what is unemployment insurance ui 
unemployment insurance ui also called unemployment benefits is a type of state provided insurance that pays money to individuals weekly when they lose their jobs and meet certain eligibility requirements those who either voluntarily quit or were fired for a just cause are usually not eligible for ui in other words someone separated from their job due to a lack of available work and at no fault of their own usually qualifies for unemployment benefits each state administers its own unemployment insurance program despite it being federal law workers must meet their state s work and wage requirements including time worked the benefits are primarily paid out by state governments and funded by specific payroll taxes collected for that purpose understanding unemployment insurance ui the unemployment initiative is a joint program between individual state governments and the federal government unemployment insurance provides cash stipends to unemployed workers who actively seek employment compensation to eligible unemployed workers is made through the federal unemployment tax act futa along with state employment agencies 1each state has an unemployment insurance program but all states must follow specific guidelines outlined by federal law federal law makes unemployment benefits relatively ubiquitous across state lines the department of labor dol oversees the program and ensures compliance within each state 2workers who meet specific eligibility requirements may receive up to 26 weeks of benefits a year the weekly cash stipend is designed to replace a percentage of the employee s regular wage on average 3states fund unemployment insurance using taxes levied on employers the majority of employers will pay both federal and state unemployment futa tax companies that have 501 c 3 status do not pay futa tax 45continuing claims for unemployment insurance reached approximately 1 85 million during the week ending june 22 2024 the four week moving average for continuing claims was reported at roughly 1 83 million 6three states also require minimal employee contributions to the state unemployment fund reportable income includes freelance work or jobs for which unemployment insurance recipients were paid in cash 7out of work persons who do not find employment after a 26 week period may be eligible for an extended benefits program extended benefits give unemployed workers an additional number of weeks of unemployment benefits the availability of extended benefits will depend on a state s overall unemployment situation 8the federal government established provisions designed to help unemployed americans during the coronavirus pandemic these additional benefits were put in place after former president donald trump signed the coronavirus aid relief and economic security cares act in march 2020 they were extended after the passing of the consolidated appropriations act of 2021 and were extended again when president joe biden signed the 1 9 trillion american rescue plan act of 2021 on march 11 2021 the additional benefits expired on sept 6 2021 9requirements for unemployment insurancean unemployed person must meet two primary requirements to qualify for unemployment insurance benefits an unemployed individual must meet state mandated thresholds for either earned wages or time worked in a stated base period the state must also determine that the eligible person is unemployed through no fault of their own a person may file a ui claim when fulfilling these two requirements individuals file claims in the state where they worked a participant may file claims by phone or on the state unemployment insurance agency s website after the first application it generally takes two to three weeks to process and approve a claim 10after approval of a claim the participant must either file weekly or biweekly reports that test or confirm their employment situation reports must be submitted to remain eligible for benefit payments unemployed workers cannot refuse work during a week and on each weekly or biweekly claim they must report any income that they earned from freelance or consulting gigs 11