What may have started out as a normal day for you may have turned devastating when your boss informed you that he or she was letting you go from your job. You may have felt shocked and unprepared for such an announcement and wondered what you did wrong. In the end, it may have been nothing to do with your job performance but simply issues with the company itself that led to your layoff.

Now, you know that you cannot meet your household needs without an income, but you also do not know how long it will take to get a new job. As a result, you may need to take stock of your financial affairs and determine what actions you could take to keep money issues at bay for as long as possible.

Preparation tips

The exact actions that may help you face this financial setback will depend on your specific circumstances. Still, you may find it useful to consider these following suggestions:

  • Create a budget: Your previous income may have allowed you to live comfortably enough that you did not have to keep a tight budget, but now, you likely need to keep an eye on all incoming and outgoing funds to ensure you do not overspend.
  • Address your debt: If possible, you may want to handle any high-interest debt balances to keep from accruing significant fees while also working with a limited income.
  • Supplement your income: Have old clothes or other items just lying around your home? Consider having a yard sale or utilizing online auction sites in efforts to make a few extra dollars.
  • Assess your emergency fund: Hopefully, you will have stocked away savings that could help for at least a few months.

Unfortunately, job loss can cause a number of financial issues, and even if you take these steps or others to help stay on top of your financial affairs, you may find yourself struggling to make ends meet more quickly than anticipated, especially if your job search does not go well.

Seeking help

In the event that your job loss resulted in major financial problems, such as high credit card balances or missed mortgage payments, putting your home at risk, you may want to consider taking major steps to address your situation. Gaining information on filing for bankruptcy may give you a better idea as to whether this option could suit your predicament. Because each person’s situation is different, you may want to discuss this option and your concerns with a South Carolina bankruptcy attorney.