"unemployment" is currently 79 wks in Michigan

[cantretire]

I just met a lot of people in school who openly admited to "riding" out unemployment.
They said they lied about applying for jobs.
I honestly think a nice solution would be cut the benefits in half after so many extensions??

What about the people who aren’t ‘riding it out’? You are punishing the majority to punish a few.

Originally Posted by cantretire
I find that most of the people complaining about UI are people with jobs. Why? You're not paying for it.
Who exactly do you think is paying for it then?

My former employer. UI insurance DOES NOT come out of your paycheck. Employers pay a tax based on their UI figures for the previous year. When they lay someone off, the employer pays half of the check while the insurance they paid pays for the other half. That’s why many employers fight claims so often.


My last salary, with bonuses and overtime, was around $56,000. It may sound like a lot to some of you, but it isn’t in NYC. Yes, I am willing to take a significant pay cut for a decent, full-time job, with medical benefits. But why would I take an $8.00 an hour job when UI pays about $12 an hour. UI pays me 22,360, before taxes. This covers my rent, my electric, my cooking gas bill, and my food. It does not take out all the taxes I owe, so I will owe both federal, state and city taxes next April. The $405 + $25 per week does not cover: my wonderfully reduced (COBRA Stimulus) medical insurance of $200 per month, out-of-pocket medical expenses, student loan, charge cards that I have to pay minimum (had to put my pay-off plans on hold for now – let’s not get into the debt discussions here, I already know I’ve made mistakes), any leisure activities that cost money, unexpected expenses. These come out of my emergency savings.

My savings is down to nearly half of what it was when I lost my job. I do not go out with my friends unless we are just eating in. We prefer that anyway. I do not eat out or go out for a drink. I do try to go out to a museum twice a month as I know how to spend a whole day out and spend very little money outside of the subway costs. I’ve basically put my whole life on hold. I get really ticked off when people talk about people ‘partying’ while collecting UI. It’s a lie.

I don’t have children, so I am not eligible for any government help such as help with housing, free healthcare, tuition or food stamps. I’ve always been amazed that people who have lived ‘reproductively responsible’ are penalized for it. UI and my savings are all I have.

There's no reason a lower paying job couldn't be an "interim" job. Taking such a job doesn't preclude anybody from continuing to search for a more preferable job.

True. I wanted to find temp or contract work myself. Well, after visiting several agencies I have found out that there aren’t any of those. Also, if I take a temp job, I’ll lose my extended benefits due to the cut off date as opposed to my lay-off date (not going into that mess here). This is my last week of my original 26 week claim – I need those extended benefits to survive.

[maat55]

Like all government programs, it is abused and should be limited. IMO, if you had only three months to find a job, you would find one or move in with relatives.

I have no sympathy for the unemployed(financially), I am self-employed and do not qualitfy for unemployment if my business fails, so I either drum up work or rely on my EF.

I was layed off from one job as an young adult and had a job the next day. IMO, unemployment is a socialistic waste and detriment to proper personal finance.

Why do some people not have health insurance? Because the government forces emergency rooms to provide healthcare.

Why do some people not save enough for retirement? Because they think SS is their retirement.

Why do most people live check to check? Because the government allows them to file bankrupcy and collect unemployment.

[sofocused978]

I was layed off from one job as an young adult and had a job the next day. IMO, unemployment is a socialistic waste and detriment to proper personal finance.

Good luck with that these days. 10 years ago sure. Never in today market. You know why the unemployment #'s went down last week right? Because people said "F it" and stopped looking for work all together, not because they picked up new jobs. Its a whole different world than it was when you could walk into anywhere and be working a few days later if not the next day.

[cantretire]

Originally Posted by maat55 View Post

I was layed off from one job as an young adult and had a job the next day. IMO, unemployment is a socialistic waste and detriment to proper personal finance.

Good luck with that these days. 10 years ago sure. Never in today market. You know why the unemployment #'s went down last week right? Because people said "F it" and stopped looking for work all together, not because they picked up new jobs. Its a whole different world than it was when you could walk into anywhere and be working a few days later if not the next day.

