In view of the rapidly deteriorating economy, a brief primer on unemployment benefits seems timely. Unemployment insurance provides partial wage replacement to unemployed workers while they look for new work. Unemployment insurance is administered by each of the fifty states, but is governed by federal guidelines. Generally, benefits are based on a percentage of an individual’s earnings over a recent 52-week period, up to a maximum amount. In most states, unemployment insurance can be collected for up to 26 weeks. However, the federal government recently extended that amount due to the current economic conditions. Unemployment insurance is subject to federal income taxes. The program was created in 1935, in the middle of the Great Depression. The unemployment rate is currently at a 14-year high, and over 10 million workers are currently unemployed.