How Is Your Minimum Monthly Payment Calculated
If your overpayment was caused by fraud, your minimum monthly payment equals your weekly benefit amount or 3 percent of the total outstanding balance when the billing statement is mailed, whichever is greater.
If your overpayment was not caused by fraud, your monthly payment equals one-third of your weekly benefit amount, 3 percent of the total overpayment balance, or $25, whichever is greater.
What Is An Overpayment
Overpayments of unemployment benefits occur when someone received benefits that they are later found to have been ineligible to receive.
This can happen for two main reasons:
You may appeal an overpayment decision by following the instructions on the letter we send to you. You can also learn more about appeals on the Benefits Denials and Appeals page of our website.
Chart : Call Center Statistics
The Unemployment Claims Center tracks multiple data points related to customer calls. Call statuses include:
Answered: Number of calls answered by an agent from queues for the following claim center units: Intake, Adjudication and SAW Portal Help Desk.
Abandoned: Number of calls abandoned by a customer from queues before being answered by an agent for the following claim center units: Intake, Adjudication and SAW Portal Help Desk.
High Call Volume Messages: Number of calls that receive the high-call volume message. The calls are not put in a queue or on hold due to the high number of calls coming into the claims center and callers are asked to try again later. Because one person may make many repeat calls, the count of high-volume messages is higher than the number of individuals seeking assistance.
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Why Was I Denied Benefits
If you dont meet deadlines when we request more information, we usually have to deny benefits because we dont know if you qualify. When this happens for potential new claim issues, youll get a letter that explains:
- Your benefits were being paid from the wrong program.
- You didnt respond to repeated requests to start a new claim.
- Your options and next steps.
Us Department Of Labor Provides States With Updated Guidance To Waive Recovery Of Certain Unemployment Insurance Benefits Overpayments
WASHINGTON During the height of the pandemic, records were broken as millions of Americans filed claims for unemployment benefits. As demand soared, the U.S. Department of Labor provided instructions to states to administer payments under several programs authorized by the Coronavirus Aid, Relief, and Economic Security Act. As guidance evolved, states paid benefits in some cases to individuals who were not entitled to receive them, although the individuals were not at fault.
Today, the department issued an Unemployment Insurance Program Letter to states to address overpayments under the CARES Acts Unemployment Compensation Programs when the claimant is not at fault. The updated Unemployment Insurance Program Letter augments guidance the department issued on May 5, 2021.
In recognition of the enormity of the challenge the pandemic placed on claimants and State Workforce Agencies, the departments Employment and Training Administration updated its waiver guidance to approve five new scenarios under which states may apply blanket waiver of recovery of overpayments:
When states waive recovery of overpayment, collection activities cease. Fraudulent overpayments remain exempt from waiver and must be repaid.
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Holden S Whidbey Island
In March 2020 I left my job as a server and gave my two weeks due to reduction in hours and pay. A year later, I received an overpayment notice for $5,500 because my employer says I quit without notice. I filed an appeal and contacted my state representative, but Im still waiting to hear back on my appeal. Ive been receiving regular collection statements and ESD garnished $1,400 from my tax refund. I no longer receive benefits since I went back to work as a server, but I have no money to find a house or pay for daily expenses.
Overpayment Options After You Have Tried Everything Even Waiver
Washington Law provides an opportunity for claimants who owe overpayments to make an offer to pay less than the full amount ESD says you owe as a settlement, otherwise known as an Offer in Compromise. This means that if you cannot afford the whole amount ESD says you owe, but can afford to pay some amount, even an amount significantly less than the total you owe, you are able to make an offer to a qualified person at ESD to pay less. ESD sometimes accepts these settlement offers, but also has the ability to reject them.
In order to determine whether or not to accept your offer ESD looks to the factors of equity and good conscience, as defined in WAC 192-100-015. Basically, this means that ESD looks to see if overall it would be fair in your circumstances to make you repay the full amount they say you owe.
To make an offer in compromise or negotiated settlement offer you need to:
- Request paperwork on an Offer in Compromise.
- Make the offer to an authorized person in the departments unemployment benefits collection unit. WAC 192-230-130.
- Specify the amount you are offering to repay. Be prepared for ESD to request a credit report, if needed, and be prepared with financial and other information to support your offer, if requested. WAC 192-230-130.