True sofocused. This is a situation that hasn't happened in decades. I've been working since 1981 and have never seen anything even close to this. Fortunately, I do have some liquid savings and a family to lean on, but it's extremely depressing to think that I may lose everything that I have built over the last 28 years to move back in with my parents.

A large number of people, I believe 1.5 million, are losing their UI and extensions benefits this week. I can't imagine what is going to happen to some of these people.

[wnlbutterfly]

There HAS to be time limit, no matter what the situation (I know it's bad out there). It's not about punishing people either, but we can't keep extending benefits and look back and find people on UI for 5yrs? Could it get to that? Maybe, maybe not.

[Crystallas]

Before I was terminated, I hated people who applied for any unemployment benefits. I thought they were bums that can't take a hit to their own ego, and just get a job.

I lost my job yesterday, and after so many years of dedicated and loyal service... its ridiculously emotional. I might be able to find work reletively soon. But in all honesty, I need SOME vacation. I worked 100 hour work weeks for this last year to support major change in 3rd party supliers on salary. I never complained about it, and set all of the standards. You're darn right I need time to recover before I start a job search. The last thing I need is to get called for an interview, and have a hard time keeping a smile on my face.

Don't get me wrong. I'm not looking to milk the system. I just want time to cool down. I am way to antsy to stay unemployed for long. Now, I see why people end up in this unemployment hole. You are literally traumatized by a termination.

I haven't decided whether I am going to file for unemployment or not. I can't help but to file, just for my own protection, in the case that I really can't find work that pays the important stuff, like mortgage, taxes, food and transportation.

[maat55]

Good luck with that these days. 10 years ago sure. Never in today market. You know why the unemployment #'s went down last week right? Because people said "F it" and stopped looking for work all together, not because they picked up new jobs. Its a whole different world than it was when you could walk into anywhere and be working a few days later if not the next day.

The real problem is that too many people do not have near enough cushion in their budget. This causes them to be to picky about finding another job.

Government programs only give incentive to poor personal finance,imo. If everyone had to live off their own money after job loss, they would have much more incentive to find anything they can while looking for a better job during a recovery, not to mention be more frugal.

[maat55]

Before I was terminated, I hated people who applied for any unemployment benefits. I thought they were bums that can't take a hit to their own ego, and just get a job.

I lost my job yesterday, and after so many years of dedicated and loyal service... its ridiculously emotional. I might be able to find work reletively soon. But in all honesty, I need SOME vacation. I worked 100 hour work weeks for this last year to support major change in 3rd party supliers on salary. I never complained about it, and set all of the standards. You're darn right I need time to recover before I start a job search. The last thing I need is to get called for an interview, and have a hard time keeping a smile on my face.

Don't get me wrong. I'm not looking to milk the system. I just want time to cool down. I am way to antsy to stay unemployed for long. Now, I see why people end up in this unemployment hole. You are literally traumatized by a termination.

I haven't decided whether I am going to file for unemployment or not. I can't help but to file, just for my own protection, in the case that I really can't find work that pays the important stuff, like mortgage, taxes, food and transportation.

A forty hour job should be a cake walk. The idea you think you are intitled to a vacation on the taxpayer is sad. Working 100 hours a week, you should have loads of money to get you through.

[PetMom]

Thanks Feh for posting that link.

I never knew that UI was paid for by employers.

This system though is going to require a bailout which is going to be paid for by taxpayers.

The system is buckling under all the unemployed people. A large part of this was from the big auto industry tanking. This is why the govt. bailed out the auto industry to prevent a lot of job losses and it basically ended up happening anyway. Taxpayers will pay for that.

I also have known people who have taken full length of the time but that was in a good job market - they could be picky and take their time.

And we all know people who are such workers that they take a lower paying job then apply during their lunch breaks for other jobs.

This shows on your work history and an employer is impressed by this.

I have known people who were so wanting to work they volunteered in areas (a librarian volunteering in a library for months, a teacher volunteering in a school for months - a few days a week) - people were so impressed around them that when a position came up they got it. It took a while and they had to live off savings but they got their career job.

Another person has a perfect work history of never taking off work, missing work and had one week of unemployment - this person will take anything and has built what they call a 'skill base' in several fields - food service, computers, engineering assistant. This person's excellent work habits show up quite obviously. People know this person - and whenever this person has switched jobs people know of him needing work and refer their employers to him. When on the job this person always took every training seminar or class that would net more expertise and skills. All this started with just a commumity college drafting program years ago.

