Unemployment benefits can be lifelines for people who need to pay rent, cover basic needs, and support their families while they look for new job opportunities. This makes filing for benefits with California’s Employment Development Department (EDD) critical. Still, it is easy to make errors that result in a loss of benefits or delayed payments. Prevent these issues by learning the top mistakes to avoid when filing for unemployment benefits.
Providing Inaccurate Information
One of the biggest mistakes you can make is providing inaccurate or incomplete information when filing for benefits. The EDD may send a Notice of Potential False Statement (DE 4365PFS) when it suspects you’ve knowingly provided incorrect or incomplete information (whether in your application or correspondence). This is very serious.
What You Must Avoid
- Do not ever lie or omit material facts—even unintentionally. The EDD may assess a penalty of 2 to 23 “false statement” weeks, during which you remain eligible but will not receive benefits—plus a 30% financial penalty on amounts already overpaid.
- Don’t ignore the notice. You can respond in writing within 10 days if you want to explain yourself instead of attending a phone interview.
Why Accuracy Matters
- False statements block waivers. Even if you owe the money through no fault of your own, you won’t qualify for financial hardship waivers.
- Penalty weeks affect future claims. Once assigned, false-statement weeks can delay future unemployment benefits for up to three years.
Recommended action: Take the time to complete the application accurately and double-check all the information before submitting your application. Review your notice carefully. If you’re unsure, consult a legal professional before responding to avoid compounding errors.
Not Determining Your Eligibility
Another mistake to avoid when filing for unemployment benefits is not determining your eligibility for benefits.
Understand the Basic Requirements for California Unemployment Benefits
To receive unemployment benefits through California’s Employment Development Department (EDD), you must meet certain qualifications. These criteria are designed to ensure that benefits go to those who are out of work through no fault of their own and are ready and able to work.
W-2 Employment and Job Separation
If your previous employer issued you a W-2 form, it means you were classified as an employee and paid into California’s unemployment insurance system. You are likely eligible for benefits if:
- You were laid off
- You were furloughed
- Your hours were significantly reduced
- You lost your job due to lack of work
In these cases, the EDD typically approves benefits assuming you meet the additional requirements related to job search and availability.
Don’t Assume You’re Disqualified
Many applicants mistakenly believe they don’t qualify for unemployment benefits, especially if:
- They quit voluntarily
- They had a temporary or part-time job
- They were employed under non-traditional arrangements
However, eligibility is determined on a case-by-case basis. Even in these situations, you may still qualify if you had a valid reason to leave (e.g., unsafe conditions, medical issues) or if your hours/pay changed significantly.
Check the EDD’s Eligibility Criteria Before Applying
Before submitting a claim, it’s important to review EDD’s official eligibility rules. Doing so can help you:
- Set realistic expectations
- Avoid mistakes in your application
- Prepare documents that support your case
Why This Needs Your Attention
- The EDD explains eligibility, waiver options, and how notices are issued in their Benefit Overpayments and Penalties guidance.
- You must actively determine whether you are eligible for a waiver, especially if the overpayment wasn’t your fault. EDD may send a Notice of Overpayment Waiver (DE 1446UI) to allow you to request relief.
Overpayment Waiver
To be considered for a waiver, you must complete and return the Personal Financial Statement (DE 1446). The EDD will review your information to determine if repaying the overpayment would cause you extraordinary hardship. To learn how the EDD determines if you qualify for a waiver, visit Benefit Overpayment FAQs.
Note: You cannot request a waiver if EDD did not mail you a Personal Financial Statement (DE 1446).
What Not to Do
- Don’t ignore posted eligibility guidance or the possibility of a waiver just because you feel the process is overwhelming.
- Don’t assume the Notice of Overpayment is the end of the story if you might qualify for a waiver or appeal.
Missing Appeal Deadlines
EDD deadlines are real and often final—unless you show there was a valid reason you couldn’t meet them.You must be aware of the deadlines in the unemployment benefits process.
Your Initial Unemployment Claim
You must be aware of the deadlines in the unemployment benefits process. For example, you must file your claim within the first week of unemployment. Note the relevant deadlines, and submit your information on time to continue receiving unemployment benefits.
Weekly Certification Requirements
Once your claim is filed, you must certify for benefits every week. Certification involves confirming that:
- You are still unemployed or underemployed
- You are available for work
- You are actively seeking employment
Each week you certify, confirming your continued eligibility for benefits.
Consequences of Certifying Late
You must certify that you’re available to meet with a representative and are actively seeking work. Certifying late may result in a phone interview or the EDD denying your benefits. Note the relevant deadlines, and submit your information on time to continue receiving unemployment benefits. In some cases, late certification can lead to denied benefits.
Common Mistakes to Avoid
- Failing to appeal within 30 days often triggers denial of your appeal. However, appeals can still proceed if you demonstrate “good cause” for delay.
- Late appeals can always be disqualified. Administrative Law Judges (ALJs) can accept late appeals for reasons like illness, not receiving the notice on time, or other uncontrollable circumstances.
- Don’t submit a vague appeal—explain the reason clearly, attach evidence, and ask for reconsideration.
Recommended action: If you’re unsure how to proceed, be sure to read our complete guide on how to appeal an EDD overpayment decision.
Mistaking a Denied Claim as Final
A common misconception many applicants have is that a denied claim means they are completely ineligible for benefits. Even if the EDD denied your application, it might be due to errors in your application or a misunderstanding.
Misconceptions That Hold Claimants Back
- A denied waiver or overpayment notice does not mean your options are exhausted. You still have rights.
- Appeals are your next step. After a denial, you can still submit an appeal and request a waiver or hearing.
- Even if you lose an appeal, EDD continues collection efforts—but repayment plans and offsets (such as benefit or tax offsets) may apply.
What Not to Do
- Don’t stop interacting with the EDD—even if your initial claim was denied.
- Don’t assume that pursuing a hearing is pointless or burdensome.
Recommended action: Check our article on Frequently Asked Questions About EDD Overpayments for guidance on repayment plans, appeal strategies, or waiver eligibility.
Conclusion
Upon receiving a denial, don’t panic! Instead, review the reasons provided for the denial. If you believe there was an error, you have the right to appeal the decision. The appeal gives you a chance to present your case and provide additional information that may help you receive the benefits you deserve.When appealing, seek the help of an experienced unemployment lawyer. Contact Pershing Square Law Firm if you think the EDD unfairly denied your unemployment benefits. Our unemployment attorneys will help you prepare your case and work with you to make the best decisions for your case.