Using a stable pseudospectral multi-domain method we investigate the dynamics of localized wavefields in the extended derivative nonlinear Schrodinger equation, with particular emphasis on the critical mass and structure of the initial conditions that promote wave collapse. The results are found to correspond well with theoretical observations based on a Lagrangian approach and through comparison with solutions of the critical nonlinear Schrodinger equation. Inclusion of high-order nonlinear dissipation due to the self-induced Raman effect, leading to the Raman-extended derivative nonlinear Schrodinger equation, is found to inhibit finite-time collapse in certain cases.