Can Lyft or Uber Drivers Claim Unemployment?

Rideshare Dashboard
3 min readDec 25, 2014

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Lyft or Uber drivers can work part time so some wonder if they will still be eligible for unemployment if they work on Lyft and Uber.

I have read through all of the state’s unemployment benefits. The short answer is that you won’t be able to make much money before your state starts deducting your unemployment benefits but if you work less than 30 hours a week, you can still claim unemployment. Read below for more details.

Many states set a threshold for when you will start losing unemployment benefits. In most states, your rideshare earnings will eat into your unemployment benefits. You can read about maximum employment benefits and part time earnings calculation for all 50 states on this page. This is the total amount you can earn in any given week if you are still eligible for unemployment and work on Lyft or Uber or Sidecar.

  • Make sure you are still eligible for unemployment. Depending on why you left your job or how much you made in each of the last four quarters, you may not be eligible for unemployment or qualify for a lower maximum weekly employment benefit.
  • Many states will allow you to earn about 25% of your weekly unemployment benefit amount (some as high as 50% or as low as 0%) before they start deducting your benefit amount, dollar for dollar
  • If you earn above your weekly benefit amount, you will not be eligible for any benefits for that week, as long as you stay eligible for unemployment. There are situations where you work very few hours but earn slightly above the weekly benefit amount, which still makes you eligible for unemployment but won’t get any benefits for that week.

Which state is the most generous in terms for allowing part time income?

Here are the top five states in order of maximum income while still receiving unemployment benefits (calculated based on maximum allowable unemployment benefit. You benefit amount may vary):

  1. Montana (2x weekly benefit): Max of $928 a week
  2. Massachusetts (1.33x weekly benefit): Max of $899 a week
  3. Connecticut (1.5x weekly benefit): Max of $885 a week
  4. Washington State (1.33x + $5 weekly benefit): Max of $854 a week
  5. Pennsylvania (1.4x weekly benefit): Max of $802 a week

Note: Arkansas, Minnesota, New Jersey allow for the employee to earn between $600-$700 a week and still be eligible for unemployment benefits. Refer to the link above to see what the exact amount is.

Which state is the least generous in terms for allowing part time income?

Here are the bottom five states in order of maximum income while still receiving unemployment benefits (calculated based on maximum allowable unemployment benefit. You benefit amount may vary):
[Note: All of these states do not allow you to earn above state’s weekly maximum benefits]

  1. Arizona: $240 a week
  2. Louisiana (Unclear about maximum income but assume equal to maximum weekly benefit): $247 a week
  3. Alabama: $265 a week
  4. Florida: $275 a week
  5. Tennessee: $275 a week

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Rideshare Dashboard is a website built by drivers to educate other part time and full time drivers on everything rideshare related, including rate changes, rideshare insurance, and how to deal with taxes as a independent contractor as a driver.

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Rideshare Dashboard

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