The calendar says it is Summertime, you want to plan the beach vacation and the headlines are about layoffs.
Job security is a never-ending soap opera.
Rather than pretending that it will not happen to you, do a layoff checkoff and you can know how the financial implications of losing a job will impact you.
2024 Current Situation: Layoffs Everywhere!
First, they were whispers; now, they are daily headlines. Layoffs are happening – check it out here! (https://x.com/dailyjobcuts).
Why is this happening?
“They” say it’s because The Fed won’t cut interest rates, and inflation is rising.
Major retailers, such as Amazon, Target, Walmart, and Walgreens, are lowering prices. But how does this impact you?
The Financial Fallout of Job Loss
Losing a job impacts your finances. What should you do if a layoff happens to you?
- Emergency Savings: Talking about this after you get laid off is a lack of preparation. However, if you haven’t already, start building an emergency fund. Aim to have a minimum of six months’ worth of living expenses saved. This will provide a cushion while you search for a new opportunity. Action – Start this Today
- Health Insurance: Losing your job often means losing your health insurance. Look into COBRA coverage or explore options on the health insurance marketplace to avoid gaps in coverage.
- Unemployment Benefits: Apply for unemployment benefits as soon as possible. These benefits can help cover some of your living expenses while you search for new employment.
- Budget Adjustment: Immediately review and adjust your budget. Identify non-essential expenses you can cut back on to stretch your savings. Need help adjusting your budget? Schedule an appointment with us today to get our Lifestyle Inflation Checkup.
I Got Laid Off – How Do I Find a New Job?
Filling out job applications on the internet is a lousy way to find a job. Connections and connectivity are a better approach. These activities should be an ongoing part of your career.
- Build and Maintain Your Network: Networking is crucial. Stay connected with former colleagues and industry contacts. Building a strong professional network can help you find new opportunities more quickly. Using LinkedIn is required in today’s electronic world.
- Continuous Learning: Keep your skills sharp and relevant. Consider taking courses or earning certifications in your field. This can make you more attractive to potential employers and open new opportunities.
- Negotiation Skills: Be prepared to negotiate severance packages and new job offers. Understanding your worth and confidently negotiating can lead to better financial outcomes.
- Side Hustles and Passive Income: Explore side hustles or passive income streams. This not only provides additional financial security but also gives you more control over your financial future. We can help you identify potential side income opportunities. Contact us to learn more.
Losing a Job Sucks, Being Unprepared Sucks Worse
The idea of losing a job is daunting. But by focusing on the financial aspects and being prepared and proactive, you can navigate this challenge more effectively. Backup plans aren’t just for the paranoid; they’re for the smart and prepared.
If you are fretting about layoffs, prepare financially, build strong networks, and stay resilient. Being financially prepared isn’t just about weathering the storm—it’s about emerging stronger on the other side.
Schedule a 30-minute phone consultation about Five Steps to Financial Readiness
After all, what could go wrong when you’re financially prepared?
