Tag: PUA

PUA mistakes are showing up by the dozens. Even though I am hopeful that there is relief to be had, these issues are causing tremendous stress amongst the unemployed.

The problem is applicants near and afar do not know how to correct PUA mistakes created by Minnesota’s Unemployment Office.

This is a problem that dates back many months when people applied for unemployment benefits when the COVID-19 pandemic started. During the early stages of this process, applicants were pushed towards the wrong online application.

Now, applicants are appealing issues they didn’t imagine and told their account has an overpayment. Luckily, there might be an answer.

Without getting overly technical, Unemployment Insurance Program Letter NO. 16-20 offers guidance.

As stated in the UI letter, Minnesota must identify individuals who are potentially eligible for PUA and provide them with written notification of their potential entitlement.  This includes applicants who were found ineligible as far back as January 2020. This is significant for any person managing an overpayment due to PUA mistakes.

With PUA mistakes running ramped, the good news is that after an applicant is disqualified from regular unemployment benefits, the PUA process supports backdated claims. On the other hand, time is of the essence.

Covered Individual is a point of contention for unemployed people seeking pandemic unemployment assistance or PUA benefits. Sure, receiving money today sounds great. However, things may go horribly wrong down the road. Here is why.

Pandemic unemployment assistance benefits feels easy. And, politicians from both sides are saying things to put people at ease. But, the devil is in the details.

The details come from a federal law called 15 USCS § 9021, which is a rule that tells us about Pandemic Unemployment Assistance. The key phrase inside this rule is “covered individual”.

In other words, people who meet the definition of covered individuals are eligible for PUA. Those who do not meet the definition are likely ineligible or weighing an opportunity to appeal a decision.

Who Is A Covered Individual?

Those that are more likely to have an easier time with the unemployment office are individuals or covered individuals who meets elements under 15 USCS § 9021.

In other words, this means a person who was:

• Diagnosed with COVID-19,
• A member of a household impacted by COVID-19,
• Care for a family member impacted by COVID-19,
• A person who lost childcare or is supporting a child that is not able to attend school,
• An individual who cannot go to their place of work,
• Workers who anticipated starting a job that was impacted by COVID-19, or
• A person who’s place of work was closed due to a government mandate.

Of course, there are a lot more opportunities for covered individuals than those highlighted above. That said, our self-employed workers, business owners, independent contractors, and gig workers are most at risk of being denied benefits. Then, the process turns onto appeal strategies.

PUA Overpayments Will Start Again

Right now, it feels like everybody is being told that they are eligible for benefits. Once our unemployment office moves onto the second stage of claims, overpayments will again be a hot issue. After all, these types of issues came up in 2007 too.

For those that have followed me in the past, it was in 2007 that I sometimes used my 900 lb gorilla analogy. But, this doesn’t mean the end is near.

Instead, the idea of sharing this feedback is to make others aware that the rules are unclear and likely will require adjudication. When they do, applicants seeking unemployment benefits have

The new COVID 19 law for unemployment benefits was finally posted online. For those inquiring about benefits and looking for a source of truth, please consider Chapter 71, HF No. 4531 along with other unemployment laws and rules.

For those trying to determine the difference between a rule and a law, consider starting here.

COVID19 Aid Bill is the rule that helps people and families acquire unemployment benefits as a result of the corona virus.

In my line of work, the best place to start is the text of the rule. The Governor’s speech was nice, but not helpful until the rule gets published.

I agree, waiting for the text of the rule or bill is stressful. That said, once the stimulus package or rule is published, many of the questions and concerns being felt by unemployed workers, employees, independent contractors, and gig workers will hopefully get answered.

Corona unemployment claims are here and my first regret is the amount of time it took to share the following. For those who recently contacted me about job loss as a result of artificial intelligence, the COV-19 virus is more imminent. As a result, lets jump right in.

In general, there are 5 outcomes that many employees and workers will want to consider. I will discuss these outcomes below. But, before an outcome can be assessed, lets first consider the present.

Corona Job Loss Question Number #1

The first issue is whether or not wages have ended. If wages already ended, then the feedback described below is important.

On the other hand, if wages have not ended, the idea of seeking or filing a claim for unemployment benefits today is probably more about fear. Because fear can be debilitating, please go your best to manage it accordingly.

Every worker and employee trying to prepare for future corona unemployment claims should consider reading the eligibility conditions under Minnesota statute 268.085 as their first step towards the unknown.

Corona Impact on Hourly Employees

Very likely, hourly employees will be the first group of corona unemployment claims.

