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Will unemployment know if I drive for Uber?
I was laid off from my job, so I’m currently on unemployment. However, this isn’t enough to do anything besides pay my bills. That’s why I’m thinking of driving for Uber. However, I want to keep collecting unemployment at the same time. Will the unemployment office know if I drive for Uber?
Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Collecting unemployment while driving for Uber seems like a smart way to double-dip on your earnings. However, this is a gray area. While your state unemployment office likely won’t know that you’re driving for Uber—at least a first—it will find out eventually.
When you earn money for Uber, you’re an independent contractor. While you won’t get paid like you would if you were an employee, Uber will still give you a 1099-NEC or 1099-MISC at the end of the year. If the state notices that you were collecting employment while also earning income elsewhere, the state may require you to repay the unemployment wages.
As a result, double-dipping on two incomes isn’t always the best idea.
If you decide to drive for Uber, you can save some extra cash by shopping for the lowest rates on
rideshare insurance
and other necessary coverage through the Jerry
app.Jerry is a licensed insurance broker that will collect quotes from over 50 top-rated insurers in minutes. After you find a great rate, Jerry can help you buy new insurance and cancel your old policy. Users save an average of $887 per year.
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- Gregory R.
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Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
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