What Minnesota Unemployment Covers and Who Pays for It

Minnesota unemployment insurance is funded by employer payroll taxes, not by the state general fund or federal income tax. When you lose a job through no fault of your own, you can receive weekly payments from this fund while you search for work. The program is run by the Minnesota Department of Employment and Economic Development (DEED), which processes claims, determines who receives benefits, and handles disputes.

The amount you receive each week depends on your earnings during a specific 12-month period called the base period. Minnesota uses your earnings from the first four of the five calendar quarters before you file your claim. If you earned $15,000 in that base period, your weekly benefit will be lower than someone who earned $35,000. The state sets a maximum weekly benefit amount, which changes each year based on statewide wage averages.

Benefits typically last up to 26 weeks in a standard claim year, though this can extend during periods of high unemployment when federal extensions become available. You must actively search for work while receiving benefits, and you must report your job search efforts when DEED asks you to do so.

Key Takeaways

  • You must have lost your job through no fault of your own — quitting, being fired for misconduct, or leaving due to a personal choice disqualifies you.
  • Your weekly benefit amount is based on your earnings during the base period (the first four of the five calendar quarters before you file), with a state-set maximum that changes yearly.
  • You can receive benefits for up to 26 weeks in a standard year, and you must actively search for work and report your job search when asked.
  • You file your claim online through DEED's website or by phone, and the state has 14 days to make an initial information.
  • If your employer contests your claim or DEED denies it, you have the right to a hearing before an administrative law judge.

Reasons You May Not Receive Benefits

Minnesota law disqualifies you from benefits if you left your job voluntarily without what the state considers good cause. Good cause means a reason connected to your work — unsafe conditions, wage theft, a substantial change in job duties, or harassment. Personal reasons like moving closer to family, going back to school, or caring for a relative do not count as good cause, even if they were important to you.

You are also disqualified if you were fired for misconduct. Misconduct means willful or negligent disregard of your employer's reasonable instructions or standards. Being late once or making a single mistake usually does not may have access to as misconduct. Repeated violations, theft, violence, or showing up intoxicated do. If you were fired for poor performance despite trying your best, that is not misconduct.

Other disqualifications include refusing a suitable job offer without good reason, failing to report for work as scheduled, or providing false information on your claim. If you are receiving workers' compensation for a work injury, you cannot also receive unemployment benefits for the same period.

How to File Your Claim

You file your claim through the Minnesota DEED website at uimn.org or by calling 1-888-337-8846. You will need your Social Security number, driver's license or state ID number, and information about your most recent employer — their name, address, phone number, and the dates you worked there. Have your final pay stub available if you have one.

The online system asks you to describe why you left your job or were let go. Be factual and specific. If you quit, explain what happened. If you were fired, describe what led to it. DEED uses your answer to determine whether you meet the disqualification rules. If your answer is vague or incomplete, DEED may contact you for more details.

After you file, DEED sends a notice to your employer asking them to confirm your employment dates and provide their account of why you left. Your employer has about 10 days to respond. DEED then reviews both your account and theirs and makes an initial information, which it mails to you. This usually takes 2 to 3 weeks, though it can take longer if your employer contests the claim or if DEED needs more information from you.

What Happens If Your Claim Is Denied

If DEED denies your claim, the denial notice explains the reason and tells you how to request a hearing. You have 30 days from the date of the notice to file a request. You can request a hearing by mail, phone, or online through the DEED website.

At the hearing, an administrative law judge listens to your account and your employer's account, reviews documents, and decides whether you meet the rules. You can represent yourself or bring a lawyer or representative. The hearing is usually held by phone or video conference. The judge's decision is mailed to you within a few weeks.

If you disagree with the judge's decision, you can appeal to the Minnesota Unemployment Insurance Appeals Board within 30 days. This is a second review by a different group of decision-makers. If you lose at the Appeals Board, you can file a lawsuit in Minnesota district court, though this is rare and usually requires a lawyer.

