ESD question: Do I need to report PTO payout after termination? Plus issues with taking community college classes
My husband just got terminated from his job (completely his fault, he admits it) and his unemployment claim is currently in adjudication. We're having a nightmare trying to get through to ESD on the phone and have two urgent questions I'm hoping someone here can answer: 1. He received a final paycheck that included all his unused PTO (around $1,875). When filing his weekly claim, does this PTO payout need to be reported as income? It was earned during employment but paid out after termination. 2. He has a potential job opportunity through a friend's company, but they want him to take some courses at the local community college first to gain needed skills. Will taking these classes affect his unemployment benefits? Does this count as being in school and disqualify him, or can it be counted as part of his required job search activities? We're completely lost with the ESD system and any help would be so appreciated!
28 comments


Sean O'Donnell
For your first question, YES, he absolutely needs to report the PTO payout. ESD considers vacation/PTO payouts as earnings during the week they're paid, not when they were earned. They'll reduce his benefit amount for that week accordingly. If the payout is larger than his weekly benefit amount, he won't get benefits for that week, but it won't affect future weeks. For the community college classes, it depends on the time commitment. If the classes don't prevent him from accepting full-time work, they shouldn't disqualify him. He should definitely report this on his weekly claim in the section that asks if he's in school or training. He can also see about getting the classes approved as Commissioner Approved Training (CAT) which would exempt him from job search requirements while he's in the program.
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Anastasia Sokolov
•Thank you so much for this clear explanation! I'll make sure he reports the PTO payout. The classes would only be 2 afternoons a week, so they wouldn't prevent him from working full-time. Is the Commissioner Approved Training something we need to apply for separately? Or do we just mention it when filing the weekly claim?
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Zara Ahmed
i had something similar happen last year and didn't report my pto payout and OMG it was a HUGE hassle... they flagged my account for overpayment and i had to pay back benefits plus deal with adjudication all over again... dont make the same mistake i did!!!!
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Anastasia Sokolov
•Oh no! That sounds awful. Thanks for the warning - he'll definitely report it now. Did it take a long time to resolve the overpayment issue?
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Zara Ahmed
•took almost 3 months and they took like $75 extra for some kind of penalty!! plus all those phone calls trying to get it sorted... nightmare!!!!
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StarStrider
Regarding the community college classes: this is actually a great opportunity that shouldn't negatively impact his unemployment. If these classes are specifically tied to improving employment opportunities (which they clearly are since a potential employer is requesting them), he should: 1. Report them on his weekly claim form where it asks about school/training 2. Gather documentation from the potential employer stating these classes are required for employment consideration 3. Consider applying for Training Benefits or Commissioner Approved Training (this requires a separate application through ESD - not just mentioning it on weekly claims) The classes can definitely count as job search activities if they're directly related to obtaining employment. He should keep detailed records of all communication with the potential employer about these requirements. As for the PTO payout - yes, it must be reported as earnings for the week received, not when earned. This is a common misunderstanding that leads to overpayment issues.
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Luca Esposito
•This is totally wrong! If you're in school ESD will disqualify you because you're not available for work! Happened to my cousin last year when he took ONE class at Bellevue College. The whole system is designed to deny benefits any way they can. Don't trust these people telling you it's fine.
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StarStrider
•That's not entirely accurate. The key factor is whether the schooling prevents you from accepting full-time work. Part-time classes that don't interfere with availability for employment generally don't disqualify you. Additionally, Training Benefits and Commissioner Approved Training are specific programs designed to allow claimants to attend school while receiving benefits. Your cousin's situation may have had other factors involved. The regulations are quite clear on this - it's about availability for work, not simply being enrolled in classes.
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Nia Thompson
Have you tried calling Claimyr? When my claim was stuck in adjudication for weeks and I couldn't get through, I used their service (claimyr.com) and got connected to an ESD rep in about 20 minutes. They have a video demo at https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3 showing how it works. Honestly, for specific questions like yours, especially when adjudication is involved, speaking directly to ESD is probably your best bet since they can look at your actual claim details.
