Michigan unemployment benefits to increase as much as $84 a week for new claims
Michigan workers who file new unemployment claims starting April 2 will see noticeably higher benefit amounts and a longer claim period as compared to recent limits, based on a new law that is taking effect.
This effort marks the first increase in the weekly maximum benefits in over 20 years, according to Friday's announcement from the Michigan Department of Labor and Economic Opportunity. The new law also extends the number of weeks someone is eligible to request benefits on a claim from the current maximum 20 weeks to a maximum 26 weeks.
"The increases in benefits and weeks will put extra money into the pockets of thousands of Michiganders at a time when they need it the most," Jason Palmer, director of the Michigan Unemployment Insurance Agency said, citing a spinoff impact to local businesses as unemployed workers spend the benefit funds.
Gov. Gretchen Whitmer signed the bill into law in December, but the Michigan legislature did not permit immediate implementation. As a result, the earliest date the changes could take effect is April 2.
How much is the increase?
Each person's weekly benefit is calculated based on eligibility at the date of filing.
The increase pushes the maximum weekly benefit up by $84 a week from the existing $362 a week to $446 a week for the remainder of 2025. The maximum weekly benefit will then go to $530 in 2026 and $614 in 2027.
In addition, the amount for each dependent claimed in an unemployment benefits case will go from the current $6 a week to $12.66 for the remainder of 2025. The dependent benefit will be $19.33 each in 2026 and $26 each in 2027. Those receiving unemployment benefits can claim up to five dependents when they file a claim.
Those amounts do include taxes, as recipients can choose whether to take taxes out at the time of unemployment checks are issued or settle at tax time.
Further adjustments starting in 2028 will be automatic, based on the national Consumer Price Index.
What happens to claims filed in early 2025?
That being said, there are some special rules that apply to anyone who started a Michigan unemployment claim between Jan. 1 and April 2.
The state labor department explained that the Unemployment Insurance Agency will review active claims that were filed between Jan. 1 and April 2, and make retroactive determinations to see who would otherwise have been eligible for more money during that time. If someone is eligible for a retroactive increase, the Unemployment Insurance Agency will pay out that difference.
There will be no retroactive change to the number of benefit weeks that someone can file for. The new 26-week range only applies to new claims filed April 2 or later.
The changes do not apply to those who filed for and started receiving benefits during 2024, according to the new law's stipulations.
What should those receiving benefits do?
Those who are receiving unemployment benefits or applying for the first time should check their Michigan Web Account Manager (MiWAM) account regularly for updates and to make sure their address and bank account information is current.
