Do I pay into unemployment in washington - confused about Washington ESD contributions

Yes, you do pay into unemployment insurance in Washington! It's automatically deducted from your paycheck. Look for a line item that says something like 'UI' or 'Unemployment Insurance' on your paystub. The current rate is 0.4% of your wages up to the wage base limit.

Thank you! I found it on my paystub - it's listed as 'WA UI'. So since I've been paying in, I should be eligible if I get laid off?

Exactly! As long as you've earned enough wages in your base period and meet the other requirements, you should qualify for Washington ESD benefits.

Just to clarify - employees pay into unemployment insurance, but employers also pay their share. Your employer pays a much higher rate than you do. The system is funded by both employee and employer contributions.

I had no idea employers paid more! How much do they pay compared to us?

Employer rates vary based on their experience rating, but it's typically much higher than the 0.4% employees pay. Could be anywhere from 0.78% to over 5% depending on their layoff history.

i've been trying to figure this out too but calling washington esd is impossible. spent 3 hours on hold yesterday and got disconnected. anyone know a better way to get through to them?

I had the same problem until I found Claimyr. It's a service that helps you get through to Washington ESD agents by phone. Check out claimyr.com - they have a demo video at https://youtu.be/7DieNd3C7zQ that shows how it works. Saved me hours of frustration.

interesting, never heard of that before. does it actually work or is it just another scam?

It's legit. They don't ask for any personal info and you only use it when you actually need to talk to someone at Washington ESD. Way better than sitting on hold for hours.

The wage base limit changes every year too. For 2025 it's higher than it was last year. You pay UI tax on wages up to that limit, then nothing above it. Most people never hit the limit though.

What's the wage base limit for 2025? I make decent money and want to know if I'm hitting the cap.

I believe it's around $68,000 for 2025 but you'd need to check the Washington ESD website for the exact amount. They update it annually.

Wait so if I'm self-employed I don't pay into unemployment? That doesn't seem fair if I can't collect benefits either.

Correct - self-employed people generally don't pay UI taxes and aren't eligible for regular unemployment benefits. There are some exceptions and special programs sometimes, but that's the general rule.

That's frustrating. So if my business fails I'm just out of luck?

You might qualify for other programs or be able to pay into the system voluntarily in some cases. I'd contact Washington ESD directly to ask about options for self-employed folks.

Been paying into UI for 15 years and never used it until I got laid off last month. The system actually works pretty well once you understand it. Just make sure you file your weekly claims on time.

How much do you get compared to what you were making? Is it enough to live on?

It's usually around 50-60% of your previous wages, up to the maximum weekly benefit amount. Not enough to maintain your full lifestyle but better than nothing while job hunting.

I'm pretty sure the rate went up recently because of all the claims during covid. Everything costs more now including unemployment insurance.

The rate did increase to help replenish the trust fund after the pandemic. It was lower before 2020 but had to go up to maintain the system's solvency.

Makes sense but still annoying to see more money coming out of my paycheck.

Does anyone know if you can opt out of paying UI taxes? I have a good emergency fund and would rather invest the money myself.

No, you can't opt out. It's mandatory for all covered employees. Even if you have savings, you still need to pay into the system.

Figured as much but thought I'd ask. Government programs aren't exactly known for being optional.

The whole unemployment system is a mess. I paid in for years and when I finally needed it, they made me jump through hoops and wait weeks for approval. Total waste of money if you ask me.

I get the frustration but the system helps millions of people. Just because you had a bad experience doesn't mean it's worthless.

Easy to say when you haven't been through the bureaucratic nightmare. Try dealing with Washington ESD adjudication for 6 weeks while your bills pile up.

That's exactly why I mentioned Claimyr earlier. Getting through to an actual person at Washington ESD can make all the difference when you're stuck in adjudication.

Quick question - do part-time workers pay UI taxes too? I only work 20 hours a week but still see deductions.

Yes, part-time workers pay UI taxes on their wages too. As long as you're an employee (not independent contractor), you'll have the deduction.

Good to know I'm covered then if my hours get cut even more.

I've been wondering about this too but was afraid to ask at work. Glad someone else brought it up! Learning a lot from this thread.

Same here! I always just assumed it was some random tax but now I understand it's actually insurance for if I lose my job.

Right? Makes me feel better about seeing that money come out of my paycheck every week.

For anyone wondering about the mechanics - the UI tax shows up on your W2 at the end of the year too. It's in one of the state tax boxes so you can see your total annual contribution.

I never noticed that on my W2. I'll have to look for it when I get my 2024 form.

Yeah it's easy to miss but it's there. Shows you exactly how much you paid into the system that year.

This is all great info but I'm still confused about the base period thing. How do they calculate if you've earned enough to qualify?

The base period is the first four of the last five completed calendar quarters before you file. You need to have earned wages in at least two quarters and meet minimum earnings requirements.

That sounds complicated. Is there a calculator somewhere to figure out if you qualify?

Washington ESD has benefit calculators on their website. You can estimate your weekly benefit amount and see if you meet the earnings requirements.

Just want to add that if you're questioning whether you qualify, it's worth applying anyway. The worst they can say is no, and if you don't apply you'll never know.

True but make sure you're honest on the application. Unemployment fraud is taken seriously and can have real consequences.

Absolutely. Always be truthful. I just meant don't assume you don't qualify without actually checking.

Has anyone here actually had to use unemployment benefits? I'm curious what the experience is like from filing to getting paid.

I mentioned earlier that I'm currently on unemployment. The initial filing wasn't too bad but you have to stay on top of your weekly claims and job search requirements.

How long did it take to get your first payment? I've heard horror stories about people waiting months.

I was lucky and got approved pretty quickly. First payment came about 2 weeks after filing. But some people do get stuck in adjudication for weeks or months.

The job search requirements are what worry me most. How many jobs do you have to apply for each week?

In Washington you need to make at least 3 job search activities per week. This can include applying for jobs, attending job fairs, networking events, etc.

That doesn't sound too bad. I thought it would be more than 3.

Just make sure you keep good records of your job search activities. Washington ESD can audit your job search log at any time.

One thing that surprised me is that you can work part-time while on unemployment and still get some benefits. Didn't know that was allowed.

Yes, you can work part-time but you have to report all earnings. Your benefits will be reduced based on how much you earn but you can still get partial payments.

That's actually really helpful. Takes some of the pressure off finding the perfect full-time job right away.

Going back to the original question - I think it's crazy that so many people don't understand they're paying into unemployment. It should be explained better when you start a new job.

I agree! HR departments should explain what all the payroll deductions are for. Most people just see money coming out but don't understand what they're paying for.

Exactly. And then when they need unemployment they don't even know they're eligible because they never understood the system.

Thanks everyone for explaining this. I feel much more confident about the unemployment system now. Hopefully I'll never need to use it but at least I understand how it works.

Same here! This thread answered all my questions. Really appreciate everyone taking the time to explain everything.

Happy to help! Understanding your benefits is important. Better to know before you need them.

For anyone who needs to contact Washington ESD in the future, I'll echo what someone said earlier about Claimyr. Used it myself last year and it really does work. Much better than trying to get through on your own.

I'm definitely bookmarking that for future reference. The thought of spending hours on hold with Washington ESD gives me anxiety.

Exactly why I recommend it. Takes the stress out of trying to reach them when you actually need help.