Frequently Asked Questions

Eligibility for Regular Unemployment Insurance

Filing a Claim for Unemployment Insurance

Certification and Receiving Benefits

Exhausting Benefits and Receiving an Extension (PEUC and EB)

Federal Pandemic Unemployment Compensation (FPUC - $300 Benefit Supplement)

Pandemic Unemployment Assistance (PUA) & Self-Employed Workers

Employer Considerations

Lost Wages Assistance Information and FAQs

Mixed Earner Unemployment Compensation (MEUC)

1099-G Tax Form

PUA Overpayments

IllinoisJobLink.com

Eligibility for Regular Unemployment Insurance

What if I'm temporarily laid off because the place where I work is temporarily closed because of the COVID-19 virus?

An individual temporarily laid off in this situation could qualify for benefits if they are able and available for and actively seeking work. Under IDES rules, the individual would not have to register with the employment service. They may be considered to be actively seeking work as long as the individual is prepared to return to their job as soon the employer reopens and the employer does not indicate the individual would not be returning, the employer is closing its business, or similar indications.

What if I quit my job because I am generally concerned over the COVID-19 virus?

An individual who leaves work voluntarily without a good reason attributable to the employer is generally disqualified from receiving UI. The eligibility of an individual in this situation will depend on whether the facts of his or her case demonstrate the individual had a good reason for quitting and that the reason was attributable to the employer. An individual generally has a duty to make a reasonable effort to work with his or her employer to resolve whatever issues have caused the individual to consider quitting.

What if I’m confined to my home because I must care for my child or because I have been diagnosed with the COVID-19 virus?

An individual in any of those situations would be unemployed through no fault of his or her own. However, to qualify for UI, he or she would still need to meet all other eligibility requirements, including the requirements that the individual be able and available for work, registered with the state employment service and actively seeking work from the confines of his or her home. The individual would be considered able and available for work if there was some work that he or she could perform from home (e.g., transcribing, data entry, virtual assistant services) and there is a labor market for that work.

What if I leave work because my child’s school has temporarily closed, and I feel I have to stay home with the child?

Ordinarily, an individual who left work to address childcare needs would be considered to have left work voluntarily and would generally be disqualified from receiving UI, unless the reason for leaving was attributable to the employer. However, the fact that the school that the child attends has temporarily closed in response to the COVID-19 virus presents a unique situation in which it is unlikely a parent whose child cannot stay home alone has a ready alternative to staying home with the child themself. Under the current circumstances, someone who left work to care for the child could be considered as unemployed through no fault of their own; in that case, to qualify for UI, the individual would still need to meet all other eligibility requirements, including the requirements that the individual be able and available for work, registered with the state employment service and actively seeking work from the confines of his or her home. The individual would be considered able and available for work if there was some work that he or she could perform from home (e.g., transcribing, data entry, virtual assistant services) and there is a labor market for that work. If the child's school is not fully closed to in-person learning and offers voluntary and/or partial in-person learning, this may affect the individual's eligibility for benefits. It depends on the facts of each situation.

What if I have reduced wages (part-time work)? Can I work and receive benefits?
Yes, if your earnings are less than your weekly benefit amount (WBA), you may be eligible for all or partial benefits.  (For this situation, the WBA does not include any dependent allowance or federal supplemental payment.)

In general, when a claimant files a claim for unemployment benefits, a WBA for that individual is determined using the amount of wages in the claimant's work history. High earners will generally max out at $505 per week for their WBA. If, for a given week due to a cut in hours, an employee earns less than their WBA, then that claimant could be eligible for benefits, but their weekly benefit would be reduced by a formula in the Unemployment Insurance Act. If the claimant receives no wages for a given week, they may be eligible for their WBA without reduction. If a claimant receives more than their WBA for a given week, they are not considered to be unemployed and are not eligible for benefits. A claimant must meet all other requirements, including certifying that they are able and available for work, among others, to receive benefits.

Learn more about partial benefits and working part-time.

Am I eligible for unemployment if I am currently receiving income using my vacation days, sick days, or receiving FMLA payments?

Money received from your employer for using your vacation and sick days, as well as FMLA payments, are considered wages and will be taken into account to determine if you are eligible for benefits and, if so, the amount of the benefits.

What determines if I'm able to work, available for work, and actively seeking work?

