Resources for Recent Layoffs
Welcome back!
540,000 jobs were cut last month, and this month is looking to be worse. It is a scary time to be employed and unemployed right now. Strong stable companies are shedding jobs in an effort to help their bottom line. However, where does that leave the receiver of a pink slip?
Well, if you have recently received a pink slip you are not alone. I came across a statistic the other day that said 70% of Americans know someone who has been effected by the economic downturn or laid off. In looking at that stat, it is amazing to me to see how rampant this really is.
As I was searching the net for information to aid those who have been recently laid off, I came across this article on Mashable.com. They have an article that lists the best 30 websites for those who are jobless right now.
This database of websites is wonderful! It is very rare in the vast universe that is the internet, to find such a detailed and concise list. The database, has sites not only how to find a new job, but how to manage your money until you do.
Ben Parr, the author says,
“But the worst time to panic is when you are laid off and lose your main source of income. We live in a new and powerful era of communication, one where we can find support, gather news, and network without ever leaving our computers.”
I would encourage all to take a quick glance at his database. This is a wonderful resource. I hope that this helps to those of you who have recently recieved that dreaded pink slip
When You Must Look Your Best
The job market is rough right now. Wither you have a job or are looking for a job, now is the time to dress the part. It is commonly known that you should always dress above the current position that you have. These tips will help with the interview wardrobe as well. Employers look for people that are qualified and look the part.
Here are my top five tips for dressing for an office, without breaking the bank:
Know What You Need to Buy:
Take a look in your closet and see what you already own. When you are considering clothing for work purposes, make sure that it fits correctly. Do not wear clothing that is too tight or baggy. All work clothing must clean and ironed when worn. Never wear clothing that is dirty or stained.
Now that you have established what you do or do not have in your current wardrobe, you will know what you need to shop for. Everyone needs a good business suit. I would also suggest a well fitted button down shirt or two. Don’t forget that dressing the part does include shoes too. Make sure they are appropriate and are dress shoes.
The Thrift Store
When I got my first corporate job, my wardrobe did not fit the part. However, I did not want to go out and spend a ton of money on clothing right away. I did not want to spend my whole paycheck on clothing. Also keep in mind, this might not be the best place to by dress shoes.
There are lots of options at thrift stores and consignment shops. The most important things to keep in mind when you shop at these places, is to make sure that the articles of clothing fit you well and are clean. I was able to purchase quite a few button down shirts at the thrift store. It is fun to get carried away in the thrift shop with so many possibilities, but keep your choices conservative. Stay away from loud colors and patterns at first.
Kohl’s
I have been told that Kohl’s has a wonderful business casual department. I have never looked there myself but, I have heard this tip many times. Kohl’s is great because they have really good sales on occasion. Plus, you can try on the clothing before you buy it, which you sometimes can’t when in a resale shop.
The nice thing about shopping at a store like Kohl’s is that you can by lots of clothing that coordinates with each other. You can also buy shoes there too, and dress socks and stockings for the ladies. You can also enlist the help of staff, that have helped many dress for work. The beauty of a place like Kohl’s, is it can be a one stop shop. I have also been told that the clothing and shoes are very reasonably priced.
Outlet Malls:
This can be a wonderful trick. After being hired at my first corporate job, I was at a lose of where to buy a good suit. I could buy separates that the thrift store, but I was not able to find a good suit. Hence the trip to the outlet mall. I am lucky to have two within driving distance. Both malls have lots of stores which cater to to corporate client.
I found a United Colors of Benton outlet nearby. This store was perfect for me. They specialized in women’s suiting. I like this store because not only were the prices reasonable, but the suiting fashions were perfect for a range of ages. For the first time, I found a suit that was not matronly and fit me well. The staff was wonderful and friendly. I bought two suits on my first trip for under $300.
The following Monday when I wore one of my new suits to the office, I was flooded with complements. Furthermore, I mixed and matched the pieces of the suits with other things in wardrobe. I soon noticed what a big difference these two suits had made. Now it may be my imagination but, I felt more respected and taken more seriously on the days that I wore one of these suits. I would consider the investment of a good suit as a necessity.
Be the Whole Package
Now that you have the perfect wardrobe, make sure the rest of you looks nice too. Make sure that you hair is combed and styled in a conservative manner. While your mohawk maybe super cool with your friends, it will not as well received with potential employers. I would also suggest taking out piercing other than the ear piercing.
As for jewelry make sure it is appropriate. Keep you jewelry simple. Make sure that it accents your ensemble, not distracts from it. A strand of simple pearls always works well for women. For men I would suggest a nice pair of cufflinks or a simple tie clip.
As for make up for the ladies, make sure it is simple and tasteful. I would stay away from bright colors. Go for a natural look.
Believe it or not, your nails matter for both sexes. For men make sure your nails are well groomed, don’t bite them and make sure they are clean underneath. For ladies, make sure your nails do not have chipped nail polish. If you do want to have manicured nails, make sure that you choose a conservative style. It is guaranteed that you will shake someone’s hand during the interview process, or on a daily basis while working in an office, so make sure that you nails look professional.
