ESD Weekly Claim Question: How to Report Upcoming Severance When It's Not Tied to Future Dates?
I was laid off on November 17th and I'm struggling with how to report my severance package on my weekly unemployment claims. My situation: I'm getting a lump sum severance payment about 6 days after I sign a separation agreement, which I have 45 days to consider. I plan to sign on December 26th and expect to receive payment around January 2nd.\n\nFrom what I understand reading the ESD FAQs, this severance shouldn't affect my benefits since it's not tied to any specific time period after my last day. It's basically just compensation for signing away my rights to sue.\n\nBut the weekly claim questions are confusing me! When it asks 'Are you getting paid for any period after you last worked, such as Severance pay, pay in lieu, or termination pay?' - should I answer NO since my severance isn't tied to any period after my last day? It's just a one-time payment that happens when I sign?\n\nIf I'm supposed to answer YES, then I get confused by the follow-up questions about contracts and payment amounts. Since I haven't signed anything yet or received any money, I don't know what to put.\n\nI've tried calling ESD but can't get through, and messages take up to 30 days for a response. Has anyone dealt with this specific severance situation before? I really don't want to answer incorrectly and mess up my claim.
22 comments


Andre Laurent
You're on the right track. Since your severance payment isn't designated for any specific time period after your last day of work, you should answer NO to that question. The question is specifically asking if you're receiving money that's tied to specific weeks after termination (like getting 4 weeks of regular pay as severance). \n\nYour situation is different - you're receiving a lump sum payment in exchange for a signed agreement, not payment for specific weeks after your termination. You'll only need to report it during the week you actually receive the payment (likely in January based on your timeline).\n\nJust make sure that when you do receive the payment, you report it as income for that specific week. The system will then determine if it affects your benefits for that single week.
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Carmen Diaz
Thank you so much for that clear explanation! So just to confirm - I answer NO to the severance question for all my weekly claims until the actual week I receive the payment in January? Then for that specific week only, I would report it as income?
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Emily Jackson
BRO I HAD THE EXACT SAME ISSUE last month and it's such a headache!! The ESD system is SO CONFUSING with these questions. I spent like 2 weeks trying to figure this out. I answered YES at first and got stuck in the same loop you did with the follow-up questions. Ended up having my claim flagged for review and my payments got delayed by 3 weeks!!! \n\nThe person who finally called me back said I should have answered NO since my severance wasn't for specific weeks after my end date. Apparently there's a big difference between getting \
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Carmen Diaz
Ugh, that sounds awful! I definitely don't want my claim flagged and delayed. Did they end up fixing it for you without penalties? I'm worried about answering wrong and then being accused of fraud or something.
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Liam Mendez
i think the question is asking if ur getting paid for time after u stopped working. like if ur severance was
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Sophia Nguyen
This isn't quite right. All severance needs to be reported, but how it affects your benefits depends on the structure. The key is whether the payment is allocated to specific weeks after termination. Either way, you still need to report receiving the money during the week you get it.
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Jacob Smithson
Let me clear this up since there's some confusion. For ESD purposes, they distinguish between two types of severance:\n\n1) Severance that's allocated to specific weeks after your job ended (like \
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Carmen Diaz
This is extremely helpful, thank you! So to be extra clear - I just answer NO to the severance question on all my weekly claims until I actually receive the money in January. Then for that one week, I report it as income. Is there a specific category I should report it under when I do receive it?
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Isabella Brown
Hey there, just wanted to add that if you're struggling to get through to ESD (which is notoriously difficult), I recently used a service called Claimyr (claimyr.com) that helped me get through to an agent within about 25 minutes when I had confusion about my severance reporting. They have a video showing how it works: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3\n\nThey basically call ESD for you and then connect you when they get through. Saved me days of frustration and constant redialing. Might be worth it if you need to talk to someone directly about your specific situation.
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Carmen Diaz
That's really good to know - thank you! If I can't figure this out based on the advice here, I might try that service. Did you find the ESD agents were able to give you clear answers once you got through?
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Maya Patel
severance is so complicated with unemployment!!! when i got laid off in 2023 i had a similar package and i just said NO to that question because my HR dept told me it wasnt tied to any weeks after i stopped working. it was just a lump sum for signing the agreement. i didnt have any problems with my claim doing it that way. but maybe i got lucky?? the whole system is confusing af
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Jacob Smithson
You didn't get lucky - you answered correctly! Lump sum severance that's not allocated to specific weeks after termination is different from continuing wages. You still have to report the income in the week you receive it, but you answered the specific question correctly.
