More than 50% of Americans who are out of work do not receive unemployment benefits. For some, the reasons are understandable. They may have been ineligible to receive benefits, or their benefits may have expired. Many people, however, do not receive benefits simply because they do not apply. If you are about to lose your job, have recently been laid off, or if you have be out of work for months, take a look at the items below. Here are four reasons why you should apply for unemployment benefits as soon as possible:
- The money is important. Unemployment checks amount to a few hundred dollars per week, with the average north of $300 per person. Think about the funds as covering a certain portion of your expenses. If your unemployment benefits manage to cover your rent or mortgage – great. If the money also covers the cost of your food – terrific. While the amount you receive will be less than you were earning while working, be thankful for the money. It can help serve as a buffer for your personal finances, and help lessen the amount of spending on credit or from savings.
- Eligibility will expire. If you do not apply for benefits within a year of losing your job, you run the risk of no longer meeting the eligibility requirements in your state. This applies even if you meet all of the other criteria. (Note: We have written a separate article dealing specifically with eligibility: Filing For Unemployment Benefits – Four Key Questions.)
- Buy yourself some time. Unemployment statistics show that it takes nearly five months for people to find a new job. Without unemployment benefits, you may feel compelled to take the first job opportunity that comes along. By receiving unemployment compensation while you you are seeking work, you will have more flexibility to be patient and choose the job that is right for you.
- You deserve it. Do not let yourself feel bad about applying for unemployment benefits. The unemployment insurance system is funded through employer payroll taxes. While you were working, your employer was required to pay a percentage of your income to support the unemployment pool in your state. In essence, this is money that would have been paid to you.