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I was laid off 18-ish months ago from a GREAT job. Had about 5k saved and received about 5k in severance. Buddy and I were working on a wedding-themed startup a

I was laid off 18-ish months ago from a GREAT job. Had about 5k saved and received about 5k in severance. Buddy and I were working on a wedding-themed startup and in the final interview stages with TechStars. What I SHOULD have done is collect unemployment and worked my ass off on this wedding project. What I did INSTEAD was accept another job 3 weeks later working for a music company and blew that 10k on a car to get there. Figured the insurance and paycheck stability was worth working again. Terrible idea. Not that our wedding-startup idea would have "taken off", but I should have tried harder than I did. The moral of the story: Let the government subsidize your startup as long as you can afford to (financially and mentally).

anamax 16y ago
In the US you're legally obligated to look for suitable employment as a condition of collecting unemployment. The form even asks if you're looking for employment and if you've turned down paying-now work. Working on your startup doesn't qualify.
- allwein 16y ago
  Not true. Your individual state determines your obligations for receiving unemployment benefits. For instance, I live in Pennsylvania, and the three questions they ask are: 1. Did you work? In Pennsylvania you can receive unemployment benefits while earning some small percentage of income 2. Were you able and available to work? Meaning you weren't on vacation at the beach all week 3. Did you turn down work when suitable work was offered to you? You're obligated to take another programming job if you're a programmer already, but wouldn't get in trouble if you were offered a job as a janitor So depending on his state, he may be okay working on his startup during unemployment as long as he doesn't go looking for a real job.
- jeffclark 16y ago
  I expect anyone looking to follow the advice of an anonymous poster on a website to make sure they're following their own set of ethics and the laws that pertain to them.
- damoncali 16y ago
  Ethically, I would argue that working on a startup is every bit as useful to society as looking for a job. Perhaps even more so.
  - damoncali 16y ago
    At risk of further downvoting, let me explain. Unemployment checks are there to provide a cushion for people who are not working, but want to be soon. I fail to see the distinction between looking for a job at bigco and ramping up for your own self-employment. Both cases satisfy the spirit of the law (which is to help people get through tough periods on the way to working and generally aid society as a whole). Obviously, violating the letter of the law can get you in trouble, but in my view, the morality police can rest easy on this one.
    - anamax 16y ago
      > I fail to see the distinction between looking for a job at bigco and ramping up for your own self-employment. Applying for a job at several bigcos and smallcos can get you off unemployment much faster than a startup.
      - damoncali 16y ago
        Most of the time, I suppose. But check this out: http://www.nytimes.com/2010/08/03/us/03unemployed.html http://www.nytimes.com/2010/08/03/us/03unemployed.html People complaining after losing benefits after 99 weeks of looking for a job. As a tax payer, I feel way better about someone trying to start a business than someone sitting on the couch "looking" for a job. But I concede the point - bigco is probably more efficient for most folks.
      - gcheong 16y ago
        What does that have to do with the "ethics" of starting your own business while drawing unemployment? There is a personal cost of hopping from one crappy job to another that the unemployment system does not account for.
sr3d 16y ago
Hi Jeff, I'm also building a wedding application. I'd love to chat with you to see if we can help each other out. Alex
- jeffclark 16y ago
  Sure - my email is in my profile.

anamax 16y ago

In the US you're legally obligated to look for suitable employment as a condition of collecting unemployment. The form even asks if you're looking for employment and if you've turned down paying-now work. Working on your startup doesn't qualify.

allwein 16y ago
Not true. Your individual state determines your obligations for receiving unemployment benefits. For instance, I live in Pennsylvania, and the three questions they ask are: 1. Did you work? In Pennsylvania you can receive unemployment benefits while earning some small percentage of income 2. Were you able and available to work? Meaning you weren't on vacation at the beach all week 3. Did you turn down work when suitable work was offered to you? You're obligated to take another programming job if you're a programmer already, but wouldn't get in trouble if you were offered a job as a janitor So depending on his state, he may be okay working on his startup during unemployment as long as he doesn't go looking for a real job.
jeffclark 16y ago
I expect anyone looking to follow the advice of an anonymous poster on a website to make sure they're following their own set of ethics and the laws that pertain to them.
damoncali 16y ago
Ethically, I would argue that working on a startup is every bit as useful to society as looking for a job. Perhaps even more so.
- damoncali 16y ago
  At risk of further downvoting, let me explain. Unemployment checks are there to provide a cushion for people who are not working, but want to be soon. I fail to see the distinction between looking for a job at bigco and ramping up for your own self-employment. Both cases satisfy the spirit of the law (which is to help people get through tough periods on the way to working and generally aid society as a whole). Obviously, violating the letter of the law can get you in trouble, but in my view, the morality police can rest easy on this one.
  - anamax 16y ago
    > I fail to see the distinction between looking for a job at bigco and ramping up for your own self-employment. Applying for a job at several bigcos and smallcos can get you off unemployment much faster than a startup.
    - damoncali 16y ago
      Most of the time, I suppose. But check this out: http://www.nytimes.com/2010/08/03/us/03unemployed.html http://www.nytimes.com/2010/08/03/us/03unemployed.html People complaining after losing benefits after 99 weeks of looking for a job. As a tax payer, I feel way better about someone trying to start a business than someone sitting on the couch "looking" for a job. But I concede the point - bigco is probably more efficient for most folks.
    - gcheong 16y ago
      What does that have to do with the "ethics" of starting your own business while drawing unemployment? There is a personal cost of hopping from one crappy job to another that the unemployment system does not account for.

sr3d 16y ago

Hi Jeff, I'm also building a wedding application. I'd love to chat with you to see if we can help each other out. Alex

jeffclark 16y ago
Sure - my email is in my profile.