Million Dollar Journey

Questrade Democratic Pricing - 1 cent per share, $4.95 min / $9.95 max

Building Wealth through Saving and Investing

Welcome to Million Dollar Journey! If you're new here, you can learn about me and even follow my net worth updates. A great place to start reading is with the popular articles located in the right side bar. If you would like to join thousands of others and keep up with the free daily updates, you can subscribe to the RSS feed via reader or E-mail.

Dealing with Losing Your Job!

I was reading a post on Get Rich Slowly the other day about a reader who lost his job and was looking for advice. Since I have experienced unemployment for a few months in 2006, here are some tips to minimize the hit on the loss of income.

1. Apply for Employment Insurance immediately

  • This may seem obvious, but the sooner the better as it usually takes a couple of months to receive your first payment.

2. Work out a budget and prioritize your bills.

  • There are some bills that NEED to be paid (ie. rent/mortgage), it goes without saying that these need to be paid before even thinking about discretionary spending.

3. Reduce your Expenses

  • Scale back your RRSP contributions b/c you may end up in a lower tax bracket in the current year anyways.
  • If you are making “top-up” mortgage payments, reduce the payments to the minimum required.
  • Find ways to reduce your overall expenses like dining out, gasoline, groceries, cable, telephone.

4. Update your Resume and Stay Focused on the job that you want!

  • Keep focus on the new job that you want and not on what you don’t have. This will help keep your head up during rough periods.
  • Attend job fairs in the area and make a good first impression.

Links:

How Spousal RRSPs Work

RRSP Deadline and Info 

If you enjoyed this article and would like to be notified when new money related articles are posted, you can have them delivered right to your e-mail inbox or to your blog reader absolutely free.




5 Comments, Comment or Ping

  1. Good tips! I would also like to mention that people must make their minimum payment on their credit cards. It is definitely not a way to reduce their expenses! Unfortunately, too many people think it is a good way to avoid payments for a while…

  2. 3. Investoid

    Here’s an anticipatory tip - ensure you have your emergency fund fully funded. Some people say that 6 months living expenses is a good rule of thumb. I’d say that the amount should depend on your job prospects and local economy.

  3. 4. canabiz

    Be active on the job front. What i mean is if there are some jobs that don’t relate to what you study in school or what you really want but you think that you are qualified for and can get it, by all means go for it

    The longer you stay unemployed, the harder it becomes, financially, emotionally and perhaps physically. You may become depressed or doubt yourself. Take the opportunities that present themselves now, they may not be your best choice but who knows if they will open more doors later on.

  4. Good tips MDJ. I would say take any job ( by any I mean any in your field, do not start washing dishes) which could help you pay the bills. Try survey your network of professional contacts and your family and friends to determine if there is an opening somewhere. Update your resume for the job you are specifically applying to - do not send out generic resumes.

    Trackbacks

Reply to “Dealing with Losing Your Job!”

Subscribe without commenting



 
Paying Off Debts
Money and relationships
Simple Investing
Investing vs. paying off debts
Spending Green
Getting rid of your car
Saving Up
Dealing with gas price inflation
Buying A House
Using a builder’s preferred lender
Creating a Budget
Budgeting for fashionable clothes

Premium Sponsors

  • Price Canada

Recent Comments

  • tech trader: I have to say I was extremely dissatisfied with TradeFreedom. I was even an Elite member too and was...
  • Options Trader: If you are looking to diversify your Canadian dividends in a simple fashion, I would suggest...
  • Brian Poncelet, CFP: Hi Mike, Having your own disability policy is usually better than any group plan people may...
  • Canadian Capitalist: Thanks for the link. I think it is a great idea to acknowledge the referrers. I’ll do that...
  • FrugalTrader: LOL! Josh, I rarely DRIP my dividends, but when I do, they are free. You have to note though that the...
  • Four Pillars: I just noticed - congrats on passing the 3000 reader mark!
  • Josh: Frugal Trader - LIES! ;) I will call BMO Investorline right now and ask them if I can have my ETFs be...
  • FrugalTrader: Hey Mike, thanks for sending so many readers this way.