<prompt> Human: Just got laid off. Are there any negatives to me taking unemployment benefit? I am OK financially for a while and was more concerned if there would be long term consequences. I hope to get a job soon so I dont plan on being on unemployment long.  <response>: IRS employee here:Unemployment Compensation is generally treated as ordinary income. Washington State Employment Security Department will give you the option of having federal withholding from your payments.Thank you for reading. 