Cost-cutting, heavy loss, change in type of product or service. Your company can give you any reason while making you aware of your uselessness in the company. They do not need you anymore and that means you have to leave the job SUDDENLY. Yes, the employer gives compensation but that cannot help for long to manage the financial mess that is sure to come in the coming days. The search for the new job may take some time and by that time, the biggest stress is of money crisis. Rent, grocery, electricity bill, gas bill, instalments of loan, they all are same and are sure to come in the coming days too. It is necessary to work fast on an action plan and find solution to prevent the money crisis.
Table of Contents
Start working on redundancy pay
The job loss due to redundancy makes you eligible for compensation. However, this has many rules and dos and don’ts. It is better to start working on it NOW. Know about the formalities, evaluate your condition and figure out how much you qualify for. Different factors affect the compensation amount for instance – duration of service, age, salary. The money obtained from here is destined to become a big saviour in the coming days until you get the new job.
Calculate all the available amount
On any weekend make a record of the funds that are available. Savings, extra earnings and the salary of the last month of working in the company, redundancy pay, add every single source of money. At the end, you have a final amount and it is possible to know the financial limits.
Scatter the money wisely for the necessary expenses
Now it is the time to distribute the money for the important expenses. Forget not to do that wisely, for sure your priority should be the priority bills. For a while, it is good to forget about the weekend parties, eating out, shopping. You need to cut your dress according to the cloth. Every single piece of currency should be spent with utmost care.
Now find out the financial gap
After the approximate distribution of the funds in expenses, it is perhaps easy to detect the financial gaps. Recognise the aspects where you need more funds. Firstly, try to avoid the expenses that are unnecessary or can be delayed.
Once you know the points of financial scarcities, get ready to arrange funds. For that some ways can work. For instance –
- Take a Help from friends – This can be the first option. One day you helped them and now it is your turn and they should not deny. The society and relations that exist around become last minute saviours during tough times in life. Even family can be the other reliable option to look forward for some help.
- Borrow funds – If you hesitate to ask for money from others then borrowing funds is also advisable. The guaranteed loans for unemployed can help meet the ends in a better way. These loans come with guaranteed approval but for that, you need to present a guarantor or collateral. Some sort of backing or security is necessary to qualify for the loans.
The tenure is small and you can apply despite bad credit. Customisation is the obvious feature, which makes the deal affordable. Do not apply to many lenders at the same time; it affects your credit record with many credit checks. Repayment plans are flexible and instalments are not hefty.
- Unemployment benefits are also in the queue – The day you come to know about the decision of redundancy, apply for the unemployment benefits from the Government. Procedures and formalities are included in this that takes some time, it is better to start as soon as possible. The amount of government benefits is not big but at least you get a support for a certain period. Best part is, this support is regular, on a fixed date of every month funds reach to your bank account. Help from friends and family is uncertain as they may deny or you may hesitate to take help. In loans, it is necessary to pay the instalments. Government benefits demand no investment. Neither of your self-respect nor of monthly instalments.
Start your own business
This may sound weird but this advice is not to start a big scale business. Any small work from home business with minimum budget can work, after all the sole aim is to earn money. Make and sell fruit jam, create handmade products, do something using your technical knowledge. The funds for business are also available with ease through unemployed loans for start-up business. This is just a suggestion, work on it only if you are mentally prepared.
Keep working for the job search and spend the money smartly. The problem may be big but efforts for betterment bring positivity and that can help fight the situation in a better way.