An individual is considered able to work if he or she is mentally and physically capable of performing a job for which a labor market exists. To be considered available for work, an individual cannot impose conditions on the acceptance of work if those conditions essentially leave him or her with no reasonable prospect of work. An individual is actively seeking work if he or she is making an effort that is reasonably calculated to return the individual to work. An individual cannot refuse a suitable job offer or they could lose eligibility for benefits.

How do I look for work?

One way to look for work is IDES’s Illinois Job Link (IJL) website, which is an employment service tool used to enhance an individual’s ability to obtain employment. However, use of IJL, alone, is not a sufficient search for work. Job seekers can also find additional opportunities via Get Hired Illinois.

Am I required to use Illinois Job Link?

Normally, an individual is required to register with Illinois Job Link to be eligible for unemployment benefits, but there are exceptions to this requirement, including where local labor market conditions indicate employment service registration would not increase the likelihood of returning to work. This exception applies to workers temporarily laid off due to the COVID-19 pandemic. The registration requirement is waived with respect to them.

I am receiving wages from an employer, and I also have a side business where I am an independent contractor. I lost all of my independent contractor work, but I am still receiving some wages from my employer. Am I eligible for benefits?

The amount of your regular unemployment benefits will be based solely on the wages received from your employer. Income received for services performed in self-employment is not considered in determining eligibility for regular unemployment benefits. Therefore, you should not include income from your self-employment when applying for regular UI benefits.

What income do I have to report when I certify every two weeks for benefits?

When certifying every two weeks for regular UI benefits, you are required to report all income, whether it is regular wages from an employer or money earned from your self-employment. In addition, you must report the amount of all income before taxes or any other deductions are taken out. This is called your gross income. For each of the two weeks you are certifying, you must report the gross income that you earned, even if you will not actually receive the money until later.

I am an undocumented individual. My employer had been paying me in cash but closed the business as the result of COVID-I9. Am I eligible for any unemployment benefits?

In general, individuals who are not lawfully permitted to work in the United States are not able and available to work, and therefore, they are not eligible for regular State unemployment benefits or benefits under the federal CARES Act or subsequent legislation.

I have a green card and was recently laid-off due to COVID-19. Am I eligible?

Individuals with green cards issued by the federal government are generally able and available to work, and they could be eligible for unemployment benefits.

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Filing a Claim for Unemployment Insurance

How can I file a claim?

The fastest way to file a claim is online. Claims can also be filed over the phone, by calling (800) 244-5631 and following the appropriate prompts.

When can I file a claim?

Claims can be filed online every day of the week at any time, except from 8pm-10pm.

Are local and regional IDES offices open?

Out of concern for the safety of Department customers and staff, all local and regional offices are closed to the public at this time. With questions, please contact the Department's Claimant Services Center at (800) 244-5631. Illinois Relay - (800) 526-0844 TTY or 711 | (800) 526-0857 Voice or TTY or 711. 

Will my benefits be affected if I cannot file immediately?

Yes. The day or time a claim is filed will not impact whether you receive benefits or your benefit amount as long as you file within the week following your separation from work. If you were unable to file your claim during such week because of capacity or system limitations, you will have an opportunity to discuss backdating your claim with a representative by calling (800) 244-5631. Illinois Relay - (800) 526-0844 TTY or 711 | (800) 526-0857 Voice or TTY or 711. However, you cannot delay filing because you thought that you would be recalled immediately or because you thought that you were going to find another job quickly. These are not valid excuses for not filing promptly. 

What information do I need to file my claim?

It is important to have the following information before you begin the filing process. The application will time out after an hour of nonuse:

  • Your Social Security number
  • Your Driver’s License or State ID
  • Your employment history from the past 18 months, including the name of employers, start dates, last day of work, and number of days worked
  • If you are claiming a dependent child or a dependent spouse, you will need to provide your dependent’s name, social security number and date of birth

What happens after I file my claim?

Please see this infographic for information about what you can expect after filing.

After your claim is filed, IDES will send you a UI Finding letter, which will let you know if you are monetarily eligible for benefits. The UI Finding will include information such as:

  • Your Weekly Benefit Amount (WBA), which is the amount you are eligible to receive each week, if you are otherwise eligible
  • Your Dependent Allowance, if applicable
  • Your first certification date
  • Other information pertinent to your claim, including your Maximum Benefit Amount (MBA), which is the total amount you are eligible to receive during your benefit year (generally, 26 times your WBA)

The fact that you are monetarily eligible for benefits does not guarantee that you will receive benefits. For more information about your UI Finding letter, click here.

