TechWhirl (TECHWR-L) is a resource for technical writing and technical communications professionals of all experience levels and in all industries to share their experiences and acquire information.
For two decades, technical communicators have turned to TechWhirl to ask and answer questions about the always-changing world of technical communications, such as tools, skills, career paths, methodologies, and emerging industries. The TechWhirl Archives and magazine, created for, by and about technical writers, offer a wealth of knowledge to everyone with an interest in any aspect of technical communications.
RE: Transition from employee to consultant--any gotchas?
Subject:RE: Transition from employee to consultant--any gotchas? From:"Giordano, Connie" <connie -dot- giordano -at- twcable -dot- com> To:"TECHWR-L" <techwr-l -at- lists -dot- raycomm -dot- com> Date:Wed, 25 Aug 2004 15:48:52 -0400
Obviously severance and unemployment varies rather widely from state to state, and it seems like Dick did the smart thing and checked with his home state. In the meantime, one other potential gotcha that I haven't seen mentioned yet. Unemployment compensation is reported to the IRS as 1099 income. So remember that you'll be paying taxes on it.
Connie P. Giordano
Contract Technical Writer
Time Warner Cable
(704) 731-3755 (office)
(704) 957-8450 (cell)
"It's kind of fun to do the impossible." -Walt Disney
-----Original Message-----
From: bounce-techwr-l-175203 -at- lists -dot- raycomm -dot- com [mailto:bounce-techwr-l-175203 -at- lists -dot- raycomm -dot- com] On Behalf Of woman with_catz
Sent: Wednesday, August 25, 2004 3:41 PM
To: TECHWR-L
Subject: Re: Transition from employee to consultant--any gotchas?
actually, that is at least partially incorrect.
if severance is paid as "salary continuation" it is
considered qualifying income and prevents you from
qualifying for and collecting unemployment insurance
benefits.
if, however, it is paid as severance - i think the
phrase is "severance in lieu of salary", even if over
a period of time, AND you are NOT covered by your
former employer's benefit plan - that is you're
getting health care etc. that is COBRA, severance is
considered "non qualifying" income and you can collect
unemployment benefits.
there is always, in illinois, a waiting period.
your HR benefits coordinator may be telling you one
thing, but reporting it to the state as something
different.
hope this helps.
jan
peemo -at- hotmail -dot- com wrote:
Dood wrote:
> Severence does not prevent you from getting
unemployment.
Dood, the laws must be different wherever you live. It
does indeed
prevent it--at least here in the Midwest. That is in
all the instances I
know where the payments were made over the course of
several weeks or
months. Unemployment did not kick in until two weeks
after the last
severence payment.
I don't know about a lump sum severence payment, for
I've not seen that
done.
ROBOHELP X5: Featuring Word 2003 support, Content Management, Multi-Author
support, PDF and XML support and much more!
TRY IT TODAY at http://www.macromedia.com/go/techwrl
WEBWORKS FINALDRAFT: New! Document review system for Word and FrameMaker
authors. Automatic browser-based drafts with unlimited reviewers. Full
online discussions -- no Web server needed! http://www.webworks.com/techwr-l
---
You are currently subscribed to techwr-l as:
archiver -at- techwr-l -dot- com
To unsubscribe send a blank email to leave-techwr-l-obscured -at- lists -dot- raycomm -dot- com
Send administrative questions to ejray -at- raycomm -dot- com -dot- Visit http://www.raycomm.com/techwhirl/ for more resources and info.
