Frequently Asked Questions

about UI benefits – The

Basics
1. What does the American Rescue
Plan Act mean for me, an
unemployed worker?

The pandemic benefits that Congress passed

in December are set to expire on March 14.
The recently passed American Rescue Plan
Act (ARPA), which was signed into law by
President Biden, extends the following
unemployment insurance (UI) benefits until
September 6:

· Fe d e r a l P a n d e m i c U n e m p l o y m e n t
C o m p e n s a t i o n ( F P U C ) – $300 a week on top
of other UI benefits

· Mixed Earners Unemployment

C o m p e n s a t i o n ( M E U C ) – for people who are
both W-2 employees and self-employed, they
can receive an additional $100 per week

· Pandemic Emergency Unemployment

C o m p e n s a t i o n ( P E U C ) – after someone
exhausts state UI benefits, PEUC extends the
duration of benefits to 53 weeks

· Pandemic Unemployment Assistance

( P UA ) – benefits for self-employed people
and other unemployed people deemed
ineligible for state UI benefits, up to 79 weeks
(or in high unemployment states, up to 86
weeks)

· S h o r t-T i m e C o m p e n s a t i o n ( S T C ) o r
Wo r k S h a r i n g – extends federal funding to
states to make work-sharing available for
employers to rehire employees who they have
laid off and to help employers keep people
employed who they may be thinking about
laying off. Employers can supplement pay
with STC payments as they slowly re-open
with employees working fewer hours.

For unemployed workers who may need to pay

taxes on their UI benefits, the ARPA exempts
the first $10,200 of unemployment insurance
benefits paid in 2020 for household incomes
less than $150,000.

For additional details, see this post from our

friends at The Century Foundation.

Re t u r n t o FAQ s

1. 1. What was the program that

was created through the
presidential memorandum and
how does it impact my UI
benefits?

Before the federal Pandemic Unemployment

Compensation (FPUC) expired at the end of
July, FPUC provided workers with an extra
$600/week on top of their regular state UI
benefits or PUA benefits.

While the U.S. House of Representatives

passed legislation in May 2020 that would
have extended the benefit, the U.S. Senate did
not pass legislation to save the extra $600
before it expired the end of July.
President Trump instead issued a presidential
memorandum creating the Lost Wage
Assistance (LWA) program .

The LWA uses a limited pool of FEMA funds

(normally reserved for disasters) to provide an
additional $300/week in benefits to some
unemployed workers for a limited number of
weeks. Depending on the state where you
receive UI benefits, you could receive LWA
benefits covering anywhere from 3 -6 weeks of
unemployment.
For workers whose UI benefits or PUA benefits
are less than $100/week, you will not receive
LWA, so you will only receive your regular UI
or PUA benefit amount. Many states are still
in the process of making LWA payments.

Check with your state UI agency for more

information.

Re t u r n t o FAQ s

2. What is Unemployment Insurance

(UI) and Pandemic Unemployment
Assistance (PUA)?

Unemployment Insurance (UI)

Unemployment Insurance, also called UI, is a

benefit that people earn while they are
working. It is designed to be paid out to
unemployed workers who lose their jobs
through no fault of their own. UI provides
jobless workers with income to replace part of
their wages.

Pandemic Unemployment Assistance

( P UA )

A federal law passed in March 2020 called the

CARES Act created an emergency
unemployment benefits program called
Pandemic Unemployment Assistance (PUA).
PUA provides income to unemployed workers
who are NOT eligible for regular state UI or
who have run out of their state UI
benefits. This includes people who are self-
employed (such as independent contractors
and freelancers), as well as people whose
irregular or insufficient work histories don’t
qualify them for regular state UI benefits.

Re t u r n t o FAQ s

3. What’s the difference between UI

and PUA?

While UI and PUA both offer financial

assistance to workers who are out of work or
have less work, PUA has specific restrictions
that may limit its benefits and coverage (for
example, your unemployment must be a
direct result of the COVID-19 pandemic). Also,
the PUA program is time-limited to the end of
the calendar year. Regular state UI doesn’t
have these restrictions.

