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Axel Far

Can you apply for unemployment if you get a severance package in Washington?

My company is laying me off next month and offering a severance package worth about $8,000. I'm wondering if I can still file for Washington ESD unemployment benefits while receiving this severance? The HR person wasn't clear about how this affects my eligibility. Has anyone been through this situation before? I really need to know if I should expect delays or issues with my claim.

Yes, you can typically file for unemployment even with severance in Washington. The key issue is how Washington ESD treats the severance pay - it might delay your benefits rather than disqualify you entirely. You'll need to report the severance when you file your initial claim.

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Axel Far

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Do I report it as wages or something else when filing? I don't want to mess up the application.

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Report it exactly as severance pay, not regular wages. Washington ESD has specific fields for this on the application. Be completely honest about the amount and timeline.

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Luis Johnson

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I got severance last year and it delayed my benefits for like 6 weeks. Washington ESD calculates how many weeks the severance would 'cover' based on your previous weekly wage, then makes you wait that long before benefits start.

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Axel Far

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Six weeks?? That's longer than I expected. How did they calculate that exactly?

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Luis Johnson

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They divided my severance amount by my average weekly wage from the base period. So if you made $800/week and got $8000 severance, you'd wait 10 weeks.

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Ellie Kim

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Wait that doesn't sound right to me... I thought it was based on your benefit amount not your previous wage?

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Fiona Sand

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Actually, there's some confusion here. Washington ESD uses your weekly benefit amount for the calculation, not your previous wage. So if your weekly UI benefit would be $400, then $8000 severance would delay benefits for 20 weeks. This is called 'deductible income' and it's pretty standard across most states.

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Axel Far

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20 weeks sounds devastating. Is there any way around this or exceptions?

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Fiona Sand

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Unfortunately no exceptions for regular severance. The only workaround some people use is services like Claimyr (claimyr.com) to get through to Washington ESD agents quickly to make sure their severance is calculated correctly. There's a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works.

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This is so confusing! Why can't Washington ESD just have clear information about this stuff online?? I've been trying to call them for days about my severance situation and keep getting busy signals.

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Tell me about it! The phone system is impossible. I finally got through after like 200 calls.

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Finnegan Gunn

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I had the same problem until someone told me about Claimyr. Got through to an actual Washington ESD agent in like 15 minutes. Saved me so much stress.

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Is that legit? I'm desperate at this point but don't want to get scammed.

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Let me clarify the actual Washington ESD policy since there's some misinformation floating around. Severance pay IS deductible income, meaning it delays your benefits. However, the calculation depends on several factors: whether it's paid in a lump sum or installments, whether you have a specific return-to-work date, and your individual benefit amount.

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Axel Far

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Mine is a lump sum payment. Does that make it worse?

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Lump sum is actually more straightforward - they'll calculate the total delay period upfront rather than deducting week by week.

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Miguel Harvey

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i went thru this last summer, got 12k severance and waited like 4 months for benefits to start. sucked but at least the severance helped during that time

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Axel Far

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4 months is terrifying. Did you have any issues when benefits finally started?

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Miguel Harvey

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nah once they started it was fine, just took forever to get thru the waiting period

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Ashley Simian

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Here's something important that gets overlooked - you MUST file your claim immediately after your last day of work, even with severance. Don't wait until your severance runs out to file. Your claim date affects your benefit year.

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Axel Far

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Really? I was thinking about waiting until my severance period ended before filing.

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Ashley Simian

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Big mistake! File right away. Washington ESD will handle the severance calculation, but your benefit year starts from when you file, not when payments begin.

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Oliver Cheng

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This is correct. I made the mistake of waiting and it screwed up my benefit year timing.

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Taylor To

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Does anyone know if vacation pay gets treated the same as severance? My company is paying out my unused vacation time too.

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Vacation pay is usually treated differently than severance - it might be considered wages for the period it represents rather than deductible income. Check with Washington ESD directly.

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Ella Cofer

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I had both vacation payout and severance. The vacation pay didn't delay my benefits but the severance did.

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Kevin Bell

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The whole system is ridiculous. You lose your job through no fault of your own, company gives you a tiny severance as a 'thank you' and then the government punishes you for it by delaying benefits. Makes no sense.

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I feel you on this. It's like being penalized for the company trying to do right by you.

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Felix Grigori

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The policy exists to prevent people from double-dipping benefits and severance at the same time. I get it but it still sucks when you're living through it.

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Finnegan Gunn

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For what it's worth, I used Claimyr when I had questions about how my severance would affect my claim timing. The Washington ESD agent I spoke with was really helpful in explaining exactly how they'd calculate my waiting period. Way better than trying to guess from the website.

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Axel Far

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How much did that cost? I'm already stressed about money.

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Finnegan Gunn

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It was worth it for me to get accurate information instead of stressing for weeks. Check out their site at claimyr.com - they explain the process pretty clearly.

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Felicity Bud

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Just want to add that if you're getting COBRA continuation, that's separate from your severance and won't affect your unemployment eligibility at all. Don't confuse the two.

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Axel Far

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Good point, my company is covering COBRA for 3 months. That won't count against me?

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Felicity Bud

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Nope, COBRA coverage is not income and doesn't affect your claim.

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Max Reyes

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Has anyone dealt with a situation where the severance was tied to a non-compete agreement? Wondering if that changes anything with Washington ESD.

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The non-compete doesn't change how Washington ESD treats the severance pay itself, but it might affect your job search requirements during the benefit period.

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Yeah I had this situation. You still have to do job searches but they understand if you can't apply to certain companies due to the non-compete.

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Adrian Connor

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Bottom line - file your claim right away, report the severance honestly, and be prepared to wait. The system isn't designed to be convenient but it does work eventually. Keep all your severance paperwork for Washington ESD.

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Axel Far

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Thanks everyone. This has been really helpful. I'll file right after my last day and just plan for the waiting period.

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Aisha Jackson

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Smart move. Better to know what you're dealing with upfront than be surprised later.

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One more thing - make sure you understand if your severance is being paid out over time vs lump sum. If it's paid over several months, that could affect the calculation differently.

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Axel Far

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Mine is definitely lump sum, all at once on my last day.

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Lilly Curtis

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Good luck OP. The severance situation is stressful but at least you have some money coming in while you figure out the Washington ESD process. That's better than nothing.

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Axel Far

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True, I'm grateful for the severance even if it complicates things. Thanks for all the advice everyone!

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