Whether you need a stub for taxes, to claim benefits of some sort, or simply for record-keeping, learning how to create a paystub if you’re unemployed is crucial.
Paystubs are vital to accurate record keeping. They are also often necessary for providing legal proof of income, unemployment, and more.
Read on below, discover exactly how and why to create a paystub while you’re unemployed.
What is a Paystub?
A paystub is an official record of your earnings and proof of your legal and gainful employment. They also keep track and help you prove, later on, vital records like how much state or federal taxes were withheld from each of your paychecks.
Other critical information found on paystubs includes hours worked, deductions for insurance or savings, as well as bonuses and overall YTD gross and total earnings. In some cases, stubs also include other additional wages and/or fees diverted from your earnings, such as 401K or retirement funds.
In the past, the only way to get a hard copy of an official paystub was through an employer. Today, in addition to paper stubs, electronic paystubs are growing in popularity. In reality, creating a paystub has never been simpler.
How to Create a Paystub if you’re Unemployed
Creating a paystub isn’t as hard as it used to be. In fact, it’s even easier than ever, thanks to the paystub generator.
Follow these four easy steps to create paystubs while you’re unemployed:
1. Gather Your Documents
Depending on how long you’ve been unemployed, what your job was beforehand, whether or not you draw income from something like rental properties or music royalties, and much more, the documents needed for creating a proper paystub vary from person to person.
Keep in mind that money from side-jobs and small gigs that you’ve completed, even if you didn’t pay taxes on the income, may also be reflected on your paystub.
Even more, any documents pertaining to tax payments, income deductions, or other money withheld from you for other reasons, also need adding to your paystubs.
2. Prepare Your Unemployment Information
Unemployment benefits and paperwork vary widely from state to state. To create a paystub if you’re unemployed, you’ll need to have a look over all of your official unemployment records (if you have any).
If you have checks, or direct deposit records, from the state, an ex-employer, or even an insurance company that is paying (or was paying) you while you’re unemployed, this information must be reflected on any paystub you create.
3. Utilize a Paystub Generator
Using a tool like the paystub generator is one of the safest and most affordable solutions for creating paystubs while you’re unemployed.
Using the startup pay stub generator is quick and easy once you have all of your documents gathered and information ready to input.
Simply proceed to the generator and accurately fill in all of the requested information to the best of your ability.
Once you enter the correct information into the paystub generator, your new paystub is ready practically instantly. The whole process takes approximately 2 minutes to create a paystub.
4. Double-Check Your Paystub
When you’re finished creating a paystub for yourself, double-check it for accuracy. Also, make sure that you’ve entered all proper information required for filing taxes and such.
Things most significant areas to double-check on your final stub include:
- FED TAX (Federal income taxes withheld)
- STATE TX (State income taxes withheld)
- MEDICARE (Federal medicare withheld)
- LIFE (Life insurance deductions)
- GROSS (Total earnings prior to deductions)
Once generated, and filed with the IRS, presented to a landlord, financial institute, or otherwise, there is no altering the data. Further, the final paystub should accurately represent your earnings and deductions, intentionally altering your paystubs is illegal.
Why Do I Need a Paystub if I’m Unemployed?
There is no law requiring individuals to have paystubs. However, they are a real necessity that can not be avoided without a major headache, even for the unemployed.
In normal daily life, whether it’s for renting an apartment, having the utilities turned on, opening a bank account, buying a car, or even applying for a payday loan, you need stubs.
Believe it or not, even if you are unemployed, a paystub is required for various functions such as applying for government assistance (or from groups like local non-profits and church organizations).
If you plan on applying for any of the below-listed items, you need a paystub:
Accident Compensation
If you’re unemployed, there is a good chance that it’s due to an unfortunate accident. Whether the accident occurred at work, on the way to or from work, or elsewhere, you may be entitled to accident compensation. That said, the compensation could come from an insurance company, the government, or the employer you worked for when the accident happened.
Regardless of how or where your accident happened, there is a high likelihood you’ll need an unemployment paystub for the record. In this case, the main point is to document the income you were earning before the accident and how much you would otherwise still be earning.
Filing Taxes
There are only a few things certain in this life, and the fact that you will be filing taxes is one of them. Especially if you are recently unemployed, filing taxes may require a ton of paperwork including paystubs.
The main point of producing paystubs while filing taxes is to ensure that the IRS (or comparable government entity where you live) has proof of not only your overall earnings (or lack thereof) but also of any benefits or debts you had throughout the year as well.
In the case that you worked part of the year, and are now unemployed, paystubs serve as concrete evidence as to your current income.
Rent Assistance
Sometimes we find ourselves in unpredictable situations in life, such as when accidents put us out of work. In these cases, more often than not, we need some sort of assistance. Many times, it’s rent that we need assistance on until we get back onto our feet (especially if we have kids to take care of).
Whether it’s the landlord, a government assistance program, a charitable organization, or even tax forms, some sort of proof of income and expenses are required to receive rent assistance. Paystubs are the most common form of said proof.