That aside, there is hope. There is hope inside Federal and State governments granting benefits through disaster assistance programs.

Here in Minnesota, there is hope too, especially after an applicant or hourly worker meets the one week grace period found here.

But, a word of caution. Each and every person applying for benefits should take scrupulous notes to reduce the risk of a future audit. Why do I say this in a time of need? Because your future self is counting on it.

To date, I am still seeing the residual impacts of unemployment audits from claims dating back to the 2007-2008 recession. If you or a loved one fell into this circle of appeals, then you already know the issues. For those managing this for the first time, consider reading on.

Corona Impact on Salary Employees

For the workers and employees receiving a salary, lost wages probably isn’t the first sign that an unemployment claim is imminent. Instead, I forsee salaried employees being asked to stay home, perform under different conditions, or take a paid leave of absence.

For the salary employee who is told otherwise, then perhaps the cards are aligning for a layoff. If such is the case, future corona unemployment claims will hinge on whether the the layoff was today or sometime in the future. This sounds strange, so hear me out.

Present and future layoffs his will get tricky because many workers and employees will get trapped by the shear emotion attached to industries getting destroyed.

In unemployment world, a layoff comes when workers are told to go home. Leaving early before the ship sinks is usually a recipe for problems.

Because every situation will be different, hopefully the majority of salary employees are able to acquire clear statements from their employer and affirm their layoff as a discharge.

Mentally, very few people view a layoff as a discharge, but the distinction matter. This matters because of the term “discharge” and its application under Minnesota statute 268.095.

5 Job Outcomes Due To the Corona Virus

Corona unemployment claims are going to be tricky. In general, there are 5 likely outcomes:

• Job loss due to lack of work
• Claims as a result of unpaid wages
• Employees who decide to quit,
• Employers who play verbal games with their staff, and
• Employees that remain employed.

Unfortunately, there will be the problem of misrepresentation. Unemployment benefits get tied to taxes paid by employers. For this reason, there will be a percentage of claims tied to fabricated misconduct. Hopefully, this gets caught early on.

In general, I like to see applicants complete their application for benefits with a specific purpose: helping Minnesota’s claim office to decide in favor of awarding benefits.

Then, the name of the game turns to remaining eligible, assessing payments that delay awards, and seeking new employment opportunities.

In the meantime, for those put in the position of filing an unemployment appeal impacted by the coronavirus, be proactive in your process.

Coronavirus or COVD-19 is serious. From an estate planning perspective, I encourage families, especially the young and old, to prepare for any outbreak, not just a #CoronavirusOutbreak 🤢. This goes for our frontlines too.

‪How Does One Prepare for A Global Virus?‬

One’s health is most critical. For this reason, I like the idea of putting documents in place such that loved ones can act on my behalf. This starts with:

• Updated Health Care Directives‬,
• ‪HIPPA Authorizations‬,
• ‪Durable POA, and
• ‪Updating other relevant docs‬ like a Will, Trust, and transfer deeds.

Coronavirus Frontlines

Of course, preparation is critical for everybody. However, assisting one’s family to offer support starts with attention to our frontlines.

This includes our:

• Military
• Health Care Providers
• First Responders
• Elderly
• School Employees
• Transportation Employees

Be prepared and stay safe 🙏

Where is the SECURE Act is trending on the internet. Why? Because finding the text to this new law is nearly impossible to find online.

Even worse, the general public is left with editorial feedback on the rule change without having an accurate resource to read the law for themselves.

Luckily, there is an answer.

Finding the SECURE Act in Other Places

Currently, a better way to find a copy of the SECURE Act is to review a congressional report called 165 Cong. Rec. H 10386.

Another way of finding information about this update to our tax code is by looking at any of these federal reports:

• H. Rept. 98-1159
• Conf. Rept. 105-217
• S. Rept. 114-79
• H. Rept. 116-62
• H. Rept. 116-78
• H. Rept. 116-107
• S. Rept. 116-126
• H. Rept. 116-353

As a reminder, this new law is a fancy way of saying our IRS rules and statues were updated.

In the future, and hopefully sooner than later, everyone will be able to access an updated 26 U.S. Code 26, the chapter of laws devoted to the Internal Revenue Code, using free resources online. This will be significant for families and Eligible Designated Beneficiaries.

Final Thoughts on Finding the Secure Act?

In the meantime, the best way to find the SECURE Act is to utilize paid legal subscriptions.

On the other hand, another option and a highly unutilized resources is visiting local law libraries open to the general public.