Work Requirements and Reporting Your Job Search

While receiving benefits, you must actively search for work suitable to your skills and experience. You do not have to take a job that pays less than your previous job, but you cannot be too selective. If DEED asks you to report your job search, you must provide details about the employers you contacted, the dates you contacted them, and the results.

You must also report any income you earn while receiving benefits. If you work part-time or do gig work, your weekly benefit is reduced by a portion of what you earn. Minnesota allows you to keep a small amount of weekly earnings without losing benefits — the exact amount changes yearly but is typically around $25 to $30 per week.

If you refuse a suitable job offer without good reason, or if you fail to search for work as required, DEED can disqualify you from further benefits. If you misreport your job search or earnings, you may be required to repay benefits you received.

Special Situations: Partial Unemployment and Seasonal Work

If you are still employed but your hours or pay have been reduced, you may be able to receive partial unemployment benefits. You file the same claim as anyone else, but you report your reduced earnings each week. Your weekly benefit is calculated based on your base period earnings, then reduced by a portion of what you currently earn.

If you work in a seasonal industry — construction, agriculture, tourism — you may have periods when work is not available. You can file a new claim for each season if you are laid off due to lack of work. Each claim uses a different base period, so your benefit amount may vary from season to season.

If you are self-employed or an independent contractor, you generally do not pay into the unemployment insurance system and cannot receive benefits. There are narrow exceptions for certain agricultural workers and some other groups, but these are rare.

How Much You Receive and When Payments Arrive

Your weekly benefit amount is calculated from your base period earnings. Minnesota divides your total base period earnings by 52 to find your average weekly wage, then pays you a percentage of that amount — typically around 50 percent, though the exact formula varies slightly. The state sets a maximum weekly benefit amount each year; for 2024, this maximum is $863 per week, but this changes annually.

If you earned very little during your base period, your weekly benefit may be quite small — sometimes as low as $30 to $50 per week. If you earned a high salary, your benefit will be capped at the state maximum rather than reflecting your full average weekly wage.

Payments are deposited into your bank account by direct deposit or loaded onto a debit card, usually within 7 to 10 days after DEED approves your claim. You must file a weekly claim form to continue receiving benefits — you do this online or by phone each week, confirming that you searched for work and reporting any earnings.

Frequently Asked Questions

Can I receive unemployment if I quit my job?

Only if you quit for good cause connected to your work. Good cause means something about the job itself — unsafe conditions, wage theft, a substantial change in duties, or harassment. Quitting to move, go to school, or care for a family member does not count, even if it was necessary for you. You must show that you tried to resolve the problem with your employer before quitting.

What if I was fired but I think it was unfair?

Unfair and disqualifying are different things. You can be fired unfairly and still receive benefits, as long as you were not fired for misconduct. Misconduct means willful or negligent disregard of your employer's reasonable rules. If you were fired for poor performance despite trying, or for a single mistake, that is not misconduct. Request a hearing if DEED denies your claim, and explain what happened.

Do I have to take any job offered to me?

No. You can turn down a job if it is not suitable to your skills, experience, or physical ability. You cannot be forced to take a job that pays significantly less than your previous work, though the exact threshold varies. If DEED thinks you refused a suitable job without good reason, they can disqualify you. If this happens, you can request a hearing to explain why the job was not suitable.

What if my employer says I quit when I was actually laid off?

This disagreement is resolved at a hearing. Bring any documents you have — your final pay stub, emails, text messages, or a written separation agreement. The judge listens to both accounts and decides based on the evidence. If you have a witness who can confirm what happened, bring them or ask them to submit a written statement.

Can I receive unemployment while I am in school or training?

You can receive benefits while searching for work, even if you are also in school. However, if you are in a full-time training program that prevents you from working, you may not be considered actively searching for work. Some federal and state training programs allow you to receive benefits while enrolled, but you must check with DEED about your specific situation.