8 Costly Mistakes to Avoid When Filing for Unemployment

If you recently joined the ranks of the unemployed, you're far from alone. In late February, jobless claims increased by around 22,000, bringing the total number of Americans filing for unemployment benefits to 242,000 — the largest increase since October.

While unemployment benefits can help you protect your wealth while you search for a new job, just one filing mistake can keep you from getting the money you're entitled to. Here are eight things to avoid to ensure you get the cash you need to stay afloat.

Depending on where you live, you'll be required to submit a variety of documents to verify your unemployment claim. For instance, in the state of Washington, you need to submit multiple forms of identification as well as a comprehensive list of your employers, their contact information, and your dates of employment over the last 18 months.

Providing all the required documentation upfront will make approving your claim as straightforward as possible, which ensures you get the money you need right away.

In many states, you need to certify that you're searching for jobs on a weekly, bi-weekly, or monthly basis or risk losing access to your benefits. Depending on the state, you might need to provide the name of the employer you contacted and prove that you were available to work during regular work hours.

Failing to certify for benefits, including forgetting to submit the right documentation or including inaccuracies, can cause you to lose money. This could have a significant impact on your bottom line.

If you've recently moved out of the state in which you lost your job, or if you work remotely for an employer located across the country, it can be hard to know which state government to turn to for benefits. The answer is almost always the state where you held the job, even if your employer is based elsewhere.

Applying for unemployment benefits in the wrong state won't disqualify you for benefits once you apply in the right state. But wasting time filling out the wrong paperwork means you'll be waiting even longer for your unemployment benefits to hit your bank account.

Receiving notice that your unemployment claim has been denied is demoralizing, to say the least. But claims can be denied mistakenly, especially in states that process high volumes of unemployment benefits claims. It's up to you to double-check that your claim was denied for a valid reason.

If it wasn't, make sure to follow your state's appeals process to get the decision looked at again and meet the appeal deadline. The denial might not be reversed, but you'll feel better knowing you ruled out the possibility.

Once you lose your job, you only have a set amount of time in which you can apply for benefits. Additionally, if your claim is denied, the state will give you a set period of time in which to appeal the denial. After the date passes, you're no longer entitled to benefits, even if you have evidence that your claim shouldn't have been denied in the first place.

It can be easy to lose track of time without the daily structure of working a job, so make sure to add any crucial deadlines to your calendar so you don't miss them.

When you're filing for benefits, the state will likely ask if you're currently receiving revenue from sources apart from the job you recently lost. Failing to report income from freelance work or property rentals could get you approved for unemployment benefits right now, but once you file your taxes, the withheld income will become clear.

You'll likely find yourself repaying any benefits you received during the prior tax year, plus any back taxes on the amount you were paid.

In some states, such as Washington, you need to resubmit a benefits claim every week, along with evidence that you've been looking for jobs in the last week.

If your state requires you to reapply for benefits on a regular basis, make sure to do so by a set time each week. Forgetting to apply could mean you miss out on benefits for a week or more, which will put a strain on your budget.

You shouldn't assume that just because you've applied for benefits, you'll automatically start receiving them. Someone from the unemployment office may need to follow up with you via phone or email before approving your benefits, or you may receive notice that you need to submit additional documentation.

Check your online application status frequently and make sure to follow up on any missed calls from the unemployment office so you can start receiving benefits ASAP.

Even if you have an emergency fund to help you through such financial challenges, losing a job is an emotionally harrowing experience. You can lower your financial stress during this tricky time by filing your unemployment claim as quickly and accurately as possible.

And remember, if your initial claim is denied, don't give up right away — double-check your paperwork for any mistakes, resubmit your claim, and don't give up hope.