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Malik Davis

Can you apply for unemployment if you get severance from Washington ESD?

My company is laying me off next month and they're offering a severance package worth about $8,000. I'm wondering if I can still file for unemployment benefits with Washington ESD while receiving this severance pay? I've heard conflicting information about whether severance affects your eligibility. Has anyone dealt with this situation before? I really need to know because I'm trying to plan my finances.

Yes, you can typically apply for unemployment even with severance, but it depends on how Washington ESD classifies your severance payment. If it's considered wages for a specific time period, it might delay your benefits. If it's a lump sum dismissal payment, it usually won't affect your weekly claims.

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Thanks! Do you know how I find out which type my severance is considered? My HR department wasn't very clear about this.

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You'll need to report it when you file your initial claim. Washington ESD will make the determination based on how your employer structured the payment.

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I went through this exact situation last year. The key thing is being completely honest about your severance when you file. Washington ESD will ask about any payments you received from your employer. In my case, I got a lump sum and it didn't delay my benefits at all.

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That's reassuring to hear! Did you have to provide documentation about the severance?

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Yeah, I had to submit the severance agreement and pay stub showing the lump sum. Washington ESD processed it pretty quickly once they had the paperwork.

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This is good to know. I'm in a similar situation and was worried about getting disqualified.

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Be careful though - if your severance is structured as continued salary payments over several weeks, Washington ESD might consider you still employed during that period. I had a friend who got tripped up by this and had to wait until their severance period ended.

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Oh wow, I hadn't thought about that distinction. Mine is supposed to be a lump sum, so hopefully that's better.

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Yeah, the structure matters a lot. If it's salary continuation, you're technically still employed.

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I struggled with getting through to Washington ESD to ask about this same question. Spent hours on hold trying to get clarification. Recently discovered Claimyr (claimyr.com) which helped me actually reach an agent who explained my severance situation clearly. They have a demo video at https://youtu.be/7DieNd3C7zQ that shows how it works.

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Interesting, I've never heard of that service. Did it actually help you get through?

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Yes, it was worth it to get a definitive answer instead of guessing. The agent confirmed my lump sum severance wouldn't affect my weekly claims.

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I might look into this too. I've been trying to call Washington ESD for weeks about my severance question.

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Does anyone know if vacation payout affects unemployment differently than severance? I'm getting both when I leave my job.

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Vacation payout is usually treated differently than severance. It's typically considered wages earned, so it might affect your benefit calculation or timing.

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Ugh, this is getting complicated. I wish Washington ESD had clearer guidance on their website.

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The timing of when you receive your severance can matter too. If you get it before your last day of work, it might be treated differently than if you receive it after separation.

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My severance is supposed to come in my final paycheck. Does that make a difference?

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That should be fine. It's clearly separation pay then, not ongoing wages.

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I'm going through adjudication right now because of confusion about my severance. Washington ESD is reviewing whether my payments count as wages or dismissal pay. Been waiting three weeks already.

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Three weeks? That's frustrating. Did they give you any timeline for when they'll decide?

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Nope, just that it's 'under review.' I've tried calling but can never get through to check on the status.

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This is exactly why I ended up using Claimyr. Adjudication delays are so stressful when you can't get answers.

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Pro tip: Make sure you have all your severance documentation ready when you file. I had to submit my severance agreement, the payment details, and a letter from HR explaining the nature of the payment.

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Good advice! I'll make sure to gather all that paperwork before I file.

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Yes, being prepared upfront can prevent delays later. Washington ESD likes to see everything documented.

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Don't forget that even if your severance doesn't affect your unemployment eligibility, you still need to report it as income when you file your weekly claims. Be honest about everything.

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Right, I need to make sure I understand the weekly reporting requirements too.

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Exactly. It's better to over-report than under-report when it comes to Washington ESD.

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I got burned by this. My severance was structured as two months of continued salary, and Washington ESD said I wasn't eligible for unemployment until that period ended. Cost me thousands in benefits.

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That's terrible! I'm definitely going to check how mine is structured before I accept it.

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Yeah, I wish I had known to negotiate the structure. A lump sum would have been much better.

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This is why it's important to understand the unemployment implications before accepting any severance package.

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The $8,000 amount seems reasonable for a lump sum severance. As long as it's not structured as ongoing pay, you should be fine to collect unemployment simultaneously.

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That's what I'm hoping! I really need both the severance and unemployment to make ends meet.

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Totally understandable. Just make sure you're transparent with Washington ESD about everything.

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Has anyone dealt with Washington ESD questioning the legitimacy of their layoff when severance is involved? I'm worried they might think I quit voluntarily since I'm getting severance.

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Severance actually supports your case that it was an involuntary separation. Companies don't usually give severance to people who quit.

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That makes sense. I guess I was overthinking it.

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The waiting period for adjudication can be brutal. I ended up using that Claimyr service someone mentioned earlier to get status updates on my claim. Worth it to avoid the stress of not knowing what's happening.

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Seems like Claimyr is really helpful for these situations. I might consider it if I run into issues.

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Yeah, especially if you're dealing with something complex like severance questions. The agents can explain exactly how Washington ESD is handling your specific situation.

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Remember that even if you're eligible for unemployment with severance, your benefit amount is based on your previous wages, not the severance amount. So plan accordingly.

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Good point! I should calculate what my weekly benefit amount would be.

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Washington ESD has a benefit calculator on their website that can give you an estimate.

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If you're getting severance, make sure to also understand any non-compete or non-disclosure agreements that might affect your job search. These can impact your unemployment eligibility too.

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I hadn't thought about that connection. I do have a non-compete clause.

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Non-competes can sometimes affect your job search requirements. Worth discussing with Washington ESD if it's restrictive.

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Bottom line: you can usually get unemployment with severance, but the details matter. File honestly, provide documentation, and be prepared to wait for Washington ESD to review your case if there are any questions.

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Thanks everyone for all the helpful advice! I feel much more prepared to handle this situation now.

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Good luck with your claim! Hope everything goes smoothly for you.

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This thread has been super helpful. I'm bookmarking it for when I need to deal with my own severance situation.

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