Do we pay into unemployment - Washington ESD deductions from paychecks?

Thanks for clarifying! So both the employee and employer contribute to fund the Washington ESD system?

Exactly. The employee contribution is relatively small compared to what employers pay, but both are required to keep the system funded.

Same here, never really noticed it until someone pointed it out. At least now I know I'm covered if something happens to my job.

That makes me feel better about potentially needing to file a claim someday. We're literally paying for this insurance.

Wow, so even at the maximum it's less than $300 per year? That seems reasonable for unemployment insurance coverage.

Yeah, when you break it down like that it's really not much. Probably less than what I spend on coffee in a month.

Exactly. And remember, to be eligible for benefits you need to have worked and paid into the system for a certain period. The contributions establish your benefit eligibility and amount.

All employees pay the same rate - 0.4% currently. It's the employers whose rates vary based on their layoff history and industry risk factors.

That's helpful, thanks. I was worried I was being charged more than others for some reason.

So it's kind of like social security in that way? The more you pay in, the more you can potentially get back?

Similar concept, yes. Your highest quarter of earnings in the base period determines your weekly benefit amount, subject to the state maximum.

Good to know it's not just a flat rate for everyone who files. Makes sense that it's based on what you were earning.

Right, it's actually an insurance program that you and your employer fund. That's why there are job search requirements and other eligibility rules - you're receiving benefits you've paid for.

makes more sense now why they're so strict about the weekly claims and job search stuff

Most states require employee contributions now, though the rates vary. A few states like California have higher employee rates, while others are lower than Washington's 0.4%.

Interesting. I guess Washington's approach is pretty typical then.

Exactly the right attitude. You're paying for this insurance - don't feel guilty about using it if you qualify and need it.

Same here. I always thought there was some kind of stigma, but knowing we pay for it changes my perspective completely.

Good tip! I should probably start keeping better records of my paystubs and employment dates.

Definitely. Having all that information ready makes the application process much smoother if you ever need to file.

You pay the same 0.4% rate regardless of whether you're full-time or part-time. But since it's a percentage of your wages, you'll pay less in total dollars if you earn less.

ok that makes sense, same rate but less actual money coming out of my check

Where can I find that information if I want to look it up myself?

Check the Washington ESD website - they have detailed premium rate information and updates when rates change for the new year.

Totally agree. HR departments should do a better job explaining all the deductions and what they're for.

Financial literacy around these programs is definitely lacking. Understanding what you're paying into helps you make better decisions about your benefits.

That's exactly how insurance works - everyone pays in, and those who qualify and need it can draw benefits. It spreads the risk across all workers.

cool, like car insurance but for losing your job

Really? That's good to know in case I ever relocate for work. I was worried I'd lose credit for what I've paid in here.

Yeah, there's an interstate agreement that helps with this. Makes the system more portable for workers who move around.

Perfect summary. Thanks everyone for helping me understand how this system works!

Great thread. I learned a lot too and feel much more informed about what I'm paying for.