Minnesota Unemployment Benefits in 2026: Up to $914/Week for 26 Weeks, Partial UI Rules, Taxes, and What Else Is Available

Minnesota’s unemployment insurance program — managed by the Department of Employment and Economic Development (DEED) — increased its maximum weekly benefit to $914 in 2026, up from $857 in 2025. Minnesota sets its maximum at 50% of the statewide average weekly wage, adjusted annually. The state’s strong labor market and high average wages push it consistently into the top tier for UI benefits nationally. See how Minnesota compares at SavingToInvest’s unemployment benefits by state guide.

2026 Benefit Amounts and Duration

Minnesota’s maximum weekly benefit is $914 for 2026. The minimum is $29 (a very low floor). Benefits last up to 26 weeks.

Your Weekly Benefit Amount is calculated at approximately 50% of your average weekly wage during the base period, subject to the $914 cap. The base period is the first four of the last five completed calendar quarters before filing.

Things can change — I’ll update this page when the 2027 rate is announced. Subscribe here to get notified.

Who Qualifies

To receive Minnesota UI benefits, you must:

• Have earned wages in covered employment during the base period
• Have wages in your highest quarter of at least $1,000
• Have total base period wages of at least $1,000 plus an additional 5.3% of your high-quarter wages times 8 (complex formula — DEED calculates this automatically)
• Have lost your job through no fault of your own (layoff, reduction in force, business closure)
• Be physically able and available for suitable work, and actively seeking employment

Minnesota requires claimants to contact at least three employers per week and document those contacts. Register with Minnesota’s job bank at mn.gov/deed/job-seekers. Certify weekly through the DEED online portal or by phone.

Workers fired for misconduct or who quit without good cause are generally ineligible. Minnesota recognizes good cause for domestic abuse, medical conditions certified by a physician, and changes to material employment terms.

Partial Unemployment for Part-Time Workers and Reduced Hours

Minnesota’s partial UI formula: you can earn up to 55% of your WBA per week without any benefit reduction. Earnings above that threshold are deducted dollar-for-dollar.

For example, if your WBA is $800 (55% = $440) and you earn $500:

• Disregard: $440
• Deductible earnings: $500 − $440 = $60
• Adjusted WBA: $800 − $60 = $740

This is one of the more generous partial-work formulas in the country — you can take on significant part-time work while still collecting the bulk of your benefit. Report all gross earnings when certifying each week.

Tax Implications of Minnesota Unemployment Benefits

Minnesota taxes unemployment compensation as ordinary income at graduated state rates from 5.35% to 9.85% in 2026. Most UI recipients will pay 6.8%–7.85% on their benefits. At $914/week for 26 weeks, the top marginal state tax could reach roughly $1,200–$2,000 over a full benefit period, depending on total income.

At the federal level, UI is taxable as ordinary income. You’ll receive Form 1099-G from DEED by January 31. You can elect federal and state withholding when filing your claim or any time through the DEED online portal. Withholding is strongly recommended given Minnesota’s higher tax rates.

How to File

File your claim at uimn.org or call 651-296-3644 (Twin Cities) or 877-898-9090 (Greater Minnesota). You’ll need your Social Security number, work history for the past 18 months, and bank account details for direct deposit.

There is a one-week waiting period before benefits start. After approval, certify every two weeks through the UIMN portal — report all earnings and employer contacts.

If your claim is denied, you have 20 days from the mailing date to file an appeal with the ULP (Unemployment Law Judge) office.

Other Benefits Available to Unemployed Minnesota Workers

Medical Assistance (Medicaid): Minnesota expanded Medicaid in 2014. Adults earning up to 138% of the federal poverty level qualify for free comprehensive coverage through Medical Assistance. Apply at mnbenefits.mn.gov.

MinnesotaCare: For adults who earn too much for Medicaid but can’t afford private insurance, MinnesotaCare offers low-cost coverage on a sliding scale. Apply through MNsure at mn.gov/mnsure.

SNAP (Food Support): Minnesota’s Food Support program provides monthly EBT benefits. Apply at mnbenefits.mn.gov or your county human services office.

Energy Assistance Program (EAP): Minnesota’s EAP helps with heating costs through LIHEAP funding. Apply in the fall for heating season. Contact your local community action agency or visit mn.gov/commerce for a provider list.

WorkForce Center Offices: Minnesota’s WorkForce Centers provide free employment services including job placement, skills training, resume help, and access to WIOA training grants. Find your nearest location at mn.gov/deed.

What to Watch in 2026 and Beyond

Minnesota’s benefit maximum adjusts annually — typically announced in mid-to-late 2026 for the 2027 benefit year. Additionally, Minnesota passed significant UI trust fund legislation in recent sessions; the system is well-funded, which supports sustained benefit levels. I’ll update this page when the 2027 maximum is announced.