It’s possible that PUA could pay out higher

benefit amounts because the minimum PUA
benefit in a state is higher than the minimum
benefit for regular state UI.

App-based gig workers may be require to

“suspend operations” as a result of COVID -19
in order to qualify for PUA.

Re t u r n t o FAQ s

4. What are the new unemployment

assistance programs created in
response to the coronavirus
pandemic?

The CARES Act, which became federal law on

March 27, 2020, created three new
unemployment programs:

Pandemic Unemployment Assistance

( P UA ) —
—Provides unemployment
compensation to workers who have
typically been found ineligible for UI benefits
(e.g., self-employed workers, independent
contractors)

Fe d e r a l P a n d e m i c U n e m p l o y m e n t
Compensation (FPUC)— —An additional $600
per week, on top of regular state
UI benefits and PUA benefits. All UI
recipients and PUA recipients will receive this
extra $600 per week. This benefit was
provided by the federal government, up until
July 25 th for most people. At this time, this
benefit has expired. Expiration of this benefit
should not impact your eligibility to
continuing receiving your regular state UI
benefits or PUA benefits. To see more
information about the status of FPUC, refer
back to Question #1.

Pandemic Emergency Unemployment

Compensation (PEUC)— —An additional 13
weeks of UI benefits, beyond the regular 26
weeks that most states provide, for a total of
39 weeks of coverage.

Re t u r n t o FAQ s

5. Am I eligible for UI or PUA benefits?

Unemployment Insurance (UI)

UI rules are different, depending on what

state you work in. In most states, you must
meet certain requirements, such as earning a
minimum amount of money in a year, working
a minimum amount of time in the last 12 to 15
months, having an acceptable reason for
losing your job, and being available to work.
We recommend you apply and let the state UI
agency go through the process of determining
your eligibility.

Pandemic Unemployment Assistance

( P UA )

Workers who don’t qualify for regular state UI

may be eligible to receive benefits under the
PUA program. You may be eligible for PUA
if you are self-employed, an independent
contractor, freelancer, worker seeking part-
time work, or a worker who does not
have a long-enough work history to qualify for
state UI benefits.

To receive PUA, you will have to show that

you are unemployed, your hours have been
reduced, you are unable to work, or you are
unavailable to work because of one of the
following circumstances:

• You have been diagnosed with COVID -19

or have symptoms of it and are
seeking diagnosis;

• A member of your household has been

diagnosed with COVID-19;

• You are providing care for someone

diagnosed with COVID-19;

• You are providing care for a child or

other household member who can’t
attend school or work because it is closed
due to COVID-19;

• You are quarantined or have been

advised by a health care provider to self-
quarantine;

• You were scheduled to start employment

and do not have a job or cannot reach
your place of employment as a result of a
COVID-19 outbreak;

• You have become the breadwinner for a

household because the head of
household has died as a direct result of
COVID-19;

• You had to quit their job as a direct result

of COVID -19;

• Your place of employment is closed as a

direct result of COVID-19; or

• You meet other criteria established by

the Secretary of Labor.

Re t u r n t o FAQ s

6. Can I get UI or PUA benefits if I’m

an independent contractor? And
how do I know if I’m an employee or
an independent contractor?

Unemployment Insurance (UI)

Independent contractors are traditionally not

eligible for UI. Employees are eligible for UI.

If you have a Form W-2, you are an employee.

If you have a Form 1099, you likely are an
independent contractor—but not necessarily.
Many employers intentionally misclassify
their workers as independent contractors to
avoid paying payroll taxes. In that case, you
may be considered an employee under the law
and eligible for UI.

Even if you do not have a Form W-2, the

agency can decide on your employment
relationship based on several factors. Those
factors differ from state to state, but can
include how much supervision your employer
has over your work and the type of work you
do.

