How does severance pay affect Washington ESD unemployment benefits?

Severance pay doesn't disqualify you from unemployment benefits in Washington, but it can affect when your benefits start. If your severance is paid as a lump sum, it usually doesn't delay your claim. If it's paid out weekly like regular wages, Washington ESD might delay your benefits until the severance period ends.

It was a lump sum payment. Should I have reported it when I filed my initial claim? I'm worried I messed something up.

You should report it on your weekly claims when you receive it. The lump sum shouldn't delay your eligibility, but Washington ESD needs to know about all income.

I had this exact situation last year. My company gave me 6 weeks severance as a lump sum and Washington ESD approved my claim without any issues. Just make sure you report it correctly on your weekly filing. The key is being honest about all income sources.

That's reassuring! How long did it take for your claim to get approved? Mine's been under review for 3 weeks now.

Mine took about 4 weeks total. The adjudication process can be slow, especially if they're verifying employment details with your former employer.

This is so frustrating - I've been calling Washington ESD for weeks trying to get through to someone about my severance situation and can never reach a human. The automated system just keeps transferring me around in circles. Has anyone found a reliable way to actually talk to someone at Washington ESD?

I was having the same problem until I found Claimyr. It's a service that calls Washington ESD for you and gets you connected to an actual agent. Check out claimyr.com - they have a video demo at https://youtu.be/7DieNd3C7zQ that shows exactly how it works. Saved me hours of frustration.

Interesting, I hadn't heard of that before. Is it legit? I'm desperate at this point but don't want to get scammed.

Yeah it's totally legitimate. They basically automate the calling process and wait on hold for you, then call you back when they get an agent on the line. Way better than spending your whole day redialing.

ugh severance is such a pain. my last employer paid mine out over 10 weeks and washington esd made me wait until it was done before i could collect unemployment. so annoying

That's exactly what I was worried about! But mine was lump sum so hopefully it's different.

That's the key difference - lump sum vs. periodic payments. Washington ESD treats them very differently for benefit eligibility.

Make sure you understand the difference between severance pay and vacation payout too. I got confused about this when I filed and it caused delays in my claim processing.

What's the difference in how Washington ESD treats them?

Vacation payout is considered wages for the period it represents, while severance is generally considered a gift or dismissal payment. Both need to be reported but they're handled differently.

I'm going through this right now too. Got 12 weeks severance paid monthly and Washington ESD is making me wait. The whole system is broken - they take forever to process anything and you can never reach anyone to get answers.

Have you tried using that Claimyr service someone mentioned earlier? I used it last month to get through to Washington ESD about my adjudication issue and it actually worked.

No, hadn't heard of it. I'll check it out though - anything's better than calling 200 times a day.

The waiting is the worst part. I understand they need to verify everything but 3+ weeks just to review a severance situation seems excessive. My bills don't stop coming while Washington ESD takes their time.

Exactly! I'm starting to stress about rent next month if this doesn't get resolved soon.

Hang in there. Once Washington ESD processes your claim, they usually backdate the benefits to when you first filed. You'll get the money you're owed.

Pro tip: keep detailed records of your severance payment - amount, date received, whether it was lump sum, etc. Washington ESD might ask for documentation later and you want to have everything ready.

Good advice. I have all the paperwork from my employer saved. Should I upload it somewhere or just wait for them to ask?

Just keep it handy for now. If they need it during adjudication, they'll request it through your online account or by mail.

Does anyone know if the amount of severance matters? Like if it's a really large amount, does that change how Washington ESD handles the claim?

The amount itself doesn't change eligibility, but larger severance packages sometimes include additional components like stock options or extended benefits that might need separate reporting.

Mine was pretty straightforward - just straight severance pay. Hopefully that keeps things simple.

I was told by someone at Washington ESD that severance can sometimes trigger additional verification with your employer, which might be why your claim is taking longer. They want to confirm the employment end date and reason for separation.

That makes sense. My company had layoffs so maybe they're verifying that it wasn't for cause or something.

Exactly. Mass layoffs sometimes require extra documentation to confirm everyone affected is eligible for benefits.

washington esd is so slow with everything. took them 6 weeks to approve my claim and that was without any complications. just be patient i guess

6 weeks?! I really hope mine doesn't take that long. I'm already struggling financially.

yeah it sucks but they do backdate everything so you get all the money you should have gotten

Question - do you have to pay taxes on severance pay? I'm wondering if that affects how Washington ESD calculates weekly benefit amounts.

Yes, severance is taxable income. But Washington ESD calculates your weekly benefit amount based on your regular wages from your base period, not including the severance payment.

Good to know, thanks! I was worried the severance would mess up my benefit calculation.

I'm in a similar boat but with vacation payout instead of severance. Filed 4 weeks ago and still waiting. Starting to wonder if I should try that Claimyr thing to get some answers about what's taking so long.

Definitely worth trying. I was skeptical at first but it really does work. Better than wasting days trying to get through on your own.

Alright, I'll give it a shot. Can't be worse than the current situation.

Make sure you're still doing your job search requirements while waiting for your claim to be approved. I made the mistake of not keeping track thinking my claim would be denied, then had to scramble to document job contacts when it got approved.

Oh good point! I've been looking for jobs but not really documenting it properly. What do I need to track?

You need to log at least 3 job search activities per week. Keep records of applications, networking, job fairs, etc. Washington ESD can audit your job search log anytime.

The uncertainty is killing me. I just want to know if my severance is going to delay my benefits or not. Washington ESD's website doesn't give clear answers about different severance scenarios.

Since yours was a lump sum, it shouldn't delay your benefits. The delay you're experiencing is likely just the normal adjudication process for verifying your employment separation.

That's reassuring. I guess I just need to be patient and wait for the process to work itself out.

Has anyone here had their severance actually cause their unemployment claim to be denied? I keep reading conflicting information online and it's making me nervous.

Severance alone shouldn't cause a denial in Washington state. Denials usually happen due to the reason for separation (fired for misconduct, quit without good cause, etc.) not because of severance payments.

Thanks, that helps ease my anxiety a bit. I was laid off due to company restructuring so that should be fine.

Update for anyone following this thread: I finally got through to Washington ESD (using Claimyr actually) and they confirmed that lump sum severance doesn't delay benefit eligibility. My claim was just stuck in normal adjudication review. Should be approved within the next week or two.

That's great news! I think I'm going to try Claimyr too to get an update on my claim status.

Definitely recommend it. Saved me so much time and frustration compared to trying to call on my own.

Good to hear a success story! Gives me hope for my own situation.