wetmk
01-03-2008, 09:30 AM
I was recently laid off. I will be receiving severance pay for the next thirty weeks. Do I apply for unemployment benefits now or after severance runs out? Is severance considered gross earnings? Does severance pay exclude me from unemployment benefits?
Thank you.
Probably. I do not know NY specific rules, but if payroll is issuing payments for the next 30 weeks, then legally it is just like any other payroll wages, and they will do exactly the same reporting with severance pay as if it was "normal" wages. Unless NY actually has something on the form they send HR specifically telling them to exclude severance pay, the confirmation form and the state SUI quarterly reports will both list wages in your name for the quarter(s).
If I can ask a question, sometimes extended termination payments are formally structured into something called Supplemental Unemployment Benefits (SUB). Has your employer used that phrase? And if you have received your first payment, are FICA taxes still being deducted?
While severance pay is legally vanilla payroll wages, SUB is legally something a little different.
Pattymd
01-04-2008, 02:13 AM
I can't add anything to DAW's response, but 30 weeks? WOW!!! :eek: