Does unemployment form new jersey count as earned income while living in different state

[NicoleU]

Unemployment benefits are not considered earned income.

However, the IRS considers unemployment compensation to be taxable income—which you must report on your federal tax return. Some states also count unemployment benefits as taxable income.

In regards to New Jersey, the state does not tax unemployment benefits.

Please see this NJ link for more information: http://lwd.dol.state.nj.us/labor/ui/claim/fedtax.html