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Gabriel Ruiz

Washington ESD unemployment benefits - if minimum wage increases what happens to unemployment amounts?

My state just raised minimum wage again and I'm wondering how this affects my weekly unemployment benefit amount. I've been on UI for about 6 weeks now and my benefit calculation was based on wages from last year when minimum wage was lower. Does Washington ESD automatically adjust my weekly benefit amount when minimum wage goes up, or do I need to do something? I'm getting $362 per week right now but not sure if that should change.

Your weekly benefit amount is calculated based on your actual wages from your base period, not minimum wage. So if minimum wage increases, it doesn't automatically change your current UI benefits. Your benefit amount stays the same for the duration of your claim year.

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Oh okay, so even though minimum wage went up my $362 weekly amount won't change? That makes sense I guess since it's based on what I actually earned before.

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Right, your benefit year is locked in when you file. The only way minimum wage increases would affect you is if you file a new claim next year and your base period wages were higher because of the wage increase.

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The weekly benefit amount is calculated using a formula based on your highest quarter earnings during your base period. Minimum wage increases don't retroactively change your past earnings that the calculation is based on. However, the maximum weekly benefit amount that Washington ESD pays can be adjusted annually.

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What's the maximum weekly benefit amount for 2025? I'm wondering if I'm close to the cap or if there's room for it to be higher.

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For 2025, the maximum weekly benefit amount in Washington is $999. Your $362 is well below that, so you're not hitting the cap. The max gets adjusted each year based on the state's average weekly wage.

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How much does that Claimyr thing cost? I've been trying to reach Washington ESD for weeks about my adjudication issue.

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wait so if minimum wage goes up that doesnt help people on unemployment at all?? that seems backwards

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It helps future claimants whose base period wages were higher due to the increased minimum wage. But current claims are based on past earnings, so there's no immediate impact.

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oh i see so its like delayed by a year or whatever. makes sense i guess but still frustrating when everything else gets more expensive

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Another question - if I get a part-time job while on UI that pays the new higher minimum wage, does that affect my weekly claim reporting differently?

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You still report all gross earnings from any work during your weekly claim, regardless of the wage rate. Washington ESD will deduct a portion of those earnings from your weekly benefit using their standard formula.

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Good to know. I was worried the higher minimum wage might push me over some threshold and mess up my benefits completely.

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This whole system is so confusing!! Why can't they just make it simple - if minimum wage goes up, benefits go up. Period.

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The system is designed to replace a percentage of your actual lost wages, not provide a minimum income. That's why it's based on your work history rather than current wage rates.

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I get that but it still seems unfair when rent and groceries get more expensive but my UI stays the same

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That's why they adjust the maximum benefit amount annually - to account for cost of living changes. But individual benefits are still tied to your personal wage history.

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I'm dealing with something similar but my issue is that my claim is still in adjudication after 8 weeks. Can't get anyone at Washington ESD to explain what's taking so long or how minimum wage changes might affect things once it's resolved.

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8 weeks in adjudication is ridiculous! Seriously consider using Claimyr to get through to someone. That's exactly the kind of situation where you need to actually talk to an agent.

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I've been hesitant to pay for something like that but honestly I'm desperate at this point. The financial stress is killing me.

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For what it's worth, minimum wage increases can indirectly help UI claimants in the long run. When wages go up across the board, the state's average weekly wage increases, which means higher maximum benefit amounts for future claims.

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That's a good point. So even though it doesn't help me right now, it helps the overall system stay current with wage levels.

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Exactly. It's not immediate relief but it keeps the UI system from falling too far behind economic changes.

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ugh i hate how they calculate these benefits anyway. worked my butt off at two jobs and still only get like $290 a week

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The calculation looks at your highest earning quarter during your base period. If you had irregular hours or seasonal work, that can result in lower benefits even if you worked hard.