Pandemic Unemployment Assistance

( P UA )

Independent contractors and self-employed

workers may qualify for PUA due to being out
of work as a result of the coronavirus
pandemic. App-based or “gig” workers, who
are often misclassified as independent
contractors, are being directed by different
states either to apply for UI (as an
employee eligible for regular compensation)
or for PUA.

Re t u r n t o FAQ s

7. What if I’m still employed, but my

hours and/or pay have been cut?
Am I eligible for UI or PUA?

Unemployment Insurance (UI)

It depends on what state you are in, but you

may be able to get UI even if your hours have
been reduced and you are still working. If
your hours or pay have been cut or you have
been forced to take a part-time position and
you can’t get additional work, you may be
eligible for what’s called “partial” UI.
Typically, the state where you are applying for
UI will “disregard” some of your earnings
from your UI check and limit how much you
can earn while collecting UI. After that
disregard, your UI benefit amount is reduced
by however much of your former income you
earned. If you earned more than the allowed
limit for people collecting partial UI, you will
not be eligible for a UI check for that
particular week.

Pandemic Unemployment Assistance

( P UA )

You may be eligible for PUA benefits even if

you are still working, but it depends on the
state where you are employed. If your hours or
pay have been cut or you have been forced to
take a part-time position and you can’t get
additional work, you may be eligible for
what’s called “partial” PUA.

You will still need to show that your hours or

pay have been reduced for one of the COVID -
19 related reasons.

Re t u r n t o FAQ s

8. What if I was fired from my job? Am I

eligible for UI or PUA?

Unemployment Insurance (UI)

Workers who are unemployed through no fault

of their own should be eligible for UI.
Depending on your state’s rules, this usually
means UI is available to workers who lose
their jobs due to a layoff, business closing,
reduction in workforce, or other economic
reasons. If your employer wants to challenge
your application for UI benefits after you have
been fired, they will have to prove that you
were fired for “willful misconduct.”

Generally, willful misconduct means

something that a worker does or does not do
that may affect the employer’s business
interest in a negative way. Misconduct is
different from poor job performance. Some
examples of misconduct are repeatedly not
showing up to work without notice; constantly
being late; intoxication on job;
insubordination; dishonesty; or conduct in
violation of criminal law. It really depends on
how the state where you work defines
misconduct.

Pandemic Unemployment Assistance

( P UA )

As long as you are not working because of the

coronavirus pandemic, it is not as important
whether you were actually fired, laid off, or
furloughed. Many people are being told by
their employers that they will be called back
to work, but there is no guarantee of that. The
important factor in determining your
eligibility for PUA is that you are not working
for reasons directly related to COVID -19 as
described in Question 4.

Re t u r n t o FAQ s

9. What if I quit my job? Can I get UI or

PUA?

Unemployment Insurance (UI)

You should apply for UI to see if you are

eligible. States may say you can’t get UI if you
leave work voluntarily and without a good
reason. If you quit for a good reason
or what’s called “good cause” as defined by
your state’s UI laws, you may be able to
receive UI.

Here are some examples of good cause to quit:

employer makes false accusations of the
employee; employer unfairly reduces wages or
fails to pay wages on time; employer
discriminates against its employees; employee
faces constant harassment by co-workers or
employer; employee quits to care for a
seriously ill family member; to relocate to
spouse’s new job; to escape domestic violence;
to accept a better-paying job; to leave part-
time employment to accept full-time
employment; and loss of public
transportation relied on to get to work.

Pandemic Unemployment Assistance

( P UA )

You may be eligible for PUA if you quit your

job as a direct result of COVID -19. The state UI
agency will have to decide if you faced a
credible health
concern that made you quit your job or had
caregiving responsibilities that qualify you for
PUA.

In general, you may be eligible for PUA due to

concerns about coronavirus exposure only if
you have been advised by a healthcare
provider to self-quarantine because of such
concerns. For example, you may be eligible for
PUA if your immune system is
compromised because of a serious health
condition, and your healthcare provider
advises you to self-quarantine to avoid the
serious health risks of COVID -19.