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Anastasia Sokolov
•I hadn't heard of that service! We'll definitely check it out. You're right that we probably need specific answers for our situation, especially with the adjudication already happening. Thanks for the suggestion!
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Mateo Rodriguez
Speaking from experience with ESD and PTO payouts - they DO count as earnings but here's the important thing: they only affect the week they were paid in. So if his PTO payout was $1,875 and his weekly benefit amount would normally be $850, he'll probably not receive benefits just for that one week. Then benefits would resume normally after that. For the school thing, in my experience, ESD is mostly concerned with whether taking classes prevents you from accepting full-time work. If he can still work around the class schedule, he should be okay but MUST report it on his weekly claim. I think it's question #4 or #5 that asks if you're attending school or training.
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Aisha Abdullah
•^^^ this is the correct answer. PTO only affects one week, and he should definitely still file for that week even though he'll get reduced or no benefits. And yes school is fine as long as he'd quit school for a full-time job if offered one.
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Luca Esposito
So wait I'm confused about something... if he got fired for cause (his fault), why would he even qualify for unemployment? I thought you could only get benefits if you lost your job through no fault of your own? My brother got fired for being late too many times and ESD denied his claim completely.
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Sean O'Donnell
•It's not quite as black and white as that. ESD evaluates each case individually. Being fired for performance issues, inability to meet job requirements, or even some policy violations doesn't automatically disqualify someone. They look at whether the action was "misconduct" which has a specific definition in unemployment law. Things like intentional disregard of employer interests, deliberate violation of known rules, illegal activities, or repeated violations after warnings can be disqualifying misconduct. But simple performance issues, inability to meet standards, or isolated mistakes often don't rise to that level. That's why the claim is in adjudication - ESD is gathering information from both the employer and employee to make this determination.
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Anastasia Sokolov
•Yes, that's exactly right. His termination is being reviewed in adjudication. It was related to performance issues rather than deliberate misconduct, so we're hopeful he'll qualify, but we won't know until adjudication is complete. That's why these other questions are important to us right now.
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Aisha Abdullah
Just wanted to add something important about the school/training situation. If these classes are directly related to improving employability (which they clearly are), your husband should document everything. Keep emails from the potential employer stating the classes are required, save enrollment confirmations, etc. This documentation will be CRUCIAL if ESD ever questions his availability for work. Also, when he reports the classes on his weekly claim, there's usually a follow-up question asking if he would quit school for full-time work. The answer needs to be YES to avoid issues with unemployment eligibility.
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Anastasia Sokolov
•That's really helpful advice about documentation! I'll have him save all emails from the potential employer about the class requirements. And good to know about answering YES to quitting school for full-time work - I think that's where people might get tripped up.
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FireflyDreams
Just wanted to share my recent experience since it might help. I was in a similar situation last month - got terminated and had PTO payout confusion. Here's what I learned: definitely report that PTO payout on the weekly claim for the week you received it. I made the mistake of not reporting mine initially because I thought "I earned it while working" but ESD sees it as income received during unemployment. Had to correct it later which was a headache. For the community college classes - I actually did something similar. I was taking an Excel certification course (2 evenings per week) while on unemployment. As long as you can honestly say you'd drop the classes for a full-time job offer, you should be fine. Just be completely transparent about it on your weekly claims. One tip: if you do get approved for Commissioner Approved Training, it can actually be better than regular unemployment because you don't have to do job search activities while in the program. But the application process takes time, so don't wait if these classes are starting soon. Hope your husband's adjudication goes smoothly! Performance issues are often not considered disqualifying misconduct, so fingers crossed.
