Thread regarding Wells Fargo & Co. layoffs

Severance + unemployment: which states let you collect both

Yes — severance doesn't block UI

  • California — yes
  • Illinois — yes, even if paid over time
  • Washington — yes, in most cases
  • North Carolina — yes
  • Michigan — yes, if severance is under 1.6x your weekly benefit; reduced above that

Yes, with conditions

  • New York — yes if lump sum; no/delayed if weekly payments exceed $504/wk
  • New Jersey — yes if lump sum; no/delayed if paid in installments
  • Texas — yes if lump sum; no/delayed if salary continuation
  • Georgia — conditional; lump sum often spread over weeks (severance ÷ weekly pay)
  • Pennsylvania — yes up to 40% of state average annual wage (~$28,154 for 2026); deducted above that
  • Massachusetts — yes up to $600/wk; reduced above that

No — delays or reduces UI

  • Florida — no; counts as income, disqualifies weeks equal to severance ÷ weekly wage
  • Minnesota — no; delays if severance is FICA wages
  • Ohio — no; can reduce or delay

Rule of thumb everywhere: lump sum is treated better than salary continuation, and always report the severance. Rules vary and change — verify with your state unemployment office.


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| 91 views | | 9 replies (last 10 days ago) | Reply
Post ID: @OP+1m66k8a2s

9 replies (most recent on top)

Iowa you can collect UI while on severance.

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Post ID: @qe+1m66k8a2s

Welfare queen

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Post ID: @jv+1m66k8a2s

I would research this too but I would rather just be a net positive to society

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Post ID: @jq+1m66k8a2s

Ditto TX.

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Post ID: @jp+1m66k8a2s

In Minnesota you don't get UI until the severance is over. But that's OK, cuz its another 6 months of cushion!!

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Post ID: @gc+1m66k8a2s

For NC:

How Severance Affects Your Claim in North Carolina

• No simultaneous collection: Under NC Division of Employment Security FAQs, you are not eligible to receive state unemployment benefits during the weeks covered by your separation or severance pay.
• Lump-sum allocation: The NC Division of Employment Security (DES) allocates a lump-sum severance payment to a specific number of weeks based on your length of service or regular wage.
• When you can collect: Once the time period covered by the lump-sum severance runs out, you can begin receiving unemployment benefits (provided you meet all other eligibility requirements, such as actively looking for work).

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Post ID: @dv+1m66k8a2s

You are incorrect on NC. I know because I just researched it when my severance started last month.

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Post ID: @dp+1m66k8a2s

You aren't getting both in PA - does anyone get paid so low that can collect unemployment and severance ?

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Post ID: @b6+1m66k8a2s

AI;DR

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Post ID: @at+1m66k8a2s

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