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Certification and Receiving Benefits

What is the difference between filing a claim and certifying?

Filing a claim is the application process you undertake to determine whether you monetarily qualify for unemployment benefits. Certifying is a process that first occurs two weeks after you have filed your claim. Every two weeks you need to certify that you are able and available to work, are actively seeking work, and report any income you received.

How do I certify?

Certification involves answering a list of questions which are asked to determine if you are eligible to receive unemployment benefits for the weeks in question. You will be assigned a certification day; either Monday, Tuesday or Wednesday, and will be asked questions pertaining to the two weeks immediately preceding.

Example: If your certification date is Monday, 3/8/2021, you will be asked questions pertaining to the week of 2/21/2021 through 3/6/2021.  All weeks begin on Sunday and end on Saturday.

If you miss your regular certification day, you can certify on Thursday or Friday of that week. You may also you certify on your regular certification day in the following week (or Thursday or Friday of the following week). Instructions on the certification process are located on the IDES website.

When will I start receiving my benefits?

Once you have certified, it will be determined if you are eligible to receive benefits based on the answers you provided. If you are eligible to receive benefits, generally you will receive a payment within 2 to 3 business days. Payments will be sent to your debit card; or if you set up direct deposit, payments will be deposited into your bank account.

Will I receive an additional benefit if I have children or a spouse who does not work?

You may receive a Dependent Allowance in addition to your weekly benefit amount if you have either (1) a dependent child under the age of eighteen (18) or who is over eighteen and physically unable to work or (2) a non-working spouse. You can claim one or the other. You cannot claim both your spouse and your child as a dependent. More than one child will not increase your benefits. You cannot claim your spouse if your spouse has sufficient earnings to qualify for their own claim, even if they are not otherwise eligible to receive UI benefits. The minimum allowance for a dependent spouse is $15; the maximum allowance is $93. The minimum allowance for a dependent child is $26; the maximum allowance is $185.

Are my benefits taxable?

Unemployment insurance benefits are subject to State and Federal income taxes. You can elect to have deductions taken out at the time you file your claim or after. Deductions are 10% federal income taxes and 4.95% state income taxes. You cannot elect deductions on a payment you have already been paid. The recently enacted American Rescue Plan Act of 2021 (ARPA) retroactively exempts from federal income tax the first $10,200 in unemployment insurance benefits paid in 2020. You must contact the Internal Revenue Service for further information about filing for this exemption.

If I am receiving Workers’ Compensation payments, will this affect my unemployment benefits?

Yes. 100% of your temporary workers' compensation will be deducted from your weekly benefit amount. Permanent disability payments are not disqualifying, but an individual who is unable to work at all due to a disability is completely ineligible for unemployment.

I receive a pension. Will this affect my unemployment benefits?

If the pension was paid by an employer in your base period or if the employer is the chargeable employer on your claim, those pension payments are considered disqualifying income and 50% of the amount you receive may be deducted from your weekly benefit amount (WBA) if you paid into the pension, or 100% will be deducted if your employer paid the full amount. If you received a lump sum amount and did not have the option to receive monthly payments, a deduction will be made only for the week in which you received the payment. If it has been more than 18 months since you worked for the employer, the pension you are paid is not disqualifying income and will not be deducted from your benefits.

I received a debit card in the mail but it did not have any funds on it. Why not?

The debit card is mailed soon after the claim is filed and processed. Unless you requested direct deposit, the funds are placed on the debit card two days after the claimant certifies, which is generally two weeks after the claim is filed.

Can I view my payment history online?

Yes. For a regular UI claim, you can sign into your online account and click "Individual." Within that, click "Unemployment Insurance" and then "Payment." On that page is "Payment Information" with a "View Payment History" link (which is the second selection). For PUA, you can sign into your account and view your payment history by clicking on "Manage Claimant Account" then clicking on "Payment History."

Exhausting Benefits and Receiving an Extension (PEUC and EB)

I have exhausted my rights to regular unemployment insurance (UI). Are additional benefits available because of the COVID-19 pandemic?

Yes. Pandemic Emergency Unemployment Compensation (PEUC) is a temporary program that provides additional weeks of benefits for claimants who exhaust all 26 weeks of their original regular UI benefits. The American Rescue Plan Act (ARPA) extended PEUC through September 4, 2021. If you previously exhausted your PEUC benefits, the additional payments cannot be backdated for weeks prior to March 14, 2021.

