It is not necessary to report the sale of a home to the unemployment office -- or the state agency responsible for determining continued eligibility for unemployment benefits. Workers earn unemployment benefits and after applying receive receive them if they meet certain criteria. Income from assets such as the sale of a house do not affect a person's status for receiving the benefits.
Other Income
Income from a job can affect benefits. All states require unemployment benefits recipients to look for a job each week and to report any earnings from working. Income from a job -- even a part-time or temporary position -- can lead to a reduction in unemployment pay. People who fail to report income risk losing their benefits.
Considerations
It is not unusual for people receiving unemployment benefits to sell assets to make ends meet. Unemployment benefits are usually only a fraction of the recipient's former salary, making it difficult, possibly, for the recipient to continue covering daily living expenses. The United States Department of Labor notes that the only official reporting responsibility for the person receiving benefits is to list money earned from working during biweekly periods, along with reports of job offers or refusals to accept work. The reporting usually takes place online.
Duration
Unemployment benefits initially are for 26 weeks, but extensions are possible in states with high unemployment. Also, extensions are sometimes possible with assistance from the federal government, which sends money directly to states. With extensions, a worker could receive unemployment benefits for more than a year.
Planning
People selling their homes because of their unemployment status can seek free counseling from credit counselors certified by the U.S. Department of Housing and Urban Development. With unemployment benefits not affected by a sale, credit counselors can take a look at the homeowner's household budget and offer a second opinion on whether a sale of the home is necessary. Credit counselors are available in communities around the country, with referrals available from charitable organizations such as the United Way.
Relocation
People who do choose to sell their house usually are free to move to another state, if they wish, and continue collecting their benefits. However, even after moving to another state, recipients must continue reporting back to the state providing the benefits about their job search and any income from new employment.
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