But it is tough now and that is why some personal finance people are telling us we need to have 18 months of emergency funds to ride out something like this recession again or a job loss.

Younger people are being told to get different 'skill sets'.

[am_vanquish]

The real problem is that too many people do not have near enough cushion in their budget. This causes them to be to picky about finding another job.

Government programs only give incentive to poor personal finance,imo. If everyone had to live off their own money after job loss, they would have much more incentive to find anything they can while looking for a better job during a recovery, not to mention be more frugal.

Although I think maat's post above goes a bit to the extreme, he still makes a good point. Not only would this be an incentive for people to try harder after losing their job, it would encourage them to live below their means, save, and build an EF before losing their job that would come in handy.

On a side note, it seems that a few people are taking these posts personally, but you're not the ones our negative posts are geared toward. I also feel frustrated with the unemployment program. My brother-in-law has been out of work for over a year & my sister as out of work for 8 months during that time. With no income for 8 months, they still ate out 3 times a week, went to concerts, bought a brand new cable package, bought video games regularly, and even bought a brand new Mac computer. Those are the people our posts are pointed toward.

[cantretire]

Oh, and I forgot to make another point.

Some of you are complaining that this is coming out of your taxes/wages in some form or another and that we are living off of your toil.

You fail to recognize that this has come out of OUR taxes/wages as well. We've worked, paid taxes, our employers have paid taxes, and we've paid all the associated costs through our own consumerism.

So, using that reasoning, we have already paid for our own UI benefits.

Shut up and leave us alone. It could very well happen to you.

[Goldy1]

In responses to the person who posted this:
"I don’t have children, so I am not eligible for any government help such as help with housing, free healthcare, tuition or food stamps"

Not true. If you have over 3K in assets, you better not think the state of MI is giving you anything in terms of medicaid, housing assistance etc. kids or not.

[feh]

So, using that reasoning, we have already paid for our own UI benefits.

Except the reasoning is flawed. Just like any insurance program, some people get more than what they pay in; others get less. You're assuming that what you've paid in over the years is more than what you'll be taking (and it may be; I don't know).

I'm not criticizing you, or the unemployment system. Just noting the logic error.

[cantretire]

Except the reasoning is flawed. Just like any insurance program, some people get more than what they pay in; others get less. You're assuming that what you've paid in over the years is more than what you'll be taking (and it may be; I don't know).

I'm not criticizing you, or the unemployment system. Just noting the logic error.

No error in logic. That's the nature of any form of insurance.

Do you have health insurance? House insurance? Car insurance? Many many people receive more in claims than they pay in. Many get less.

I pay for renters insurance. I've never had to make a claim and I hope I never will. I'm not complaining about the thousands that I have paid over the years or the thousands I will pay in the future. I prefer the peace of mind that if something happens, I will receive the funds I need to rebuild

I've paid for it, I'm entitled to it, and I will collect it to keep food on my table until I find job. You are entitled as well. You could lose your job today.

Remember, in an employer's eyes, EVERYONE ONE IS EXPENDABLE.

[feh]

No error in logic. That's the nature of any form of insurance.

Do you have health insurance? House insurance? Car insurance? Many many people receive more in claims than they pay in. Many get less.

I pay for renters insurance. I've never had to make a claim and I hope I never will. I'm not complaining about the thousands that I have paid over the years or the thousands I will pay in the future. I prefer the peace of mind that if something happens, I will receive the funds I need to rebuild

I've paid for it, I'm entitled to it, and I will collect it to keep food on my table until I find job. You are entitled as well. You could lose your job today.

Remember, in an employer's eyes, EVERYONE ONE IS EXPENDABLE.

I'm not saying you're not entitled to it. I interpreted this section of your post:

You fail to recognize that this has come out of OUR taxes/wages as well. We've worked, paid taxes, our employers have paid taxes, and we've paid all the associated costs through our own consumerism.

So, using that reasoning, we have already paid for our own UI benefits.

as meaning that the dollar amount you've paid in is more than or equal to what you'll be receiving. If that's not what you meant, then it was just a miscommunication.