Another example where you may be eligible

for PUA is if you were diagnosed with COVID -
19 by a qualified medical professional, and
although you no longer have COVID -19, the
illness caused health complications that make
you unable to perform your job, with or
without a reasonable accommodation.

In both examples, you will need some written

proof, such as a note from a doctor or
healthcare provider who is qualified to
determine if your health will be seriously
affected by coronavirus exposure.

It’s important to know that the federal

government has stated that voluntarily
quitting your job out of a general concern
about exposure to COVID-19 does NOT make
you eligible for PUA.

Re t u r n t o FAQ s

10. I am an immigrant worker and have

lost my job. Am I eligible for UI or
PUA?

Unemployment Insurance (UI)

To be eligible for regular state UI, immigrant

workers must satisfy the same basic
requirements as other workers. First, they
must be unemployed “through no fault of
their own.” Second, they must have earned
enough wages or worked enough hours in
their “base period” to submit a UI claim.
Third, they must be “able and available” to
work.

The general rule is that workers must have

valid work authorization during the period
they were working, at the time that they apply
for UI, and throughout the period during
which they are receiving UI.

Pandemic Unemployment Assistance

( P UA )

It is still unclear whether stricter

requirements might apply to federal
unemployment insurance under PUA.

Under the current state and federal systems,

undocumented workers are not eligible for
unemployment benefits. For more
information, see NELP’s fact sheet: Immigrant
Workers’ Eligibility for Unemployment
Insurance .

Re t u r n t o FAQ s

11. Will I continue to receive UI or PUA

benefits after the first payment? Do I
need to do anything else after I
submit my claim for UI or PUA
benefits?

Unemployment Insurance (UI)

After you are approved for UI and start

receiving payments, you must continue to
meet eligibility requirements on a week-to-
week basis or your benefits may end.

You may have to meet work search

requirements to continue receiving UI, which
may include that you be physically able to
work, ready and willing to accept a job, and
actively searching for a job each week that you
are claiming benefits. However, in many
cases, it is not enough to simply say that you
meet all of these requirements. Most states
require that you maintain a job search log in
order to verify that you are actively seeking
work.

During the coronavirus pandemic, you

still must certify on a weekly basis that you
remain eligible for UI benefits. In response to
the coronavirus pandemic, some states have
waived the work search requirements.
See your state’s UI website for more
information about the work search
requirements that your state may have
waived.

Pandemic Unemployment Assistance

( P UA )

If you are receiving PUA benefits, you may be

required to follow up with the UI agency after
you first apply in order to continue
receiving benefits. Depending on the state,
you may be required to submit additional
documents about your employment and
earnings, which may include submitting a tax
return or pay stubs if you have them.

Re t u r n t o FAQ s

12. How long can I receive UI or PUA

benefits?

Unemployment Insurance (UI)

In many states, you can receive regular UI

benefits for up to 26 weeks (about 6 months).
The following states provide less than 26
weeks of regular UI benefits: Arkansas,
Alabama, Florida, Idaho, Missouri, North
Carolina, and South Carolina.

In response to the coronavirus pandemic,

Congress created a new program called
Pandemic Emergency Unemployment
Compensation (PEUC) that provides an
additional 13 weeks of UI benefits to workers
who run out of regular state UI benefits. Also,
workers in many states will qualify for an
extra 13 weeks of benefits on top of PEUC as
part of another program called Extended
Benefits (EB). So, you may be able to receive
39 weeks of UI benefits in most states and up
to 52 weeks in states where EB is available. To
find out how many weeks of benefits are
available in your state, click here.

Pandemic Unemployment Assistance

( P UA )

You may be able to receive PUA benefits for up

to 39 weeks (about 9 months) through the end
of 2020.

Re t u r n t o FAQ s

13. How much will I receive in UI or PUA

benefits?

Unemployment Insurance (UI)

The maximum UI benefit amount you can

receive will vary by state. Each state has
different maximum and minimum benefit
amounts and determines payments
differently. In general, your UI payment
amount will be based on the amount of your
wages before you lost your job. More
specifically, the UI agency will consider your