If I exhaust all of my weeks of Pandemic Emergency Unemployment Compensation (PEUC), are there any other extensions?

If you exhaust PEUC and the state is triggered "on" to Extended Benefits (EB), you may be eligible to receive EB. Depending on the unemployment rate, the law provides for either 13 or 20 additional weeks of EB. In most cases, if you qualify, you will be automatically moved to this program. 

Do I have to file an application for Pandemic Emergency Unemployment Compensation (PEUC) or Extended Benefits (EB)?

Most eligible claimants will automatically be moved between programs. A few claimants who live in other states may receive notice that they must file an additional application.

I am currently receiving Extended Benefits (EB). What happens if I exhaust EB, or EB triggers off?

Claimants on EB as of March 11, 2021 will remain on EB. When they exhaust EB, or EB triggers off, they will transition back to PEUC, which was extended through September 4, 2021.

If I live outside of Illinois, am I still eligible for EB?

Yes. If you lived in another state but commuted to work in Illinois, if otherwise eligible, you would receive the amount of EB triggered “on” in Illinois. If you live in another state but did not commute to Illinois (for example, you moved to Alabama after working in Illinois), you could receive the amount of EB that is payable in Illinois but only if your state of residence has triggered “on.” However, if your state of residence has triggered “off” of EB or was never triggered "on" and Illinois remains triggered “on,” you are eligible for only two more weeks of EB in Illinois.

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Federal Pandemic Unemployment Compensation (FPUC - $300 Benefit Supplement)

What is FPUC?

FPUC provides an additional $300 per week in supplemental benefits to eligible claimants. The $300 benefit runs from December 27, 2020 through September 4, 2021.

When will IDES begin paying out the extra $300?

IDES began paying out the $300 FPUC benefit for all programs beginning January 4, 2021.

Who is eligible for the additional $300?

Anyone who receives at least $1 of unemployment benefits for a week, during the period after December 26, 2020 and before September 4, 2021.

Do I need to apply for the additional $300?

No. You do not need to take any additional action to receive this supplemental payment. Continue to certify as normal for the unemployment benefit you are currently receiving.

Are Pandemic Unemployment Assistance (PUA) claimants eligible for the additional $300?

Yes, for the duration of the FPUC program.

Once my application is processed and I begin receiving my unemployment benefits, will I also receive the additional $300 at the same time?

Yes, for the duration of the FPUC program. Under federal law, anyone eligible for at least a $1 in benefits for a week will be eligible for the $300 extra that will be received at the same time as their unemployment payments. The first week for which FPUC may be paid is the week ending January 2, 2021; and the last week that FPUC may be paid is the week ending September 4, 2021.

Pandemic Unemployment Assistance (PUA) & Self-Employed Workers

How long will Pandemic Unemployment Assistance last?

The PUA program supports individuals who are not traditionally eligible for unemployment benefits, such as independent contractors. The American Rescue Plan Act of 2021 (ARPA) extended PUA to September 4, 2021. Eligibility for this extension began March 14, 2021.

I am self-employed. Do I qualify under the PUA program?

Under regular unemployment rules, the incomes of self-employed workers, freelancers, and independent contractors are not subject to unemployment taxes and so typically these individuals are not eligible for unemployment benefits. Pandemic Unemployment Assistance (PUA) was created to help people who lose this type of work as a direct result of the current public health emergency. A precondition for approval is that someone is not eligible for other unemployment programs. Applying for and being denied benefits under the regular UI program can help establish eligibility under the new temporary PUA program. The federal legislation also requires an individual collecting PUA to provide documentation of their prior employment/self-employment.

I receive a 1099 for the job(s) I do as an independent contractor. Am I eligible for PUA?

You may be eligible for regular unemployment insurance, as a “1099 employee” is not synonymous with “independent contractor” as defined by the Unemployment Insurance Act.

For two reasons, in Illinois, every individual who is unemployed or underemployed should file a claim for unemployment benefits, even if they have been told they're not covered by the state’s regular unemployment insurance program - because they’re an independent contractor, part of the “gig economy,” or for some other reason.

First, it’s possible that whoever told them they were not covered was wrong. Even if an individual’s employer does not consider the worker to be covered and doesn’t pay unemployment taxes on the individual’s wages, the individual can qualify for regular UI benefits if IDES determines he or she is covered under Illinois law. An employer’s failure to contribute to the unemployment system will not impact a claimant’s eligibility for benefits.