Good luck to all of you out there in the job market who are looking to either move up the corporate latter or take the first step onto it. A solid resume will get you in the door, but remember you are an entire package. Employers will hire people who are not only qualified, but look the part as well. Good Luck to you all!
How to Pawn Items
I live on the fringe of a major city, but I am also far enough that I can pickup a few local television stations. My area so far as been relatively insulated from the current recession. However, just east of me has not been so lucky. They have lost jobs at an alarming rate. Entire towns are closing down.
I sometimes choose to watch the local news from that area, because sometimes they cover the town that I live in. While I was watching the newscast last week, I thought to myself, what a different tone the news had taken in that area, within the past six months. Major stories on the last newscast included, where to get food, how to apply for financial assistance and announcements of more layoffs. It was truly sad to see.
I do not delude myself that people are really struggling right now but the real slap in the face came when the news did a story on how to pawn your valuables in order to keep your utilities on or feed your family. The story covered the basics of how to pawn items, and which items were bringing in the most money.
As I watched, the newscaster sifted through family heirlooms and wedding bands. It was heartbreaking to see people have to sell these things in order to survive. However, if I were faced with that situation, I too would sell my precious items to feed my loved ones.
Pawn shops are doing great right now in this economy. If you do end up in a situation where you must pawn your items, to stay afloat please make sure you understand the process. Pawn shops are not necessarily bad places, they are a business like any other.
How to Pawn
When you take an item to a pawn shop, you are essentially renting it with the option to buy it back from the shop owner. In some shops there is the option to come and buy the item back within a certain amount of time. Please be careful when you decide to do this, because in essence you are selling your valuables to another person. You will most likely never see that item again.
My mother learned this lesson all too well in the mid-1980′s after my youngest sister was born. Times were tight and she went and pawned her wedding band, to feed our growing family. She was left without any other choice. She sold the ring to a pawn shop, and she has looked for the ring ever since. She has never seen the ring again. I once asked her if she wish she would have not done that. She replied that of course she wish she still had the ring, but feeding her family was more important.
So, please keep in mind, that you may never be able to find the item that you pawn agin. Make sure that you can live with loosing it. Also do some homework as to the value of what you are pawning is. The most important thing to remember is that you do not have to sell it to the pawn shop once you are there. If you do not want to, then don’t.
The End of the 24 Hour Society?
As President Obama said, last week in his press conference, Americans are loosing jobs at an alarming rate. Stores are closing like crazy. I am amazed to see even bigger chain stores closing in my area.
We have become an around the clock society. So many stores offer 24 hour services, as opposed to 10 years ago. We have come to expect, that certain mega-retailers and drugstores will be open at all hours of the night, just incase we need something.
However, as the jobless rate goes up. and payroll gets harder to cover for many business’ large and small, will we start to see a decline in the 24 hour store? When I started to thing about this concept in depth, which I had never really done before. I was amazed at how expensive it must be.
A store that is open for 24 hours, 7 days a week must incur some serious costs. Payroll must be outrageous. If you thing about it, the store must be staffed at all times, usually with more than one person. Almost all 24 hour stores have a manager on duty, at all times. Managers are payed more than regular staff and are therefore more expensive.
Then I thought about,how much the energy costs of keeping your doors open at a 24 hour store must be. Heat, or air conditioning, lights, and water? That kind of usage must really add up quickly. Especially for a mega-retailer such as Walmart.
Taking all of these thoughts into account, I wonder, with the downturn in the economy will the 24 hour store survive? As we all know, retail sales are down sharply for the country. People are not out shopping. Which I would think would certainly effect the over night crowd that frequent 24 hour stores.
I am grateful for the store that stays open for 24 hours in times of sickness or emergency. However, I think that with stores being open constantly are slowly changing our society. We are able to do things like shop whenever we’d like that we were not able to do before now.
So, what does this current depression have in store for the 24 hour shopper? I guess only time will tell. Until then, covet your ability to feed your 2 am. fix for that Heath Bar or be thankful that you can buy junior diapers at 4 am.
The Library, all the Entertainment You can Stand
Most communities have a public library within a drivable distance from their homes. Libraries have been around forever, therefore they have been mostly forgotten, except by the select few. Well, my friend the time of looking to the local library for entertainment is back. For little to no cost, everyone can participate, all you need is a library card.
Today’s library has more than books to entertain you. My local library has videos and DVD of feature length films which are available to be rented. They also have books on tape, for those of you how do not prefer read. The tapes you have, can be imported into an MP3 on your computer. The possibilities are endless when at the library!
If you do like to read or if it bores you, try a book from the non-fiction department about something exotic, like a travel book, or a recipe book. These can be a ton of fun, on a snowy or rainy day. I always love to look at gardening or fashion books with beautiful pictures. Want to go on an exotic vacation but cannot afford it, get a picture book and substitute.
