There is a high likelihood that, just like me, you know of someone who recently lost their job, and the adjustment is harder than ever imagined. Unless one had a large income and managed their money well after losing their job, survival is difficult. Just think about it, you get used to a constant cash flow into your account then suddenly, that money tap can’t even cough enough money.
If you are lucky, you may get a job soon after but, this isn’t always the case. How do you survive unemployment or financial loss because of poor investment or market trends?
- Don’t be too hard on yourself
Even though you were the best Slip and Fall lawyer, be kind to yourself. This may sound like the last thing you may want anyone telling you but, you need some time to figure out your life and the next steps you’ll take. You will need some weeks – not just for self-discovery but for absorbing the shock. The damage is done, don’t blame yourself. The time off lets you process everything and you may realize that there is something else you can do instead of rushing back into the workforce.
Relax, read, sleep, visit family, check on friends and if you can afford it, travel a bit. (Traveling sounds like an anti-frugal move but it will help in clearing your mind). A positive spin may help in changing your perspective on life.
- Take advantage of your health insurance
While you still have it, take advantage of the insurance cover. No, you don’t have to feel unwell. Just take this as a way of taking care for yourself. Visit the doctor and get a full physical, go to the dentist’s, explore restorative meditation and take on any form of therapy that will help you de-stress.
As part of taking care of yourself, go to the gym, eat well and cleanse your system. Your physical resilience is important for your emotional and your mental health: not self-pity.
- Your job status shouldn’t define you
It is easy to feel inadequate and to consider yourself a failure for losing the job. However, when you do this, you even lower your chances of getting back on the horse. Take unemployment as your opportunity to grow and to be better through self-awareness. You can use unemployment as a way to reevaluate your priorities.
- Determine how much you get as redundancy pay
If you are getting a redundancy pay, you should consider the whole amount plus the percent that goes to the tax man. Without a secondary source of income means living under tight a budget. Knowing how much you’ll get will guide you in creating your budget.
- Readjust your spending
If you are servicing a mortgage, then you will have to determine how much you can stretch your savings as you look for another opportunity. You may want to talk to your lender and ask for a switch to interest-only repayments for some time. This helps in cutting down monthly expenses.
You may also want to change your energy provider while suspending premium payments on mobile, broadband and television packages.
- Can you make money from your existing assets?
If you have two cars, extra furniture, a holiday home or extra electronics, sell them off. The money will help see you through the tougher months. Your life doesn’t have to change drastically. You may also want to rent out the spare room. After losing your job, every cent counts.
- Care about your child’s emotion and education
Talk to the school in confidence and don’t worry your child about the possibility of not sitting their exams. Make worthy sacrifices for your child.