Unemployment benefits in Utah are distributed weekly as either direct deposit payments into a checking or savings account, or deposited into a U.S. Bank Reliacard. The following sections have information on how to apply, maintain eligibility, start receiving benefits and how to pay taxes on benefits. Learn more about unemployment benefits with the following topics covered below:
In order to claim unemployment benefits, applicants will have to complete the application process and follow several ongoing requirements in order to maintain UT unemployment insurance eligibility. Once you apply, within three weeks or sooner, you will receive a “Notice of Monetary Determination”, including the amount of weekly benefits and the total number of weeks they are eligible to be received. This notice also contains information regarding your reported wages. Therefore, in order to prevent losing eligibility, ensure all employer information is reported accurately. Remember, every week a new Utah unemployment benefits claim must be filed with the necessary employment search information in order to continue receiving benefits.
Recipients of unemployment insurance coverage should receive a notice to complete an online eligibility review, which is typically sent after the first three weeks of receiving benefits. To continue claiming benefits for unemployment in UT, the beneficiary must provide a total list of all work search activities performed during the previous weeks, and participation in the Re-employment Services and Eligibility Assessment conducted at an Employment Center. Failure to comply with this process will result in a denial of benefits.
Federal unemployment benefits, known as Trade Act Benefits, are available to workers who are unemployed due either to foreign imports, or outsourcing to a foreign country. The U.S. Department of Labor approved a petition that determines unemployment insurance eligibility for: Trade Readjustment Allowances, Training allowances, Job-Search Allowances, Relocation Allowances, and Wage subsidies (for anyone over the age of 50 who suffered a pay decrease after being re-employed). Questions about these allowances can be directed toward a Trade Act Specialist.
Each week, an applicant who wants to claim unemployment benefits must perform four job in order to maintain ongoing benefits for unemployment. He or she will be given a form for recording the details about the job search activities. The review process will verify these contacts to make sure the details are accurate with regards to the method of contact, such as website, application, phone, email or in person. If you apply to different positions within the same organization, each position may count as a separate contact. Make sure to save any correspondence from employers regarding these applications.
Are unemployment insurance benefits taxed in Utah? Yes. Utah Workforce Services sends out IRS Form 1099-G during the month of January containing the total benefits paid to the recipient over the previous year. When an applicant completes the initial unemployment registration application, there is an option to either have 10 percent of the weekly payment withheld for federal income taxes combined with 5 percent for state income taxes. Withholding status can be changed through the Web or by calling your local Claims Center.
The U.S. Bank Reliacard is a popular option for UT unemployment benefits disbursement and replaces the option for using a personal checking or savings account. The state recommends that the card be kept separate from the PIN, and that the PIN is known only by the cardholder. In the event that the card’s PIN is lost, it must be reported even if the unemployment case is closed.
Deductions from weekly unemployment insurance benefits can occur when an applicant is receiving retirement income or disability. Individuals applying for these other kinds of benefits must report them immediately to the Claims Center to avoid denial of unemployment benefits. After notifying the Claims Center, the applicant will receive a letter which reflects the amount of weekly unemployment benefits that will be reduced.
If an unemployment benefits claim has been closed because the applicant has found work, or failed to keep up with weekly claims reports, it can be reopened by either logging in to your online account, or calling your assigned Claims Center. The claim will be reopened beginning the Sunday of that week, as long as all work contacts, dates and wages are reported accurately.