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Completly frustrated! Twenty Thousand Dollar Overpayment Because My Employer Reported I Earned More

I lost my job 2 years ago and quickly started receiving unemployment benefits. I worked no more than 20 hours per week during this time as a waitress. I claimed my tips weekly and this continued for 2 years. In June I received a letter stating I falsely reported wages and was over paid like 20,000 $$$.

I called my employer and she stated she reported 10% of my sales during this time to the state. Long story short, our reporting was different. I claimed what I made.

Should I be responsible for this huge over payment.

Comments for Completly frustrated! Twenty Thousand Dollar Overpayment Because My Employer Reported I Earned More

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Oct 11, 2014
A very good unemployment overpayment question
by: Chris

No, I don't think you should be held responsible for a twenty thousand dollar unemployment benefit overpayment, at least, not according to the way you're telling the story.

But, this is not just about appealing an overpayment of unemployment benefits it's an employment issue that has led to problems with "keeping" the benefits you were paid and that would lead me to looking into whether the employer properly reported your tips as wages and whether there is a potential argument against the overpayment being allowed to stand.

To hear you tell it, she couldn't of known what your tips actually were if she "estimated" based on the total of your tickets.

It seems a little strange that an employer would be required to report a guesstimate of 10 percent of your total tickets as wages that fall under the category of tips, unless she/he actually is required to maintain records that prove you received at minimum, 10 of total sales in tips.

What state is this happening in? Because wage and hour laws also vary by state.

Without knowing what state this is happening in, all I know to explore for an answer and a possible argument for the overpayment appeal hearing is the minimum federal protections of the FLSA.

Which is where I think you should begin.

I'm also moving your question to employment issues because that is where problems with unemployment first come up, but no one notices soon enough to do what they have to on a just in case basis.

Sounds to me like the federal government is not letting up in the least on reclaiming as many benefits as possible by asserting they were improperly paid ..

But here's the thing .. frustration won't do much good, but preparation and then explaining to the government at an appeal hearing is how a whole lot of long term recipients can prove them wrong, one individual case at a time.


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