- Understand that if your offer is rejected, you are not able to appeal the rejection. However, you are able to make another offer if your circumstances change. WAC 192-230-110.
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How Are Unemployment Insurance Deductions Calculated
If you stop making your minimum monthly payment for any reason, we may deduct from your benefits. If you are receiving benefits we can withhold half or all of your benefits each week you claim to repay the principal balance of your overpayment. We will not deduct any interest, penalties, or court costs from your benefits. You must pay these costs yourself.
We will deduct 100 percent of your benefits payable for the week if:
Your overpayment was caused by fraud The money left in your benefit claim is equal to or less than the amount you owe You ask us to cancel your old claim in order to file a new claim orYou asked us to deduct it to pay off your overpayment faster
We will deduct 50 percent of your benefits payable for the week if:
Your overpayment was not caused by fraud.
What Is A Potential New Claim Alert
Its an alert inyour eServices account or a letter mailed to you. It will tell you that ESD needs information about your current or past claim.
Please watch for this alert or letter. If you receive it, respond by the deadline even if you stopped claiming or returned to work.
You might get the alert more than once if your base year wages change, for example. We cant legally reuse the answers you might have given us before. We must ask you again.
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Office Of Special Investigations
Employment Security Department’s Office of Special Investigations is committed to preserving the integrity of the Unemployment Insurance program. Our office conducts many types of audits throughout the year on unemployment claims to ensure the accuracy of benefit payments made. Individuals found to have committed fraud are assessed penalties , are required to repay the amount identified as overpaid , and are subject to possible state or federal criminal prosecution.
We are very interested in the information you provide to us about fraud. However, we cannot provide information to you about the action we take on any allegation reported to our office unless you are an individual defined in RCW 50.13 and WAC 192-15.
State regulations prohibit the disclosure of information contained in the administration of the Unemployment Insurance Program. There will be no further communication from our office unless one of our investigators contacts you.
Report Fraud Or Misconduct
Submit a report if you know someone is claiming unemployment benefits and shouldnt be, or if an ESD employee is engaging is misconduct. Youll be asked to report the persons name and any other information that will help us identify them and the reason you believe theyre involved in committing fraud or misconduct.
If you reported fraud and need information about how to file your 2021 taxes or how to get a corrected 1099-G form, visit our tax information for fraud victims web page.
Information you will need to provide when reporting benefit fraud using our secure form:
Steps you can take if you believe you are a victim of fraud:
- Go to the Federal Trade Commission identity theft website: identitytheft.gov for great resources on reporting.
- Request your free credit reports via annualcreditreport.com and review them for other fraudulent activities.
- Go to atg.wa.gov/recovering-identity-theft-or-fraudfor more tips from the Washington State Attorney General.
- Learn more about identifying scams on the Identifying unemployment scams web page.
You can also report fraud by phone to the Office of Special Investigations
Toll-freeMonday – Friday, 8 a.m. – 4 p.m.800-246-9763
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Please Do Not Ignore Overpayment Notices
Unless you were a recent victim of imposter fraud, outlined below, it is important you read the overpayment notice thoroughly and follow the instructions. If the overpayment is a result of missing information, then contact us as instructed in the letter so we can fix the issue, or work out a payment plan that works for you.
How Else Can I Avoid Unemployment Scams
- Be aware of false websites. Use only official websites. ESD: esd.wa.gov, and ESD eServices: secure.esd.wa.gov. WorkSource: WorkSourceWA.com
- Be aware of known scams. See this example, explained by the Office of Inspector General, U.S. Department of Labor. We will also share known scams further below on this page.
- Remember: Applying for unemployment benefits is free. ESD will never ask for a payment to process your claim.
- If you suspect you are the victim of fraud or a scam, follow the tips on the Attorney Generals website. Tips include:
- Place a fraud alert or security freeze on your credit reports.
- Monitor your financial accounts, billing statements and credit reports for suspicious activity.
- It is always a good idea to be wary of solicitors asking for your personal information online, by phone and text. ESD will ask you for information through official correspondence and through your ESD eServices account. If we call you, you can ask the agents to identify themselves. You can also ask the agent to send you a message through eServices to verify that they are with ESD. If you are unsure about whats being asked over the phone, hang up and send the requested information through eServices.
