How Much Unemployment Will I Get in AZ?

Unemployment insurance benefits offer temporary financial assistance to individuals who have lost their jobs through no fault of their own, helping them while they seek new employment. Understanding the criteria and calculations for benefit amounts can help Arizonans navigate this support system. This article clarifies how unemployment benefits are determined in Arizona, outlining factors that influence the amount and duration of assistance.

Eligibility for Unemployment Benefits

To qualify for unemployment benefits in Arizona, individuals must satisfy criteria established by the Arizona Department of Economic Security (ADES). Unemployment must be due to no fault of the individual, typically covering situations such as layoffs, reductions in force, or business closures. Individuals who voluntarily quit their jobs without good cause or are terminated for deliberate misconduct generally do not meet this condition.

Applicants must also demonstrate a recent work history and sufficient earnings during a timeframe known as the “base period.” This period typically encompasses the first four of the last five completed calendar quarters preceding the date a claim is filed. For example, if a claim is initiated in May 2025, the base period would span from January 1 through December 31, 2024.

Arizona outlines two primary ways to meet the minimum earnings requirement. One method requires earning at least 390 times the Arizona minimum wage in the highest-paid quarter of the base period, which translates to $5,733 in 2025 based on a $14.70 hourly minimum wage. Additionally, total earnings from the other three quarters combined must equal at least half of the amount earned in that highest-paid quarter. Alternatively, an individual can qualify by earning a combined total of at least $8,000 across two quarters of the base period, with at least $7,987.50 earned in one of those quarters. Beyond these monetary requirements, claimants must be able to work, available for work, and actively seeking new employment to maintain eligibility for ongoing benefits.

Determining Your Weekly Benefit Amount

Once eligibility is established, the Arizona Department of Economic Security calculates an individual’s Weekly Benefit Amount (WBA) based on their past earnings. The WBA is derived from wages earned in the highest-paid quarter of the claimant’s base period. Arizona’s formula sets the WBA at 4% of these highest quarterly earnings.

For instance, if an individual earned $8,000 in their highest quarter during the base period, their WBA would be $320 (4% of $8,000). Higher earnings in the highest quarter result in a higher weekly benefit, up to the state’s maximum. The determined WBA remains fixed throughout the benefit period, irrespective of subsequent changes to an individual’s financial circumstances during their unemployment claim.

Arizona sets both a minimum and maximum weekly benefit amount. As of 2025, the minimum weekly benefit an eligible individual can receive is $224. The maximum weekly benefit amount is capped at $320. Even if 4% of an individual’s highest quarterly earnings exceeds $320, the benefit received will not surpass this maximum.

Maximum Duration of Benefits

The total length of time an individual can receive unemployment benefits in Arizona is determined by the state’s economic conditions and their past earnings. Under normal circumstances, the maximum duration is 24 weeks. This applies when the state’s unemployment rate is 5% or lower.

The maximum duration can extend to 26 weeks when the state unemployment rate exceeds 5%. This adjustment provides additional support during times of higher economic strain. The total amount of benefits an individual can receive in a given claim is capped at one-third of their total base period wages, or the equivalent of 24 (or 26) weeks of their WBA, whichever is lower. This links benefit duration directly to an individual’s past contributions to the unemployment insurance system.

Common Adjustments to Benefits

While a Weekly Benefit Amount (WBA) is initially determined, various factors can lead to adjustments or reductions in the actual benefit received. One common scenario involves partial employment, where an individual earns some income while still receiving benefits. Arizona allows claimants to earn up to $160.50 per week and still receive their full WBA. If weekly earnings exceed this disregard amount, the unemployment benefit will be reduced. If earnings in a given week equal or surpass the determined WBA, no unemployment benefits will be paid for that week.

Unemployment benefits are considered taxable income for federal income tax purposes. Claimants have the option to elect federal income tax withholding from their benefit payments, typically at a rate of 10% of their gross weekly benefit. State income tax withholding can also be elected, often calculated as 10% of the federal amount, effectively 1% of the gross weekly benefit.

Unemployment benefits may be subject to garnishment for outstanding obligations such as child support. Arizona law mandates that child support payments be deducted from unemployment insurance benefits, with up to 50% of the weekly benefit amount potentially withheld. Other forms of income, including severance pay, vacation pay, holiday pay, or sick pay, can also impact unemployment benefits. If these payments are received for a week and exceed the weekly benefit amount, they can delay or reduce eligibility for that specific week.