Second, the PUA program has been established for individuals who are unemployed, partially unemployed, or unable or unavailable to work for reasons attributable to COVID-19 and not covered by the state’s regular UI program. To establish eligibility under the PUA program, the claimant will have to demonstrate he/she is not eligible under the regular UI program. Applying for and being denied benefits under the regular UI program can help establish eligibility under the PUA program.

What does “Reasons attributable to COVID-19” mean?

PUA provides benefits to qualifying individuals who are otherwise able to work and available for work, except that they are unemployed, partially unemployed, or unable or unavailable to work due to one of the COVID-19 related reasons listed in the CARES Act and stated below:

  • The individual has been diagnosed with COVID-19 or is experiencing symptoms of COVID-19 and is seeking a medical diagnosis.
  • A member of the individual’s household has been diagnosed with COVID-19.
  • The individual is providing care for a family member or a member of the individual’s household who has been diagnosed with COVID-19
  • A child or other person in the household for which the individual has primary caregiving responsibility is unable to attend school or another facility that is closed as a direct result of the COVID-19 public health emergency and such school or facility care is required for the individual to work;
  • The individual is unable to reach the place of employment because of a quarantine imposed as a direct result of the COVID-19 public health emergency.
  • The individual is unable to reach the place of employment because the individual has been advised by a health care provider to self-quarantine due to concerns related to COVID-19.
  • The individual was scheduled to commence employment and does not have a job or is unable to reach the job as a direct result of the COVID-19 public health emergency.
  • The individual has become the breadwinner or major support for a household because the head of the household has died as a direct result of COVID-19.
  • The individual must quit his or her job as a direct result of COVID-19; or
  • The individual’s place of employment is closed as a direct result of the COVID-19 public health emergency. Note: The business must be closed, not simply providing reduced services.
  • The individual is self-employed (which includes independent contractors) and the individual has experienced a significant diminution of their customary or usual services because of the COVID-19 public health emergency, even absent a suspension of services. Note: This provision does not apply to employees.
  • The individual has been denied continued unemployment benefits because the individual refused to return to work or accept an offer of work at a worksite that, in either instance, is not in compliance with local, state, or national health and safety standards directly related to COVID-19. This includes, but is not limited to, those related to facial mask wearing, physical distancing measures, or the provision of personal protective equipment consistent with public health guidelines.
  • An individual provides services to an educational institution or educational service agency and the individual is unemployed or partially unemployed because of volatility in the work schedule that is directly caused by the COVID-19 public health emergency. This includes, but is not limited to, changes in schedules and partial closures.
  • An individual is an employee and their hours have been reduced or the individual was laid off as a direct result of the COVID-19 public health emergency.

As a sole proprietor or independent contractor, what documentation must I provide if I am eligible to receive PUA benefits?

Any individual that receives a payment of PUA after December 27, 2020 is required to provide documentation substantiating employment or self-employment, (e.g. your federal income tax return or, if you do not have a return, you must provide other documentation to show your earnings in the prior tax year), or the planned beginning of employment or self-employment. The deadline for providing such documentation depends on when the individual filed the initial PUA claim.

Filing New Applications for PUA - Individuals filing a new PUA application on or after January 31, 2021 (regardless of whether the claim is backdated), are required to provide documentation within 21 days of application or the date the individual is directed to submit the documentation by IDES , whichever is later. The deadline may be extended if the individual has shown good cause under state UI law within 21 days.

Filing Continued Claims for PUA - Individuals who applied for PUA before January 31, 2021 and receive a payment of PUA on or after December 27, 2020 (regardless of which week ending date is being paid), are required to provide documentation substantiating employment or self-employment, or the planned beginning of employment or self-employment, within 90 days of the application date or when directed to submit the documentation by IDES, whichever is later. The deadline may be extended if the individual has shown good cause under UI law.

I did not file a tax return in 2019 and/or 2020. Will I be eligible for benefits?

Yes, though independent contractors, sole proprietors, and others who do not have wages reported for them by an employer will have to provide other documentation of the amount of net income they received in 2019 and/or 2020, and be otherwise eligible.

I was fired from my job for misconduct and was denied regular state unemployment insurance benefits. Do I qualify for Pandemic Unemployment Assistance (PUA)?

