Losing your job under unexpected circumstances can be a major blow to your morale in addition to being a scary financial burden. If you have a family to support, a mortgage to pay, and car payments, thinking about not being able to make your payments is enough to make a person want to faint.
Before you let the panic set in, however, slow down. Breathe. Instead of letting your worries and problems spill over you, allow yourself to have a logical point of view and think about solutions rather than obstacles. This productive frame of mind is much more beneficial in finding a solution to your situation.
Take a look at some of these things you can do if you find yourself suddenly laid off and have financial obligations to fulfill.
Depend on Your Credit Card
During a time of unemployment, a credit card is useful to be able to spread out your remaining money. Rather than spending it all as you go, live modestly, and put your expenses onto your credit card. This way you can pay the minimum payment each month. Yes, interest will add up, but you can pay that off when you have a job again. Use the credit card with the lowest interest rate.
The main thing you need to remember is making a priority to pay it off aggressively as soon as you have money coming in from a new job.
Apply For Unemployment
Check your state requirements to see if you qualify for unemployment benefits. Usually, this is a small amount based on your prior income but will get you by. You will have to pay taxes on any benefits you receive so make sure you are prepared for that at tax time.
Take Out a Loan
Consider taking out a loan from a bank to get you through. Make sure that it is low interest. If this isn’t an option, consider asking a family member.
Usually friends and family are open to helping you in a time of need as long as you can give them a realistic projection of how long it will take you to pay them back. Consider filling out a commitment calendar together to map out a plan. This way everyone feels more comfortable.
Find Odd Jobs
Your pride may be pulling you back from looking for humble odd jobs to just put food on the table But in a time of being unemployed and having your family and expenses depend on you, unfortunately, you have to put your pride aside.
Depending on your line of work look for little projects such as construction, consulting, or event work.
Alternatively, a part-time job in a restaurant or bar which brings home cash tips every night may not be something you’ve ever done, but it will get you through.