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Andre Laurent
One additional thing to keep in mind - when you do receive your severance payment in January, you'll need to report it as income for that week. Depending on the amount, it may reduce or eliminate your benefit for JUST that one week.\n\nFor example, if your weekly benefit amount is $950 and your severance payment is $3,500, you probably won't receive benefits for that one week. But your benefits should resume normally the following week.\n\nAlso, make sure you continue filing your weekly claims even for the week you might not receive a payment due to the severance. Skipping weeks can cause problems with your claim.
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Carmen Diaz
This is really helpful, thank you! My weekly benefit amount is $920 and my severance will be around $5,200 after taxes, so it sounds like I'll lose benefits for that one week in January but otherwise should be fine. I'll definitely keep filing every week regardless.
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Sophia Nguyen
While everyone's advice here is generally good, I want to point out that ESD's rules on severance changed slightly in 2024. You should still report the lump sum payment as income during the week you receive it. However, if your severance exceeds 1.5 times your weekly benefit amount, you need to report this on your claim by calling the technical support line. \n\nThis is a relatively new requirement that many people aren't aware of. It doesn't change how your benefits are calculated, but it's something ESD now requires for proper documentation.
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Emily Jackson
Wait what?? I didn't know about this 1.5x rule when I filed last month! Is this something new they added? I swear they change these rules every few months without telling anyone. How are we supposed to keep up with all these technicalities?
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Jacob Smithson
Just wanted to follow up based on all the comments. Here's what I believe is the correct approach for your situation:\n\n1) Answer NO to the question about being paid for periods after your last day of work (since your severance isn't tied to specific weeks)\n\n2) Continue filing weekly claims as normal\n\n3) For the specific week in January when you receive your severance payment:\n - Report it as income for that week\n - Select \
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Carmen Diaz
This is exactly what I needed - a clear step-by-step plan! I really appreciate everyone's help. The ESD website and materials just aren't clear on these specific situations. I'll follow these steps and hopefully everything will go smoothly.
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Giovanni Greco
I went through something very similar earlier this year and wanted to share my experience. I had a lump sum severance that wasn't tied to specific weeks, and I followed the same approach everyone's recommending here - answered NO to the severance question until I actually received the payment. One thing I'll add is to keep documentation of your severance agreement once you sign it. When I reported my lump sum payment in the week I received it, ESD asked me to upload a copy of the agreement to verify it wasn't allocated to specific time periods. Having it ready made the process much smoother. Also, don't stress too much about the exact category when reporting it as income - there's usually an "other income" or "severance" option that works fine. The important thing is just being honest about receiving the money during that specific week. You're handling this the right way by asking questions upfront rather than guessing!
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Sofia Gutierrez
•That's really great advice about keeping the documentation ready! I hadn't thought about ESD potentially asking for proof that the severance isn't allocated to specific weeks. I'll definitely make sure to have a copy of my separation agreement easily accessible once I sign it in December. It's reassuring to hear from someone who went through the exact same situation and had it work out smoothly. Thanks for sharing your experience!
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Nadia Zaldivar
I just wanted to add one more thing that helped me when I was in a similar situation - if you're still unsure about anything after following all this great advice, you can also check with your former employer's HR department. They usually have experience with how their severance packages interact with unemployment claims and can sometimes provide clarification on whether your specific payment structure is tied to post-employment periods or not. In my case, HR was actually able to provide a letter stating that my severance was a lump sum payment for signing the separation agreement and wasn't allocated to any specific weeks after termination. Having that documentation gave me extra peace of mind when filing my claims. Also, just want to echo what others have said - definitely keep filing your weekly claims even during the week you might not receive benefits due to the severance payment. Missing even one week can cause unnecessary complications with your claim status. Good luck with everything! It sounds like you're being really thoughtful about handling this correctly.
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Grace Lee
•That's such a smart suggestion about getting documentation from HR! I never would have thought to ask for a letter clarifying that the severance isn't allocated to specific weeks. That kind of official documentation would definitely help if ESD has any questions later. I'm planning to sign my agreement in late December, so I'll reach out to HR before then to see if they can provide something similar. Thanks for the tip about continuing to file even during the week I won't get benefits - I'll make sure to keep that in mind!
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