You never thought it would happen to you. You worked hard. You did everything and anything required of you, went above and beyond for your employer, and yet, here you are, pink slip in hand.
Tip: Grab my FREE Close the Gap Worksheet to help you determine how to close the gap between your income and expenses in the meantime. Find it HERE.
So You Lost Your Job, Now What?
It’s likely the first thought that came to mind was something along the line of “how will we make this work financially.” If you are the sole breadwinner in your home, especially, then you might even be wondering how to make your house payment, car payment, and, at the same time keep your family fed.
While I can’t fix your finances for you, I can give you some tips as to what to do next.
Start the Job Hunt Immediately
Unless you are able to make it financially for many months, it’s imperative that you start the job search immediately. The average turn-around time after an employer has received your application is between two and four weeks and can be longer for jobs that require specific qualifications, background checks, or additional training ahead of time.
Even though it might be tempting to take a little time off from work, don’t wait to start applying.
Clean Up Social Media
I cannot stress enough how important it is to clean up your social media if you are planning on applying for new jobs. Employers DO check social media to see if they can find you and your social media account can doom that job application if you aren’t careful. Make sure to delete any references to your unhappiness with your current employer, watch your language, and make sure that there aren’t any inappropriate pictures lurking out there. If your account is beyond the point of cleaning up, it might be time to put it on hiatus until you land that new job.
Answer Every Advertisement
If you are looking for a job in a certain field, don’t hesitate to apply for any and all openings in that field. In fact, the quicker you do so, the more likely you are to be noticed. Fill out each application thoroughly, and make sure to read the instructions carefully so as not to be disqualified.
A few other key things that should always accompany your application include:
Cover Letter
Do not submit an application without attaching a cover letter. It’s your introduction to your potential new employer, above and beyond the form application, and you want to make a great first impression. Need help writing one? Don’t miss this article!
Updated Resume
Sure, you just added all of that information to the long application you filled out, but that doesn’t mean you should leave out your resume. It’s a good sign to an employer that you will go the extra distance to get the job done when they see a well-written resume. Not to mention, it shows them a bit of your writing style, so make certain you keep it clean.
Letters of Reference
If possible, ask for a letter of reference from each of the three recent positions you’ve had. If you’ve only worked in one position, then I recommend finding a couple of people who can speak to what you are capable of, personally and professionally. Your boss, a co-worker, or a teacher are all great choices. Make copies of the originals and attach them to each application you send. It might seem like an extra hassle but will set you apart from the other applicants (if the references are good, of course).
Evaluate Your Finances
Now is the perfect time to evaluate your financial situation and determine what adjustments need to be made in order to make ends meet during this period of unemployment.
Cut Expenses
First and foremost, cutting expenses is critical. Determine what you have in your budget that you can do without.
Cable/TV
If you aren’t in a contract, cut the cable or television subscriptions immediately. When you get back to full-time employment, you can always call and get it back.
Eating Out
The cost of eating out, with your family or with friends, can add up quickly and should be the first to go when money even looks like it will get tight. You’ve lost your job, so those around you will understand that sacrifices have to be made because money is tight. We’ve all been there, so be honest and save that eating-out budget for things that will matter more, like the mortgage payment.
Clothing Purchases
Unless you need a new outfit for an interview (I’m talking NEED, not WANT), then you should put all new clothing purchases on hold for the time being. In fact, it might be time to go through that closet and determine what you can sell. Shoes, purses, hats, and even barely used clothing will often fetch a little quick cash.
Vacations
Have a vacation in the near future? Unless the money is set aside for the entire thing, it might be a good idea to reconsider how it will affect your budget long term. What if you are out of a job for six months? Will you regret that vacation when you don’t have enough money to pay the electric bill five months down the road?
Of course, the decision is entirely yours.
Car Insurance
No, I am not suggesting that you drive a car without insurance. What I am suggesting is if you currently have an extra car on car insurance, it might be worth the small savings to park it and keep from paying that additional amount each month. I know for us, we have an extra (mostly beat up) car that we only use for the four-wheel-drive capability in the wintertime. It would be a decent saving to take it off the insurance for a period of time to keep money from being tight.
Take on a Side Hustle
Taking on a side job can be effective in padding the budget until you are able to return to full-time work. Mowing lawns, shoveling driveways, providing stand-in daycare services, or whatever else comes to mind, might be a great way to help pay that car payment.
What I don’t recommend is taking on a side hustle that requires you to put money into it ahead of time, with little to no immediate return. We’ve all been there, and those “get rich quick” schemes rarely turn out that way overnight. Stick with jobs you know you can make immediate cash from.
Savings
If you’ve been careful with your budget up until this point and have carefully followed the steps to put three to six months of income aside in the case of an emergency, then this is a good point to tap into that resource. I still highly suggest using it as a last resort, after you’ve made adjustments to your expenses and attempted to bring in a supplementary income. The last thing you want to do is spend all of that hard-earned (and saved) money on unnecessary expenses.
Don’t Beat Yourself Up Over It
Finally, it’s important that you don’t spend this time beating yourself up over losing your job. Whether you were at fault or not, it’s important to reflect on the things you could have done differently, determine how that will happen in the future, and then move past it to a brighter tomorrow.
Tip: Grab my FREE Close the Gap Worksheet to help you determine how to close the gap between your income and expenses in the meantime. Find it HERE.
