Can People Over 65 in the US Collect Unemployment Insurance While Collecting Social Security?

Many older Americans wonder if they are eligible to collect unemployment insurance while already receiving social security benefits, particularly after reaching the age of 65. This article aims to clarify the eligibility rules and shed light on common misconceptions surrounding these benefits.

Eligibility for Unemployment Insurance

Yes, people over 65 are eligible to collect unemployment insurance if they meet the state's eligibility criteria. Unemployment insurance is intended to provide temporary assistance to those who have lost their jobs through no fault of their own. It is administered by state governments and funded separately from Social Security.

Income Limits and Pensions

There are income limits on how much you can receive as unemployment benefits, which may vary by state. However, if you are receiving Social Security retirement benefits and find yourself unemployed due to a part-time job, you can still apply for and receive unemployment benefits. These come from and are paid by a different fund than Social Security and do not impact each other.

Complications with Social Security Pensions

It is important to note that while unemployment benefits do not directly affect Social Security benefits, individual states may have different rules regarding the impact of unemployment on Social Security. For instance, Supplemental Security Income (SSI), which is a needs-based disability benefit for individuals over the age of 65, can be impacted by unemployment benefits. If you are receiving SSI and receive unemployment payments, it could result in a lower SSI payment or ineligibility for SSI altogether, depending on the amount of the unemployment payment.

Personal Experiences and Clarification

Several individuals have shared their personal experiences regarding this topic. For example, a person who was 67 years old and working full-time, and who was let go, signed up for both unemployment insurance and continued to receive their Social Security benefits without any issues. Similarly, another individual who was working a part-time job and was laid off due to the COVID-19 pandemic, collected unemployment for about a month while continuing to receive their Social Security benefits.

These situations show that there is no direct relationship between unemployment and Social Security benefits; unemployment insurance does not automatically disqualify you from receiving Social Security. The key is to understand the rules and regulations specific to your state and to be proactive about seeking information.

Conclusion

Absolutely, if you are over 65 and find yourself unemployed, you may still be eligible to collect unemployment insurance. This opportunity is solely based on meeting the eligibility criteria set by your state, and it does not impact your Social Security benefits. Always check with your state's unemployment office for the most accurate and up-to-date information.