Federal unemployment benefits in Vermont are provided only to recipients who meet all of the state’s criteria for eligibility. The state determines benefit amount limits and calculates the weekly benefit payment based on the applicant’s prior earnings. Qualified recipients must then recertify throughout their benefit period to prove they continue to meet the program’s eligibility requirements.
We have compiled helpful information, hints, and tips about claiming unemployment benefits in Vermont on this website and FAQs and our free guide. Learn more about unemployment benefits in Vermont by reading below, checking out our Vermont FAQs, and reading our free guide.
Learn About Unemployment Benefits in Vermont
A Vermont unemployment benefits claim can be paid by check or through direct deposit. To obtain payment quicker, it is recommended that applicants choose to receive funds through direct deposit. The payment is deposited directly into the applicant’s account on the business day after approval.
If the applicant chooses to receive the funds through a check, it can take a few more business days for the check to be processed. It is mailed to the recipient’s address, which can also take a few business days or may be delayed due to a holiday or inclement weather.
Learn About Filing a Claim in Vermont
You can call the Claimant Assistance phone line to start the claims process. Some documents and information you may need for the application include the following:
- Work history details:
- Complete names and addresses of each employer you worked for in the past 18 months
- Payroll address if different from employer address
- Employer telephone number including area code
- Beginning and ending dates of employment
- Reason for separation
- Social Security number
- Mailing and home addresses
- Email address and phone number (including area code)
- Amount and duration of any separation pay you may receive (vacation pay, severance pay, etc.)
- Return to work date if you expect to be recalled to your job
- Valid driver’s license number or state-issued ID Number if applicable
- Alien Registration Number if not a U.S. citizen
- Banking information for direct deposit
You may need additional forms if you were in the military or worked for the federal government in the past 18 months.
After a VT unemployment benefits claim has been successfully filed, it is up to the department to determine if the applicant is eligible for unemployment assistance or not. The officials will analyze the claim, check in with the previous employer and determine if they need more information from the applicant. The applicant will be approved or denied.
In the event of approval, the applicant will receive a check or direct deposit of funds. Two weeks after an applicant’s first point of contact with the office, he or she should receive the first benefit funds. An applicant can continue claiming benefits for unemployment each week if he or she is still eligible to do so.
If the result of the Vermont unemployment benefits claim is undetermined or needs clarification, the applicant will receive a phone call and the fact-finding process will begin. An applicant will not receive any claim benefits throughout the fact-finding process. For the unemployment benefits claim to be successfully approved, it is important to cooperate with the fact-finding process.
The benefits will only be received by the applicant once the process is over and the claim has been approved. For Vermont federal unemployment benefits approval, petitioners are encouraged to give as much information as possible throughout the fact-finding process.
How Long You May Receive Benefits in Vermont
If a VT unemployment benefits claim has been approved, the applicant can receive payments for the duration of their benefit period as long as they qualify. The applicant must be available for job opportunities and report job contacts made each week.
A benefit period constitutes 52 total weeks from the time the first claim was filed. And the maximum number of weeks you can receive in a benefit year is 26.
You may be able to file a new claim if your benefits year has ended, but you are still unemployed. To qualify for a new claim, you must have performed work since the first day of your benefit year start date. You must have also earned four times the salary of your weekly benefit fund amount. You can call the Vermont Department of Labor to ensure they qualify for a new claim.
A Vermont unemployment benefits extension may be available once the benefit period has expired. This extension, however, is only available to recipients during certain time periods.
An unemployment benefits extension may be available to recipients when:
- It is a high unemployment period for the state, and these extended benefits are readily available from a federal or state level.
- An unemployment benefit recipient receives a notice that he or she may be eligible for these extended benefits.
- The recipient has already exhausted his or her current unemployment benefits with the state.
If a VT federal unemployment benefits extension is allowed, the applicant will be notified by the Vermont Department of Labor once current benefits have expired.
Vermont Unemployment Benefits and Federal Income Taxes
Once you have learned how to claim unemployment benefits and payment has been received, taxes must be paid on these benefits. These funds are reported on your tax return as gross income, both on a federal and state level.
Taxes for an unemployment benefits claim can be withheld by the state before payment is issued, as a courtesy to the recipient. This allows the recipient of the funds to eliminate the hassle of paying taxes for the benefits received out of pocket at the end of the year.
Recipients of a Vermont unemployment benefits claim who are interested in having taxes withheld can notify the Department of Labor of their decision. The withholding option can be changed at any time the recipient chooses.
After claiming benefits for unemployment in VT for the year, a 1099G IRS form will be sent to the applicant. This form will show the recipient the taxes already paid, and what is still owed on the benefits. The same form will be sent to the Internal Revenue Service and the Vermont Department of Taxes.
Therefore, you are not required to submit a copy of this document to either department. This form will show you exactly what taxes you can expect to pay for the unemployment benefits you received throughout the year.
Last Updated: March 1, 2023