Unemployment Benefits Calculator

Understanding Unemployment Benefits

Unemployment insurance (UI) provides temporary income replacement for workers who lose their jobs through no fault of their own. This critical safety net program is jointly funded by federal and state payroll taxes and administered by each state's unemployment office.

How Benefits Are Calculated

Every state uses a slightly different formula, but the core components are similar:

• Base period earnings: Most states look at your earnings in the first four of the last five completed calendar quarters
• Percentage of earnings: States typically pay 40-60% of your average weekly wage
• Maximum caps: All states have weekly maximum benefit amounts that limit high earners
• Dependent allowances: States like Massachusetts and Pennsylvania add benefits for dependents

State-by-State Variations

Unemployment benefits vary dramatically by state. Here are some key differences:

• Highest maximum benefits: Massachusetts ($1,033/week), Washington ($999/week), New Jersey ($830/week)
• Lowest maximum benefits: Mississippi ($235/week), Arizona ($240/week), Louisiana ($247/week)
• Shortest duration: Florida and North Carolina (12 weeks), Georgia (14 weeks)
• Longest duration: Massachusetts (30 weeks), Montana (28 weeks), most states (26 weeks)

How Long Do Benefits Last?

Most states provide up to 26 weeks of regular unemployment benefits. However, several states have reduced their maximum duration:

• 12 weeks: Florida, North Carolina
• 14 weeks: Georgia
• 16-20 weeks: Several states with sliding scales based on unemployment rate
• 26 weeks: Majority of states
• 26+ weeks: Massachusetts (30 weeks), Montana (28 weeks)

Eligibility Requirements

To qualify for unemployment benefits, you typically must:

• Have sufficient work history: Usually 12-18 months of covered employment
• Have earned minimum wages: Most states require minimum earnings in the base period
• Be unemployed through no fault of your own: Layoffs and company closures qualify; quitting or being fired for cause typically doesn't
• Be able and available to work: Ready, willing, and physically able to accept suitable employment
• Actively seek work: Most states require you to apply to a minimum number of jobs weekly

Common Reasons for Denial

Your claim may be denied if you:

• Quit without "good cause" (varies by state definition)
• Were fired for misconduct related to your job
• Don't have enough work history or earnings
• Refuse suitable work while collecting benefits
• Fail to complete required job search activities
• Are unavailable for work (traveling, in school full-time, etc.)

Taxes on Unemployment Benefits

Unemployment benefits are considered taxable income:

• Federal taxes: Always taxable as ordinary income
• State taxes: Most states tax unemployment; a few exempt it
• Withholding option: You can choose to have 10% withheld for federal taxes
• Form 1099-G: You'll receive this form documenting benefits received

Tips for Maximizing Your Benefits

1. File immediately: Benefits don't start until you file, and there's often a one-week waiting period
2. Report earnings accurately: Part-time work may reduce but not eliminate benefits
3. Keep detailed records: Document your job search activities meticulously
4. Respond promptly: Missed deadlines can delay or terminate your benefits
5. Appeal denials: If denied, you have the right to appeal—and many appeals succeed

Unemployment and Severance

If you received severance pay, it may affect your unemployment benefits depending on your state. Use our State Comparison Tool to understand your state's specific rules.