Job loss: 5 tips to get back on top financially and psychologically

Whether it’s the result of a layoff or a resignation, being unemployed is rarely a desirable situation.

Faced with a professional setback, it’s best to do everything in your power to reduce psychological and financial repercussions.

Because yes, it is possible to come out of these difficult times with new and better perspectives!

Here are 5 things you should do after losing your job.

1- Take some time off

A loaded work routine rarely provides the opportunity to take a step back. Even on weekends, work follows us and it’s becoming harder and harder to get away from our emails.

So this it the time to disconnect for once! The days following a job loss should be used to clear your mind and start thinking about how to get back on track.

2- Review your budget and find solutions

Some may rely on severance pay, while others must quickly turn to Employment Insurance. Regardless, you must review and reduce your expenses. This will afford you maximum room to bounce back.

N. B.: For Employment Insurance, the claim can be submitted 7 days after the end of employment. However, it may be more difficult to get approval more than 4 weeks after the interruption in earnings.

This is also the time to get in touch with your financial advisor. In the event that your emergency fund can no longer cover all your expenses, he or she will help you find the best solution to avoid inflating your line of credit and credit card balances.

For example, it may be better to borrow from your life insurance policy rather than withdraw from your retirement savings. In the event of a significant drop in income during the same year, the advisor can also review your savings strategy and adjust it to your tax situation.

No matter which solutions apply to you, the quicker you act, the more you eliminate the financial risks associated with the loss of a steady salary.

3- Create a routine

After some well-deserved time off, you have to establish a routine around a project. It may be to re-enter the job market, to launch a business, or to switch for a new career. It’s also an opportunity to finally do what you’ve been putting off for too long.

For example, you take weekday mornings to update your CV and look at job offers. For the rest of the week, it’s the time or never to repaint the basement or get back to a training regimen as you promised yourself!

It’s up to you to set the number of hours and efforts required for each activity, but following a schedule and establishing a structure is the best way to keep your mind sharp and ready for the next professional step.

4- Don’t let negative emotions get the upper hand

If you think you’ve been wrongfully fired or if you left a toxic work environment, it could be tempting to turn to social media to spill your guts and get support from friends. However, the brief satisfaction that comes from the public display of your frustrations is usually not worth it. Displaying bitterness can even have undesirable consequences in your search for a new job.

It’s much better to use your networks to make yourself stand out positively. A little clean up of your profiles may also do no harm. According to a survey of employers, no less than 93% of them admit that they do a quick scan of each candidate’s online profiles.

If the situation at your previous job was really a matter of dispute or compensation, consult the labour standards commission or seek legal advice. Otherwise, it’s better to move on and look to the future.

5- Remain realistic, but optimistic

Things can fall into place quickly, as they can take months. You must do your best to ignore what’s out of your control and focus on your plan of action.

Is the glass half-full or half-empty? Who cares!

Instead, think about how you’re going to fill it up.

Need help reviewing your finances? Get in touch with us to discuss the solutions that are available to you!