•Perfect summary, thank you. I'll file my claim this weekend and report everything honestly.
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Adrian Hughes
•Good luck! The whole process is stressful but you'll get through it.
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Avery Davis
One more thing - if you're having trouble getting through to Washington ESD about severance questions, the Claimyr service mentioned earlier really does work. I was skeptical at first but it saved me hours of frustration trying to call on my own.
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Collins Angel
•I might have to try that. I've been calling for two weeks straight with no luck getting through to anyone.
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Avery Davis
•Check out their demo video first - it shows exactly how the service works and what to expect.
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Molly Chambers
One more tip - make sure you understand the difference between severance and unused vacation/sick pay. They might be treated differently by Washington ESD.
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Ezra Collins
•I did get paid out for unused vacation too. Should I report that separately?
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Molly Chambers
•Yes, report all income from your former employer separately so they can determine how each type affects your benefits.
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Ian Armstrong
This thread has been super helpful. I was in the same boat a few months ago and wish I had found this info earlier. Ended up calling Washington ESD about 50 times before getting through to someone.
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Eli Butler
•50 times?! That's exactly why services like Claimyr exist. Sometimes you need to pay a little to save your sanity.
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Ian Armstrong
•Yep, learned that lesson the hard way.
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Marcus Patterson
Thanks everyone for all the detailed responses. This is way more helpful than anything I found on the official Washington ESD website.
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Ezra Collins
•Agreed! Real people sharing real experiences is so much better than trying to decode government websites.
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Lydia Bailey
•That's what this community is for. We've all been through the unemployment maze at some point.
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