Money Management For Your Career Transition
One of the important matters you will need to deal with is money management.
So let's get that out of the way so you can move on to exploring new careers. You will feel better just knowing that you have accomplished something positive!
You may just need to tweak your previous method of money management, depending on how diligent you were before losing your job. If you have been organized it will be easier. If you weren't, don't worry - now is the time to change. In fact, this entire website is devoted to change - so get ready!
SOME IMPORTANT STEPS TO FOLLOW:
First and foremost is your top money management priority - Filing for unemployment. Find out the requirements for your state if you're not sure. Normally the state's official government website will be the place to start. You may be able to file online. Be sure to file right away - it may take time for your case to be reviewed and to get your first payment. See the tab for unemployment for more discussion on this subject.
And the next most important tip: CUT EXPENSES! Now is not the time for waste. All extras have to go for the time being - remember, this is temporary. But for now you don't know how long the "temporary" will be. Try not to get discouraged at this point. You will find it easy to cut some expenses just because you're not working: gas money, lunches, new work clothes, and daycare if that applies to you. But try to find little things that cost little or nothing to keep your spirits up - taking your kids or grandkids to the park, going for walks, etc.
Take stock of your current assets. Balance your checkbook. Do you have money in a savings account? Draw money out of a retirement account as a last resort only - the penalties aren't worth it. Plus you need that money for what it was intended for. Collect all loose change around the house - it adds up! And more quickly than you think.
Make a list of bills that must be paid every month. This is necessary for your financial picture but not always easy - face the music and get it over with. If you have credit card debt - try transferring the balance to a lower interest card. Or call your credit card company and try to negotiate a lower interest rate. Don't tell them you're out of work - tell them you have an offer in the mail for a lower interest rate card. Play their game! (They don't play fair either). Continue to work at paying down the balance, but you might need to lower your payments to just a little more than the minimum during your job transition. It's okay - this is only temporary! (Remember, positive attitude).
If you've taken all these steps, you have laid the foundation for good money management! Once you have the basics covered, continue to monitor your finances during your career transition.
And you'll be fine - I promise - and ready to move on towards your new career goals!
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