UI Claims
How filing an unemployment insurance claim works, who qualifies, how benefits are calculated, how they're taxed, and a calculator.
UI claims benefit and tax calculator
How UI claims work
Unemployment insurance (UI) is run by each state, so you file your claim with the state where you worked, usually online, as soon as you lose work. You generally must have lost your job through no fault of your own, have earned enough in the base period (in most states the first four of the last five completed calendar quarters), and be able, available and looking for work. After approval you certify each week or two.
How much you get
States set the weekly benefit from your base-period wages, often around half of your former weekly pay (many use 1/26 of your highest quarter), up to a state maximum, for up to 26 weeks in most states. The calculator uses that common formula; check your state's figures.
Taxes on unemployment
Unemployment benefits are taxable income; you'll get Form 1099-G showing what you received. You can have federal income tax withheld by filing Form W-4V (10%) with your state, or make estimated payments. Employers fund the program through state UI tax and the federal FUTA tax: 6.0% on the first $7,000 of each employee's wages, usually reduced to 0.6% ($42 per employee) by the state credit (IRS).
Common questions
Where do I file a UI claim?
With the unemployment agency in the state where you worked.
Is unemployment taxable?
Yes, it's taxable income reported on Form 1099-G.
How is my weekly unemployment benefit figured?
From your base-period wages, often about half your former weekly pay up to a state maximum.
Sources
- US Department of Labor: Unemployment insurance
- IRS: Unemployment compensation
- IRS Topic 759: Form 940 (FUTA)
More paycheck and tax calculators: Tax Exempt Form · Tax Extension (Form 4868) · W2 Form · W8BEN Form
Related
General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.