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What Are Unemployment Benefits
Unemployment benefits provide you with temporary income when you lose your job through no fault of your own. The money partly replaces your lost earnings and helps you pay expenses while looking for new work. The benefits, from taxes your former employer paid, are not based on financial need. While you receive benefits, your job is to get back to work as quickly as possible.
How Do I Apply For A Waiver
You can ask ESD to forgive the overpayment if you cannot afford it. Call ESD and ask for an application to waive the overpayment. If the overpayment was not your fault, ESD can excuse you from paying back the money.
You will need to prove that all the information you gave in your initial application for unemployment benefits was true and that without a waiver you will suffer financial hardship. ESD does not have to grant you a waiver, so you want to make a compelling case as to your financial situation. ESD will consider your bank account balances, assets, and expenses. It can be helpful to pay off debts, rent, and other expenses before filling out the form so that ESD does not think you have a large balance in your bank account.
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Overpayments Sent In Error Fraud Update
If you received a notice or letter from us saying you owe us money, we sent this notice of overpayment in error if you:
- Recently reported fraud using our online reporting tool or to Office of Special Investigations, or
- Have not applied for or received unemployment benefits recently.
We’re so sorry for the anxiety this must have caused and we want to reassure you that you do not owe any money as a result of a fraudulent claim. You can ignore the overpayment notice. You also have access to all benefits for which you are entitled, should you need them.
Our unemployment benefits computer system sends overpayment letters automatically when people really do need to repay benefits. Due to the massive number of fraudulent claims filed recently, the computer system sent many of these letters in error before we could stop them. Were very sorry you accidentally received one.
Contact the Employment Security Collections Unit:
866-697-4831
If You Havent Received Your Payment
To see if weve processed your payment, sign in to your eServices account and click on UI Claim to check the payment date. You can also call the weekly claims line and select option 3 to see if it has been processed.
If the payment was issued and it has been seven mail delivery or banking days, but you still have not received benefits, call the claims center for help.
Replacing lost or stolen payments takes time. In the meantime, continue to submit your weekly claims.
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Overpayments For Potential New Claim Issues
There are two kinds of overpayments related to potential new claim issues. The cause of your overpayment could be one of the following:
If you failed to respond in time
Youre responsible for the full overpayment amount until you give us the information we need.
You need to apply for a new claim to find out how much you actually owe.
When we move your claim to the right program, your overpayment situation will likely improve. But we wont know the exact amount until you apply for the new claim. It depends on if your weekly benefit amount for the correct program is higher or lower. Each case is unique.
If you responded and still have an overpayment, your out-of-pocket amount may be less
In many cases, benefits from the correct program will cover all or most of your overpayment, and you may not have to pay anything out of pocket. Also, well waive the overpayment whenever the law allows us.
What To Do If You Receive An Unemployment Benefit Overpayment Notice
More Videos
SEATTLE Some people applying for unemployment benefits in Washington are discovering they owe the state money from the last time they received unemployment.
Generally, overpayment notices have been occurring for one of two reasons.
A lot of unemployment fraud victims are receiving overpayment notices saying they owe the state money. However, the states Employment Security Department said you can ignore those notices if you are truly a victim of fraud.
The other reason is that some people are discovering that they owe the state money because they were overpaid the last time they received Washington unemployment benefits. If this is the case, the state will take what you owe out of your unemployment checks.
RELATED: 5 tips for victims of unemployment fraud and others applying for benefits in Washington
But what if you cannot afford for the state to take the owed money from the unemployment checks? The ESD said it is being very lenient about the issue. ESD Commissioner Suzi LeVine said you can make small payment plans for as little as $1 so youre still getting paid every week from the state.
It could be $1, it could be $5, it can be $15, said LeVine. Over time, we want to help people get to the point where they’re able to Pay off the overpayment debt that they have, and have had many conversations with individuals about leniency on this front. So, we’re very open, and we understand that people are in a very challenging time.
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Maurice M Federal Way
I was a cook at Fred Hutch Cancer Center when I became unemployed. I applied for benefits in March 2020 and received an overpayment notice in June 2021 for $9,184. ESD said they overpaid me because I was working when I was not, at all. I have called ESD several times to try to get answers. I only claimed when I was not working. This was the first time Ive ever had to use it.
I am still receiving regular collection statements and I now have more stress than ever.
