We write about products and services that we use. This page may contain affiliate links for which we receive a commission.
Understand the fact that simply because you’re jobless doesn’t mean that you can’t handle your finances.
It’s a rather different and unique experience when it comes to handling your finances when you’re unemployed.
However, it’s not impossible to deal with your jobless situation if you take effective steps to manage your finances.
How To Manage Finances When You’re Unemployed
- Stick to a budget.
It’s of utmost importance that you religiously follow a budget plan during this period. First of all, make a list of your absolute necessities like say, food, house rent, etc. Next, make a list of the things you could actually avoid — like replenishing your wardrobe, eating out, going for movies, etc. Cut corners wherever possible.
- Take advantage of unemployment benefits.
Don’t forget to contact your state unemployment office as soon as you’ve lost your job. Don’t keep delaying it simply because of all the paperwork involved. Remember, you’ve got to fill out all that if you wish to receive your unemployment compensation. There’s no point not getting what’s yours after all. Moreover, please ensure that your past employer has promptly paid you for all the time that you’ve worked for him.
- Keep your creditors at bay.
In case you’ve lost your job while paying off your debt, then there are high chances that you won’t be able to get out of debt as soon as you had imagined. You should immediately contact your creditors and let them know of your unemployed condition. Many won’t be happy listening to your problem, but be persistent. Also, don’t make the mistake of relying on your credit cards during this time. Using your credit cards in this situation might easily lead you into a debt problem that could be worse than you had ever imagined.
- Make job hunting your priority.
It’s extremely important that you don’t waste time feeling bad for yourself. Understand that you’re not the only person who has ever become jobless. Instead devote all your time and energy towards finding a new job. Getting back on your feet is the best thing you could do ultimately.
- Seek help if needed.
If you’re in a really difficult situation, then please don’t shy away from seeking help. Think of this as a temporary measure and save yourself from getting into a worse situation. Get help from a family member if possible. You’ve got to swallow your pride for a while if necessary.
Keep in mind the above tips and don’t lose faith in yourself. It’s important that you believe you’ll be out of joblessness soon enough and things will work out accordingly.
Our guest contributor, Jason Holmes, is a regular writer with Debt Consolidation Care and is also a contributory writer with other financial sites. His expertise is woven around various aspects of the debt industry and with his e-books he tries to impart to people the different situations and simple solutions to get out of difficult situations.
With input from Financial Advisors, (a Tax Accountant and an Investment Manager), I share helpful tips regarding money and finances — including debt relief, insurance, budgeting, and investing for retirement. My goal is to help you save more, spend less, and invest for the future by sharing honest, tried & true budgeting tips and tools. When I'm not saving for the future and helping others save for theirs, you can find me at the corner of Good News & Fun Times as publisher of The Fun Times Guide (32 fun & helpful websites).