Home Improvement Contractor - Licensed Contractors

Currently drawing unemployment but about to become independent contractor. Can I still receive unemployment?

I have unemployment now for a few months, but I'm about to accept a job where I will be an independent contractor in which I will fill out a 1099 at the end of the year for taxes. Am I still eligible to continue to collect my unemployment?

Public Comments

  1. Legally no you can't. You will have a paying job even thought you won't get a W2, a 1099 that you receive at year end is your income for the year. On the other hand a 1099 worker is harder to track than a W2 worker and I'm sure many people still draw unemployment.
  2. No. You report your earnings to the u/c office and if it's enough, the checks stop. Do NOT get the bright idea that they won't know. They will. Eventually they will catch it and force you to pay the money back. The tax consequences are such that you usually end up paying the income tax anyway.
  3. You are required to report all income to the unemployment office.
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