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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: California Employment Law
Satisfied Customers: 117437
Experience:  JA Mentor -Attorney Labor/employment, corporate, sports law, admiralty/maritime and civil rights law
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I am currently on State Disability. My company offered me a

Customer Question

Customer: I am currently on State Disability. My company offered me a lump sum severance package if I would submit a letter of resignation. State Disability is asking that I claim any money that I received from my employer. Am I going to loose my benefits?
JA: Thanks. Can you give me any more details about your issue?
Customer: I took a medical leave of absence from my employer in June. My boss immediately hired someone to fill my position. After 3 months my employer asked if I would be coming back, I resigned as I needed to continue on State Disability. They offered me a lump sum severance and asked me to sign an agreement that I would not sue them. i am now worried when I claim this to SDI they will discontinue my benefits. Is this possible?
JA: OK got it. Last thing — JustAnswer charges a fee (generally around $18) to post your type of question to California Employment Law Experts (you only pay if satisfied). There are a couple customers ahead of you. Are you willing to wait a bit?
Customer: Yes.
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Submitted: 1 year ago.
Category: California Employment Law
Expert:  Law Educator, Esq. replied 1 year ago.
Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.
Yes, any money received from the employer can be credited towards what you are receiving from disability, so they can adjust your benefit to account for that lump sum payment. They will not discontinue your benefit, just adjust it to credit the lump sum payment you are receiving.