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Nathaniel Stewart
•This is such valuable real-world experience, thank you for sharing! It's reassuring to hear from someone who went through something similar. I'm definitely going to make sure he reports the PTO payout right away - it sounds like trying to correct it later is way more trouble than just being upfront from the start. The Excel certification example is really helpful too. These classes are supposed to start in about 2 weeks, so you're probably right that we shouldn't wait for the Commissioner Approved Training application process. We'll just make sure to be completely transparent on the weekly claims. Thanks for the encouragement about the adjudication too - we're trying to stay hopeful since it really was performance-related rather than intentional misconduct.
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Jamal Brown
I went through almost the exact same situation about 6 months ago! My husband was terminated (also performance-related) and we had similar questions about PTO payout and schooling while on unemployment. For the PTO - yes, absolutely report it. We made the mistake of thinking it didn't count since it was "earned" during employment, but ESD considers it income for the week it's paid out. It delayed his benefits for that one week (his payout was about $2,100 and his weekly benefit was $750), but everything resumed normally after that. For the community college classes - this actually worked out great for us! He took a project management certification course (3 evenings per week) and it didn't affect his benefits at all. The key things we learned: - Always answer YES when asked if he'd quit school for full-time work - Keep documentation showing the classes are employment-related - Report it honestly on every weekly claim We didn't end up applying for Commissioner Approved Training because the course was only 8 weeks, but it's definitely worth looking into if these classes are longer-term. One last tip - if you can't get through to ESD by phone, try their online messaging system through your eServices account. We got responses within 24-48 hours, which was way better than spending hours on hold. Good luck with the adjudication! Performance issues are often not considered disqualifying misconduct, so there's definitely hope.
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Natasha Petrova
•This is exactly what we needed to hear! Thank you so much for sharing your experience - it's so helpful to know someone went through almost the identical situation. The PTO amount is even similar to what my husband received, so knowing it only affected one week of benefits is really reassuring. I love the tip about the online messaging system through eServices! We've been so focused on trying to call that we didn't even think about that option. If we can get responses in 24-48 hours, that would be so much better than the phone nightmare we've been dealing with. The project management certification sounds like it was a great move for your husband - I hope these classes work out similarly well for us. We'll definitely keep all the documentation and be completely honest on the weekly claims. Thanks again for taking the time to share all these details. It's giving me so much more confidence about how to handle this situation!
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Tristan Carpenter
I've been following this thread and wanted to add some additional perspective as someone who works in HR and has dealt with unemployment claims from the employer side. Regarding the adjudication for termination - performance-related terminations are actually quite common and often don't disqualify people from unemployment benefits. The key distinction ESD looks for is whether there was "willful misconduct" versus inability to perform job duties. Things like not meeting sales quotas, struggling with job requirements, or isolated mistakes typically don't rise to the level of disqualifying misconduct. For the PTO payout question - everyone here is absolutely right that it must be reported. From an employer perspective, we're required to report all final wages including PTO payouts to ESD, so they'll eventually know about it anyway. Being upfront prevents overpayment issues later. One thing I haven't seen mentioned yet is that during adjudication, ESD will likely contact the employer for their side of the story. If the termination was truly performance-related rather than misconduct, most employers will report it accurately, which actually works in your husband's favor. Stay patient with the process - adjudication can take several weeks, but performance-based terminations have a good track record for approval in my experience.
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Zoe Papanikolaou
•This HR perspective is incredibly valuable, thank you! It's really reassuring to hear that performance-related terminations often don't disqualify people, especially from someone who sees this from the employer side. You're right that my husband's situation was truly about struggling to meet job requirements rather than any willful misconduct. The point about employers being required to report PTO payouts anyway is something I hadn't considered - that definitely reinforces why being upfront about it is the smart move. And knowing that most employers report performance terminations accurately gives me more hope for the adjudication outcome. We're trying to be patient with the process, though the waiting is definitely stressful when you're depending on those benefits. Thanks for sharing your professional insight - it helps to understand what's happening behind the scenes!
