How to Apply for Unemployment When Unemployed From a Family Business

Unemployed workers from a family business are eligible for unemployment compensation.

Being suddenly without work is difficult, especially if you worked for a family-owned business. People who lose jobs in family businesses generally are eligible for unemployment benefits. However, this eligibility depends on whether you meet federal unemployment guidelines for previous employment and suitable job search activity. The availability of unemployment help also depends on current legislation -- at the federal and state levels -- that funds or restricts money for those who have lost their jobs.

Things You'll Need

• Computer
• Telephone
• Pay stubs
• Invoices
• Social Security number or Alien Registration Card -- for yourself and any dependents

Instructions

1. Know of the availability of funding for unemployment. Federal and state funds may not be available for your state because of legislation that funds, entirely cuts or restricts unemployment benefits. Research your state's information through the Internet, or call your local unemployment office for current information. Find groups, during your research, that advocate for the unemployed.

2. Research if you are eligible for unemployment. Personnel in the unemployment office will ask questions about your work status to decide if you are eligible for benefits. Answer "yes" to the question of whether you worked for pay or profit in the family business. This will indicate that you had paid employment in the business and are qualified for unemployment compensation. Gather proof of your salary or a share of the profits in the family business, to document your role as a paid worker.

3. Telephone or go to your local unemployment office to get the necessary forms to apply for unemployment. Many states offer unemployment claim filing online or by phone. Workers at the unemployment office will use the number of your dependents to determine your amount of compensation. You'll need to provide Social Security numbers or show your Alien Registration Card, if you have legal registration as a foreign worker.

4. Fill out the forms with the name, address and telephone number of your former employer, as well as the length of time you worked for the business. Then file weekly claims for unemployment, according to the claim schedule your state's office sets for you.

Tips & Warnings

• Be active in your job search, before and during the time you're receiving unemployment. Keep a diary of where you have applied for work. List the name, address, Internet sites and telephone numbers of the businesses to where you have sent applications. Keep records of interview offers and your pursuit of these opportunities through email and other contacts. Register through your state job center and check frequently on opportunities through this resource.

• You can file for unemployment claims after disasters like earthquakes or hurricanes.

• Do not file your claims too late, because missing claim deadlines may make you ineligible for unemployment.

• Be honest on the unemployment application and ongoing claims, or risk unemployment insurance fraud charges.

References

• Bureau Of Labor Statistics: How the Government Measures Unemployment
• Pennsylvania DLI: Disaster Unemployment Assistance
• The Unemployment Handbook: Laid-Off, Fired or Quit Do You Qualify to File for Unemployment?
• Policy Almanac: Unemployment Compensation
• CBPP: Introduction to Unemployment Insurance
• Job Searching.Org: What is Unemployment Insurance?

Resources

• The Leadership Conference on Civil and Human Rights
• National Jobs for All Coalition
• Unemployedworkers.org
• FEMA: Disaster Assistance Frequently Asked Questions
• Iowa Work Force: Disaster Unemployment Assistance (DUA)
• Money And Business: Who Qualifies for Unemployment Benefits?