No. An individual who is otherwise able to work and available for work, except that they are unemployed, partially unemployed, or unable or unavailable to work due to one of the COVID-19 related reasons would be qualified for PUA. However, an individual who is discharged for misconduct is not unemployed due to a COVID-19 reason and would not qualify for PUA benefits.

I am an independent contractor, but I am only partially unemployed (i.e., my revenue has taken a significant loss, but I am not completely out of work). Can I receive unemployment benefits?

This depends on the amount of income from self-employment you earned in the past and currently. A weekly benefit amount will be determined based on the amount of your past income. If your current weekly income does not exceed your weekly benefit amount, not including dependent allowance, for any given week, you may be eligible for benefits for that week. If your income exceeds your weekly benefit amount, then you would not be eligible for benefits for any such week.

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Employer Considerations

If an employee receives unemployment benefits as a result of COVID-19, is the employer liable for the cost of benefits?

The programs under the CARES Act and subsequent legislation are funded by the federal government and not Illinois. For regular unemployment compensation, employers generally contribute to the cost of benefits for their former employees. The contribution rate of an experience-rated employer is based, in part, on the amount of unemployment benefits paid to the employer’s former employees, so this rate may rise when an employer furloughs or lays off employees due to COVID-19. If legislation is passed making claims related to COVID-19 non-chargeable to the employer, then employers furloughing or laying off workers due solely to COVID-19 would not be charged for the benefit costs, and the charges would be “pooled” between all employers. This would likely result in increased unemployment tax rates in future years for all employers because the entire pool of employers would need to be tasked with replenishing the benefit trust fund.

Are there resources for my business potentially closing or laying off employees?

Rapid Response Services are available to employers who are planning or have gone through a permanent closure or mass layoff at a plant, facility, or enterprise, or a natural or other disaster, that results in mass job dislocation. The State Dislocated Worker Unit coordinates with employers to provide on-site information to workers and employers about employment and retraining services designed to help participants retain employment when feasible, or obtain re-employment as soon as possible. For more information, visit Rapid Response Services for Businesses or contact your local Illinois workNet Center.

If I want to protest a claim, how long do I have?

You have 10 calendar days to protest in a timely manner. Protests must be postmarked or faxed by the due date indicated on the Notice of Claim. If you receive a notice after the due date, please indicate that on your response, return your response as soon as possible, and keep the envelope.

Are employers going to be given extra time for filing the monthly payroll or quarterly wage reports?

At this time, the law has not been changed to give employers extra time for filing monthly or quarterly wage reports. However, employers are reminded that they can file a written request with the Director prior to the wage report filing due date to ask for an extension to file the wage report. The maximum extension for filing a monthly wage report is 15 days. The maximum extension for filing a quarterly wage report is 30 days. In order to make the request for an extension, the employer must state a reason for the request. Employers are encouraged to file their requests for extension via the MyTax website.

I run a not-for-profit entity and have less than 4 employees. Can I retroactively elect to be liable under the UI Act so my employees can receive unemployment benefits?

No, but if the employees become unemployed because of COVID-19 issues, they could be eligible for PUA benefits under the CARES Act and subsequent federal legislation.

Can the employer require staff to utilize leave in lieu of paying them their salary? How does this affect unemployment eligibility?

An employer’s decision to require employees to utilize available paid leave or the equivalent should be based on the internal business policies of the employer and any applicable collective bargaining agreements. Whether the payment is disqualifying for unemployment purposes depends on the type of payment, when it was paid, and when IDES is notified of the payment. To notify us of potentially disqualifying issues, please sign up for SIDES at MyTax Illinois.

I was forced to furlough some workers, but now they refuse to come back to work. What should I do?

If an employer makes an offer to re-hire an employee, the employee refuses, and the employee remains on unemployment insurance, the employer should file notice with IDES.

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Mixed Earner Unemployment Compensation (MEUC)

What is the Mixed Earner Unemployment Compensation program?

Under the Continued Assistance for Unemployed Workers Act of 2020, beginning with the week ending January 2, 2021, someone who earned a combination of income from a traditional job and had earnings of at least $5,000 during the applicable period as an independent contractor might be eligible for a $100 supplemental payment in addition to their regular UI benefit, extended benefits (EB) and federal Pandemic Unemployment Compensation (FPUC). This additional amount is not available for those receiving PUA. This additional benefit is known as Mixed Earner Unemployment Compensation (MEUC).

