The Obama Plan: Free 18 Months of Unemployment Pay
My buddy get s $2058 a month for a year and a half
First, I know there are people who are struggling to find a job and I genuinely feel bad and don't want it to look like I am making fun. I will try to give as much constructive help as I can also.
So, we're at the bar last night and my friend is happy, has money to spend and is not working.He had been at the same company for almost 5 years and was laid off last month and is now on unemployment (which he calls "The Obama Plan".Reference to socialism?
"Being on the Obama plan is not so bad", he declares. He gets the maximum of $475 a week ($950 every 2 weeks) like clockwork. I took the $475 a week times times 52 weeks divided by 12 months to get the $2058 number. It's about what he was getting before after taxes.... Yet he doesn't have to work.
I had felt sorry for him when he lost his job, but strangely, I found myself a little bit jealous. Yes, he was going on Craigslist now and then, but he is going to the gym an hour a day, was taking up photography and has time for everything with very little stress. Made me think.
What you get on unemployment:
He made about $800 or $900 a week so he qualified to get the $450 max (plus $25 gets kicked in by Federal bail out money).
California Unemployment Benefits
The minimum weekly benefit is $40. The maximum weekly benefit is $450. The weekly UI benefit amount depends on the highest income in a calendar during the previous four quarters. The four quarters do not include the current quarter as well as the previous one. For example, a claim made on October 1st does not include the quarter after June 30th of the current year.
I don't know what someone would have been having to have made to get only $40 a week, but I imagine it would be very little.
QUALIFYING AND APPLYING FOR UNEMPLOYMENT
Ultimately, my friend was laid off so it was an open and shut case to get
unemployment for hm. I have seen people who were fired for a number of reasons
still manage to get unemployment.
This is the circumstance under which you would normally get unemployment:
California Unemployment Insurance Eligibility
To apply for unemployment insurance (UI) benefits as well as continue UI benefits, the worker must be unemployed through no fault of his own. If the worker has been laid off, he is eligible for UI benefits. If the worker was fired, UI eligibility depends on the circumstances of the termination. However, many fired workers have been successful at getting unemployment benefits in California. In most cases, workers who voluntarily resign are not eligible for UI benefits.
There are other circumstances which may make a worker ineligible including:
- School employees unemployed due to scheduled student recess
- Refuse a job
- Stop looking for a job
- Go to school during typical hours for the worker's occupation
- Not physically or mentally able to work
- Not able to work due to lack of childcare
One unusual circumstance that comes up occasionally is when the employer offers the worker the chance to submit a voluntary resignation in lieu of getting laid off, fired, or terminated. Although there is no fast and hard rule as to whether to voluntarily resign, keep in mind that being terminated no longer has the stigma it used to have during better economic times. If the company has a signed voluntary resignation letter, it may be much more difficult to claim unemployment benefits.
This happened to another friend where in reality, he probably did quit, but came back and said he was forced out. Thankfully, he did not even put date on the one sentence resignation they had him sign and he won the case.
Ok, the picture above is not my friend
Is he taking advantage of the system? I don't know. He is happier. I am a wee bit jealous. I don't feel he is looking very hard. But, that's the system.
24K a year to do nothing.... What incentive does he have to take a 28k a year job?
Is it too easy?
Is the unemployment system fair for us still working?
How do extend your unemployment longer?
Once you get unemployment (in California anyways), you get about 26 weeks the first cycle.
The first extension is usually seamless and gives you another 20 weeks without having to do anything, but continue to fill out your bi-weekly form which you check off "Yes, I looked for work", etc.
The second extension is the same for yet another 20 weeks,
I am told on the 3rd extension, you actually have to start proving that you applied or looked for work.