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QuantumLeap
I've been through unemployment with ESD twice in the past few years and wanted to share a few practical tips that might help you navigate this process more smoothly: For getting through to ESD by phone - the absolute best times I've found are right when they open at 8:00 AM or during lunch hours (12-1 PM) when call volume tends to drop. Also, if you get disconnected, don't hang up and redial immediately - sometimes you'll get put back in the queue automatically. Regarding your questions - everyone's advice about reporting the PTO payout is spot on. I learned this the hard way during my first claim. For the community college classes, just make sure you're prepared to explain how they directly relate to your job search if ESD ever asks. Having that employer email stating the classes are required for consideration will be your best documentation. One more thing about adjudication - they often take longer than the estimated timeframes they give you, so don't panic if it goes past what they initially said. My performance-related termination took about 5 weeks to resolve, but it was ultimately approved. Keep filing your weekly claims even during adjudication - you'll get backpay once it's resolved if you're approved. Don't let the stress get to you too much; you're handling this the right way by asking questions and getting informed!
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Oliver Schulz
•These timing tips for calling ESD are gold - thank you! We've been trying at random times and getting nowhere, so knowing the 8 AM and lunch hour windows are better will definitely help us be more strategic about it. It's really good to know that adjudication can take longer than they initially estimate. We were starting to worry that something was wrong when it seemed to be dragging on, but hearing that 5 weeks isn't unusual helps manage our expectations. And yes, we're definitely continuing to file weekly claims during the process - I'm glad to know we'll get backpay if approved. Your point about being prepared to explain how the classes relate to job search is smart. Having that employer documentation ready will definitely give us confidence if we need to justify it. Thanks for all the practical advice and the encouragement - it really helps to hear from people who've successfully navigated this process!
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Kingston Bellamy
I wanted to add one more resource that might be helpful for both of your questions - ESD's Handbook for Unemployed Workers is available online and has detailed explanations of what needs to be reported and the school/training rules. It's pretty comprehensive and might give you more confidence about what you're dealing with. Also, I've found that when you're in adjudication like your husband is, it's actually a good time to get all these other questions sorted out (like the PTO reporting and school situation) so you don't run into issues later. You're being really proactive by asking these questions now. One small thing - when he does report the PTO payout on his weekly claim, there should be a section asking about "other income" or "earnings" for that week. Make sure to put the full amount there, not just a portion of it. ESD's system is pretty automated for calculating benefit reductions, so accuracy is key. Hang in there with the adjudication process - from everything you've described, it sounds like a straightforward performance issue rather than misconduct, which should work in your favor. The fact that your husband is being honest about it being "his fault" actually shows good character, but remember that fault doesn't automatically equal disqualifying misconduct in ESD's eyes.
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Luca Ferrari
•Thank you for mentioning the ESD Handbook - I didn't even know that existed! I'll definitely look that up online. You're absolutely right that being proactive about these questions now while we're already in adjudication makes sense, rather than dealing with more issues later. I appreciate the specific guidance about reporting the full PTO amount in the "other income" section. It's helpful to know exactly where to put it on the weekly claim form. And thank you for the reassurance about the adjudication - you're right that there's a difference between admitting fault for performance issues versus actual misconduct. We're trying to stay optimistic that ESD will see it the same way. All the advice in this thread has been incredibly helpful. It's such a relief to get clear answers from people who've actually been through similar situations rather than just guessing about what to do!
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Luis Johnson
I just want to say how helpful this entire thread has been! I'm not in the exact same situation, but I've been worried about some similar issues with my own unemployment claim. The clarity everyone provided about PTO payouts being reported in the week they're received (not when earned) is something I never would have figured out on my own. And all the detailed advice about community college classes while on unemployment - especially the documentation tips and being prepared to quit school for full-time work - gives me confidence about some training I've been considering. @Anastasia Sokolov - I hope your husband's adjudication goes smoothly! From everything people have shared here, it sounds like you're handling everything exactly right by being proactive and transparent. The fact that so many people have successfully navigated similar performance-related terminations is really encouraging. This community is such a valuable resource when ESD's phone system seems impossible to navigate. Thanks to everyone who shared their real experiences - it makes such a difference to hear from people who've actually been through these situations!
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