Unemployment Benefit

When a state or a government assists or aids those who are unemployed who agree to actively seek employment, this is known as unemployment benefit. Unemployment benefits vary in size and coverage according to the jurisdiction of the unemployment agency and the status of the unemployed. Typically, the coverage of unemployment benefits extends to basic needs. However, it can also be proportional to the last drawn salary. Individuals register to claim unemployment benefits and indicate their status of unemployment.

When a state or a government assists or aids those who are unemployed who agree to actively seek employment, this is known as unemployment benefit. Unemployment benefits vary in size and coverage according to the jurisdiction of the unemployment agency and the status of the unemployed. Typically, the coverage of unemployment benefits extends to basic needs. However, it can also be proportional to the last drawn salary. Individuals register to claim unemployment benefits and indicate their status of unemployment.

Types of Unemployment Benefit

An unemployment benefit may be offered as:

• Unemployment insurance including payments to ex-military personnel and employees of federal/government agencies.
• Health insurance and medical assistance with benefits that may extend to the immediate family members.
• Additional income for unemployed individuals with children or any other dependants.
• Disaster Unemployment Assistance (DUA) for individuals who became unemployed due to a natural disaster such as storms and floods. They are eligible for disaster unemployment benefits.

Unemployment benefits include the following features:

It is generally covered under the social security scheme.

• Individuals who are unable to work because of disability are not eligible for unemployment benefits but they can apply for separate disability benefits.
• It is not offered to unemployed individuals who are above the retirement age.
• The compensation generally equals half of the earnings.
• The benefits are extended for a longer period when there is high rate of unemployment in the economy.
• It is taxable and returns should be filed on it.
• It is not offered to self-employed individuals.
• It cannot be claimed by individuals who quit work without a substantial reason.
• It cannot be claimed by those who are involved in labor disputes or get fired due to misconduct.

How to Claim Unemployment Benefits?

To claim an unemployment benefit, an application has to be submitted to an unemployment agency. This can also be done online, through post or in person. The agency reviews the application and the reasons for unemployment. Some agencies require periodic certification from individuals on their unemployment status. The payment of unemployment benefits generally begins two weeks after the application has been filed.

While filing a claim for unemployment benefits, the following information needs to be furnished to the unemployment agency:

Social security details

• Mailing address with zip code
• Contact numbers
• Name and contact details of past employers during preceding two years, including employment dates and duration.

While claiming unemployment benefits, it is mandatory for the unemployed individual to register with the state’s job service and actively search for work. The job service requires individuals to submit resumes, apply for different jobs and accept a position that fulfills certain standards. At job service offices, it is possible for unemployed individuals to find excellent guidance through career counseling, job listings and training.