When you lose your job, it can be concerning how you’re going to be able to support yourself until you can find employment again. Unemployment benefits can provide some cushion, but what happens if you’re already receiving some kind of government support? Seniors who are collecting Social Security benefits may wonder if it’s even possible to receive both types of benefits. Below, you’ll find the answer to the common question, “can you collect unemployment and Social Security?” as well as information on what happens if you have SSI or SSDI benefits. 

Can you collect unemployment and Social Security at the same time?

It’s not uncommon for older adults to receive Social Security (SS) benefits, even before retirement, as it provides them with extra financial stability. But if a person finds themselves unexpectedly out of a job, they may worry they won’t even be able to count on their SS benefits as a source of income.

“One of the biggest misconceptions (or outdated notions) is that an unemployed worker cannot collect Social Security and Unemployment Insurance (UI) simultaneously,” says Mark Anthony Dyson, founder of The Voice of Job Seekers. “Since the federal government runs Social Security and states run unemployment, recipients can receive both simultaneously without penalty in most states.”

Social Security is based on earnings: It is meant to replace a portion of a worker’s pre-retirement income when they retire. Most people wait until full retirement age (67) to begin receiving benefits, but you can start collecting as early as 62 with some caveats.  

The Social Security Administration does not consider unemployment benefits to be earnings, so they do not impact retirement benefits. In many cases, however, the reverse can be true.

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Does Social Security impact unemployment benefits?

Though rare, there are some instances in which collecting Social Security benefits can lead to an ‘offset,’ or a decrease in how much unemployment you receive. 

“Some states can reduce or eliminate your unemployment check,” explains Dyson. “Some states are at 50 percent Social Security offset (such as Illinois and Minnesota), but most are at 0.”

There have been several provisions in the past on a federal level that allowed for Social Security offset. For example, before the Social Security Fairness Act, public workers who received a government pension in retirement received reduced SS benefits. This was done to prevent “double dipping.” 

But that changed after the act was signed into law in January 2025. Luckily, most states have moved away from preventing residents from collecting multiple benefits during their senior years. 

What to ask when filing for unemployment and Social Security 

While it’s usually a seamless process to begin receiving both SS and unemployment benefits at the same time, it’s still a good idea to check with your local unemployment office. This will ensure you completely understand what is needed of you and what to expect in terms of payments.

Dyson suggests asking the office the following questions:

1. Will my Social Security reduce my unemployment benefits?
2. How does my pension affect unemployment?
3. What are the current weekly benefit amounts and duration?
4. Can I work part-time while collecting unemployment?
5. What paperwork do I need to report?

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How SSI and unemployment benefits interact

For those who collect Supplemental Security Income (SSI) benefits, things can be a bit more complicated when it comes to unemployment checks. Social Security is based on earnings and age, whereas SSI supports individuals who earn less than $2,019 from work each month or have less than $2,000 (for singles) or $3,000 (for couples) worth of resources available. Besides falling under the income cap, you must meet other criteria as well, like being blind, having a disability or being at least 65 years old.

Unemployment benefits will usually result in a reduction in SSI benefits (most frequently on a dollar-to-dollar basis after the first $20) because they’re considered income and SSI is need-based. In some cases, you may even become ineligible for SSI altogether, so it’s important to report your unemployment benefits to the Social Security Administration right away. 

Those on Social Security Disability Insurance (SSDI) can also run into problems. 

“There’s a conflict between SSDI and unemployment insurance due to their differing requirements for collecting benefits,” cautions Dyson. “SSDI recipients cannot work, but UI recipients require the ability to work. There are times when an SSDI recipient receives back pay, but if they were receiving UI benefits, in most cases, they are required to repay.”

It’s best to immediately let the Unemployment Insurance office know if this situation applies to you. 

“To keep UI benefits, be ready to prove you’re actively job searching, even if benefits are reduced,” he adds. “Part-time will also reduce or eliminate the benefit amount. If someone needs both benefits, they will need legal assistance to appeal for both.”