Do you have to claim Washington ESD unemployment benefits on your taxes?

Thanks for confirming that. I was hoping it wouldn't be taxable but I guess that makes sense. Do I need to pay taxes on the full amount or just part of it?

You'll need to pay taxes on the full amount shown on your 1099-G. The good news is that if you had taxes withheld from your weekly claims, that will show up as tax payments on the form.

Wish I had known about the withholding option when I was on unemployment. Ended up owing like $1,200 in taxes that I wasn't expecting.

Yeah, it's one of those things they don't really emphasize when you're filing. The withholding option is buried in the weekly claim questions but it can save you from sticker shock at tax time.

Never heard of Claimyr before. Does it actually work for getting through to Washington ESD? I've been trying to call them for weeks about my account.

Yeah it worked for me. They basically handle the calling and waiting part, then connect you when an agent is available. Way better than sitting on hold for hours.

Interesting, might have to try that. I've been calling Washington ESD every morning for two weeks trying to get my 1099-G reissued and haven't gotten through once.

That's a relief! At least I don't have to deal with state taxes on top of federal. One less thing to worry about.

True, but don't forget that unemployment might push you into a higher tax bracket depending on your other income for the year.

This is great advice. I'm currently on unemployment and definitely going to start setting money aside now rather than getting hit with a big tax bill later.

smart move. I made the mistake of spending all my unemployment benefits without thinking about taxes the first time. learned my lesson quick lol

The 1099-G should match your total benefits received. If there's a discrepancy, you should contact Washington ESD to get it corrected. Don't file your taxes with incorrect information.

That's what I was afraid of. Guess I need to try calling Washington ESD again. Their phone system is so frustrating.

This is exactly the kind of issue where Claimyr really helps. Instead of spending all day trying to get through to Washington ESD, they can connect you with an agent who can look into the 1099-G discrepancy.

Good to know. I moved last year and forgot to update my address with Washington ESD. Probably need to get that sorted out before tax season.

Definitely update your address ASAP. You can do it online through your Washington ESD account or by calling them. Don't wait until you need the 1099-G.

This is why I always have my taxes done professionally when I've been on unemployment. Too easy to make mistakes with all the different forms and rules.

Nothing wrong with getting professional help, especially if you had unemployment plus other income changes during the year. Can save you headaches down the road.

That's confusing. So if Washington ESD was behind on processing my claim and I got back payments in January 2024 for December 2023 weeks, I report it on my 2024 taxes?

Exactly. The 1099-G will show the total amount you received in 2024, regardless of which benefit weeks it was for. You report it based on when you actually got the money.

I feel you on that. There aren't specific deductions for unemployment, but if you were job searching, some of those expenses might be deductible. Things like resume services, interview travel, etc.

That's something at least. I spent quite a bit on interview clothes and gas money driving to interviews. Need to look into what qualifies.

Good point. The tax implications of unemployment go beyond just reporting the income. It can affect your eligibility for various credits and deductions.

Exactly. It's worth reviewing all your tax situations when you've had unemployment benefits during the year, not just adding the 1099-G amount.

Yes, you still need to report it regardless of the amount. All unemployment benefits are taxable income that must be reported on your federal tax return.

Figured that would be the case but wanted to double-check. Thanks for the clarification.

How much does something like that cost? I'm dealing with a similar 1099-G issue but don't want to spend a fortune to get it resolved.

It's worth checking out their website for current pricing, but for me it was way cheaper than the stress and time I was spending trying to get through on my own. Plus it actually worked.

Good advice. I learned this when I got audited a few years back (not related to unemployment) and had to scramble to find old tax documents.

Exactly. Better to have them and not need them than need them and not have them. Especially with unemployment benefits since there can sometimes be questions about eligibility or overpayments later.

Glad this helped! Tax season can be stressful enough without being confused about unemployment reporting requirements.

For sure. At least now I know what to expect and can plan accordingly. Better to be prepared than surprised come tax time.