With Mixed Earner Unemployment Compensation, a person who made money from self-employment or a contracting job during the applicable period could receive an additional $100 per week for the duration of the MEUC program. For example, let's say you filed your first claim for regular unemployment insurance in 2020 and made $50,000 in 2019, which was split with $45,000 from a contractor job and $5,000 from a part-time job as an employee at a company. If you were laid off, IDES would determine whether you'd qualify to receive regular state unemployment benefits based on the $5,000 in covered employment or, if you didn’t qualify under that program, then using the $45,000 for a claim for PUA but not a combination of the two. In most cases, the person would qualify for benefits under the regular state program but at a substantially lower weekly benefit amount. Under federal law, this person must receive state benefits if they qualify, even though the benefit is lower.

MEUC will now give that person an extra $100 per week. However, the actual implementation of this program in Illinois may take some time. Notice of the requirements for participation in the program will be issued when they become available.

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1099-G Tax Form

What is the 1099-G form used for?

The 1099-G form is needed to complete your state and federal tax returns if you received UI benefits last year. It contains information about the benefit payments you received, and any taxes withheld.

If I received UI under the federal COVID-19 relief programs, will I receive a 1099-G form?

Yes. All individuals who received UI benefits in 2020 will receive the 1099-G tax form. This includes claimants who received regular UI benefits and claimants who received benefits under new federal pandemic relief programs (PUA, PEUC, EB, FPUC, and LWA).

Does the 1099-G form reflect any repayments I’ve made on an overpayment?

No. The IRS requires that we report all benefits paid to you in the calendar year, excluding any overpayments or adjustments to claims. For more information about unemployment compensation and tax filing, please call the IRS at (800) 829-1040 or visit www.irs.gov.

I did not receive UI benefits in 2020. Why did I receive a 1099-G form?

If you did not receive UI benefits in 2020, yet received a 1099-G form, this may be an indication that a fraudulent claim was filed in your name. If this is the case, immediately contact IDES at (800) 244-5631. Follow the prompts to indicate you received a 1099-G form in error.

The IRS has provided guidance to states regarding these nationwide identity theft and unemployment fraud schemes. Once a fraudulent claim is reported, investigated, and confirmed by IDES, the victim will not be held responsible for repaying any benefits fraudsters may have received in their name, nor will they be held responsible for tax implications resulting from a fraudulent claim. IDES understands the urgency associated with tax season and will ensure victims who received this form in error are quickly assisted.

Where should I go to ask questions about tax filing?

If you have questions about tax filing, please call the IRS at (800) 829-1040 or visit www.irs.gov.

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PUA Overpayments

What is an overpayment?

Overpayments generally occur due to under-reporting of wages when certifying, or when a claimant is subsequently found not eligible for benefits already received. If IDES has determined that you have been improperly paid unemployment insurance benefits, the amount of the overpayment will appear on the Notice of Overpayment of PUA Benefits.

Is it possible to waive an overpayment?

The federal Continued Assistance Act, signed into law on December 27, 2020, provides states the ability to waive recovery of Pandemic Unemployment Assistance (PUA) overpayments in the event the overpayments were established through no fault of the claimant; and the recovery of the overpayment would be against “equity and good conscience.” If an overpayment was established on your PUA claim, you will receive a Request for Waiver of Recovery of PUA Overpayment Questionnaire by email or mail, depending on your PUA correspondence preference. To be considered for a waiver, you must complete and return the questionnaire in full by providing clear, detailed responses to each question.

Approval of the waiver will be based on the information you provide on the questionnaire. If additional information is needed to make a determination, you will be contacted by an IDES representative.

What options do I have if my PUA overpayment waiver request is denied?

You will have the right to appeal the determination.

I already repaid part or all my PUA overpayment. If I am successfully granted a waiver, will I get this money back?

Yes. If your waiver request is approved, any overpayment of benefits prior to the effective date of the approval will be removed from your overpayment balance and you will be paid back any monies that you repaid or that were recouped from benefits. 

Can the Department issue blanket waivers for overpayments?

Generally, no.  But federal law does allow for blanket waivers of overpayments in these two specific instances:

  1. When an individual, through no fault of their own, was accidently paid PUA when they should have been paid PEUC, or when they were accidently paid PEUC when they should have been paid PUA; or
  1. When a PUA claimant, through no fault of their own, was paid a minimum weekly benefit amount that was higher than the minimum amount set by federal law.

The Department will automatically send a letter to any claimant that fits into either of these two situations to let them know that the overpayment has been waived.


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