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yeah thats exactly my situation. one job was seasonal so my highest quarter wasnt that great. system sucks

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Does anyone know if there are any proposed changes to how Washington ESD calculates benefits in relation to minimum wage? Seems like this comes up a lot.

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I haven't heard of any specific proposals, but benefit calculation formulas do get reviewed periodically. Any major changes would have to go through the legislature though.

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Makes sense. Just wondering if there was momentum to tie benefits more directly to current wage levels somehow.

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This is actually really helpful info. I was stressing about whether I needed to report the minimum wage increase to Washington ESD or something. Glad to know my benefit amount is locked in.

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Nope, no need to report minimum wage changes. Your weekly benefit calculation is set when you file and stays the same for your benefit year unless there are other changes to your claim.

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Perfect, one less thing to worry about while dealing with all this unemployment stuff.

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The timing of when minimum wage increases take effect can be confusing too. Like if it goes up in January but your base period is from the previous year, you definitely won't see any impact.

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Right, and my base period was from last year when minimum wage was lower. So even though it went up this year, my calculation is still based on the old rate.

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Exactly. The base period lag means wage increases take time to show up in UI benefits. It's not immediate.

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I wonder if this affects people differently depending on whether they were making minimum wage or more than minimum wage at their previous job?

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Good question. If you were making significantly more than minimum wage, minimum wage increases wouldn't affect your benefit calculation at all since it's based on your actual higher earnings.

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That makes sense. So it's really only relevant for people who were earning at or near minimum wage levels.

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Been unemployed for 4 months now and this kind of stuff just adds to the stress. Everything gets more expensive but my benefits stay the same. At least now I understand why.

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I feel you. It's frustrating when you're already struggling financially and wage increases don't help your current situation.

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Yeah exactly. Just have to hope I find work soon before things get too tight.

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Thanks for asking this question OP. I was wondering the same thing but wasn't sure where to find the answer. This thread cleared it up perfectly.

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No problem! I figured other people probably had the same question. Always better to understand how this stuff works.

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One more thing to consider - if you're doing any part-time work while on UI, the higher minimum wage could mean you earn more per hour, which might affect how much of your UI benefit gets reduced.

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True, but the deduction formula stays the same. Washington ESD deducts 75% of earnings over $5, so higher hourly wages would just mean proportionally higher deductions.

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Right, so the net effect on your total weekly income could be minimal even with higher part-time wages.

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This whole conversation makes me realize how complicated the UI system is. No wonder people get confused about how their benefits are calculated.

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It is complicated, but the basic principle is pretty straightforward - replace a portion of your lost wages based on your recent work history. The details get complex though.

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Yeah I get the basic idea, just lots of nuances like this minimum wage question that aren't obvious.

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At least Washington state has decent UI benefits compared to some other places. Even if they don't automatically go up with minimum wage.

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That's true. I've heard some states have really low maximum benefit amounts. Washington's $999 max seems pretty reasonable.

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Yeah and the benefit duration is decent too. Could be worse for sure.

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Bottom line - minimum wage increases don't affect current UI benefits, but they can help future claims if your base period wages were higher because of the increase. Makes sense once you understand how the timing works.

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Perfect summary! That's exactly what I needed to understand. Thanks everyone for the detailed explanations.

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Glad we could help clear it up. It's definitely one of those things that seems like it should work differently than it actually does.

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This thread has been super helpful! I'm in a similar situation - been on UI for about 2 months and was confused when I heard about the minimum wage increase. Now I understand that my $421 weekly benefit won't change even though minimum wage went up. It's kind of a bummer that current claimants don't get any immediate help when cost of living goes up, but at least the system makes sense once you understand the base period calculation. Thanks to everyone who explained how this all works!

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You're welcome! I'm glad this discussion helped clarify things. It's definitely frustrating when you're already dealing with the stress of unemployment and then wonder if you're missing out on benefit increases. At least knowing how the system works takes away some of the uncertainty. Hope you find work soon and don't need to worry about any of this much longer!

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