ESD claim approved but payment amount lower than expected - should I call?
After waiting for what felt like forever (6 weeks!), my ESD claim was finally approved yesterday and I got my first unemployment payment. I should be thrilled but I'm actually super confused because the amount is about $175 less per week than what the monetary determination letter said I would get. The letter showed my weekly benefit amount would be $825, but I only received $650 for my first payment. I haven't worked or earned any income since filing, so I don't understand why they would reduce the amount. Is this normal for the first payment? Maybe taxes or something? The ESD website doesn't explain the difference and I can't figure out where to see a breakdown of the payment. Is it worth spending hours trying to get through to ESD on the phone about this? Has anyone else experienced getting less than their determined amount? I'm worried if I don't question it now, I'll keep getting the lower amount for all future payments.
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Freya Andersen
same thing happened to me back in january!! my determination letter said $779 but my first payment came in at $637. turns out they take taxes out automatically unless you tell them not to. did u check that box when u applied?
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Ravi Choudhury
•Omg I think you might be right! I vaguely remember seeing something about tax withholding but I didn't really pay attention. Is there a way to see the breakdown of the payment somewhere on the ESD site?
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Omar Farouk
This is almost certainly due to tax withholding. ESD will automatically withhold around 10% for federal taxes unless you specifically opted out. They might also be withholding for other things like child support or an overpayment from a previous claim if applicable. You can see the breakdown by logging into your eServices account, going to your claim summary, and clicking on the payment history. Each payment should have a "Details" link that shows the gross amount and any deductions. If the math doesn't add up after checking that, then it would be worth calling ESD to investigate further.
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Ravi Choudhury
•Thank you! I just checked the payment details and you're exactly right. They're withholding $128 for federal taxes and apparently another $47 for something called "healthcare premium" that I don't remember authorizing. Guess I need to call about that part at least.
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CosmicCadet
DONT WASTE UR TIME CALLING!! i spent 3 weeks trying to reach someone at esd about a payment issue. kept getting hung up on after waiting for 2+ hours. they dont care about us at all!!!!!
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Chloe Harris
•Yeah the ESD phone system is basically designed to make you give up. I tried for TWO MONTHS to talk to someone about my claim last year. The system would say "high call volume" and just disconnect me. Over and over and over. I literally cried from frustration.
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Diego Mendoza
The healthcare premium deduction is probably because you had employer-provided health insurance and selected to continue it through COBRA. When you filed your initial claim, there's a question about continuing health insurance coverage. If you selected yes, they automatically deduct the premium from your benefits. You can change this by submitting a written request to ESD asking them to stop the healthcare premium deduction. But then you'd need to make other arrangements for your health insurance.
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Ravi Choudhury
•Ohhh that makes sense! I do remember selecting something about continuing health coverage, but I didn't realize they'd automatically deduct it. Thanks for explaining - I'll keep it since I do need the insurance.
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Anastasia Popova
Just to add onto what others have said - the tax withholding is typically 10% for federal taxes. There's no state income tax in Washington, so that's all they take for taxes. The healthcare premium will vary based on your previous plan. Do double-check that the base amount before deductions matches your monetary determination letter. If that number is wrong, then there's a different issue that would require contacting ESD. But if it's just the deductions causing the difference, then everything is probably working as intended.
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Ravi Choudhury
•I double-checked and you're right - the base amount does match my determination letter! It's just the deductions I wasn't expecting. I feel much better knowing this is normal and not some error. Thanks for your help everyone!
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Gianna Scott
Glad you got it figured out! This is such a common confusion - I wish ESD would make the deductions more clear upfront. For future reference, you can also adjust your tax withholding by filling out form ESD 1042 if you want to change the amount they take out (or stop it entirely). Just keep in mind you'll owe taxes on the full amount when you file your return if you reduce/eliminate the withholding.
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Tristan Carpenter
•This is really helpful info about the ESD 1042 form! I had no idea you could adjust the withholding amount. Since I'm planning to be on unemployment for a while, it might make sense to reduce the withholding and just set aside money for taxes myself. Do you know if there's a minimum amount they have to withhold, or can you completely opt out of tax withholding?
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