As I said earlier many libraries also offer multi-media selections. Learn a new language on cd, or listen to music from a favorite artist, or even surf the internet. Many libraries offer free internet to those who hold a library card for that particular branch.
Another great benefit that you may find at your local library is a book club. My local library has a wonderful book club that meets once a month during the lunch break hour, to accommodate professionals. If your local library does not have one, and you are a habitual reader, start one.
Most libraries offer classes on many different subjects, for only a few dollars. This can be a great way to entertain yourself cheaply. My local library has lamaze classes to basket weaving. Most of the classes meet in the evening, so that more people can attend. Also look to see if any clubs meet at your local library.
Most people never set foot into their local library. There is a treasure trove of entertainment to be had. Be brave, go in and get a card. Learning something new is a wonderful way to entertain yourself. The Library is a very budget conscience way to entertain yourself, just watch those fines.
You Have How Many Monthlies?
In this time of economic recession people are paying a lot more attention to their pocketbooks than they were a year ago. For many the stack of bills coming in the mailbox just keeps getting bigger, and for some, more threatening. I know this is true in my case. I was young and stupid once, and now I am paying for it. However, past mistakes are not a total loss, now is the time to evaluate what bills you are actually paying each month. There are so many things that can be cut from your monthly expenses if you take the time to think about it. Here are my top tips for re-evaluating how to cut that pile in half.
What are you actually paying?
I think this is particularly prevalent in credit situations. You have the right to check your interest rate and monthly minimum payments. If you don’t like the current situation with your creditors, call them and tell them. If they won’t work with you, threaten to close your account, that usually prompts action. As a customer it is your responsibility to check your billing statements. When I upgraded to a new cell phone, the cell phone carrier did not set up my contract correctly and I was majorly overcharged. I always check my bill and I am glad I did in that case. I would have paid almost $200 in fees.
What services can you actually afford?
In our modern lives there are all kinds of little services that gobble cash a little bit at a time, that add up in your monthly budget. Dry cleaning is a great example. They can be really expensive. When I worked in the cooperate setting, my local cleaners knew me by name. I never hand washed my suits. Well, it turns out a lot of stuff that has a dry cleaner tag, can actually be hand washed and laid flat to dry. I use Woolite, works like a gem.
I had to take a hard look at what my biweekly trips to the salon was costing me. While I do love to be pampered, it is pricey. I love to take the time just for myself, and I thought that was the only way I could get it. Well, tea and an old black and white movie at home is free, and it is me time. It may not be as glamorous but, what can a girl do in this depression?
Are your household expenses in line with your budget?
While most of us do not pay outside help to come in and assist them with the running of it. A cleaning lady, nanny and landscaper, are more prevalent in suburbia today. I employ none of the above, but for those who are trying to cut back, this might be a good place to start. Let a neighborhood boy or girl cut your lawn. If you are looking for less expensive child care, put an ad up in your local high school.
Energy expenses can always be cut in your home. As it has been said time and again, turn down your heat. An extra sweater or a blanket can be an essential when trying to cut your energy bills. There are so many resources to help you save, look for them and do your homework. My husband and I keep our thermostat at 66 degrees in the winter and 72 in the summer. A few degrees in temperature can amount to a few hundred dollars less on your next bill.
Really take a look at what you are paying for. You work hard for your money, don’t just give it away. Really evaluate what you actually need and really want to pay for. Check every bill, even receipts, you’ll be amazed how many times you are accidentally overcharged.
Will the In-Home Party Circut Survive the New Depression?
Friday night a friend was giving a jewelry party from a well known company, which specializes in these types of parties. I really did not want to go. I know that those types of parties are ridiculously expensive, but it was for a friend. I have been to this type of party before, that was from the same company.
While I applaud my friend for trying to come up with inexpensive ways to entertain large numbers of friends, I do not think that a party where guests were expected to purchase something was such a good idea durning these rough economic times. Don’t get me wrong, no one forced me to go to this party, I was curious to see if there had been any changes in the way the jewelry company did business.
As the part started, the company representative invited all of us to ask her questions about her business. There were the usual questions such as, “do you get to keep the jewelry?” I wanted to know more in-depth questions, since she said nothing was off limits. So I asked away.
In asking my questions I learned how this pyramid-like scheme worked, all they time while the consultant said, “this is not a pyramid scheme.” I politely smiled and thanked her for answering my questions. Quite frankly, I am leery of any business which requires others, who then work under the one who brought them in. Not to mention, the consultant makes a cut of whatever new hires which she finds makes. How does this not sound like a pyramid scheme again?
Aside from my obvious reservations I decided to ask one more question. I asked the consultant if there has been a difference in sales since the recent economic downturn. She replied that there hadn’t as of yet. She said it was the “lipstick factor.” She went on to explain that in the last recession that lipstick sales went through the roof. She reasoned that women could not afford a whole new ensemble but that they could afford a tube of new lipstick. She then told all of us at the party that her jewelry was the new lipstick factor. She said, “buy something and feel good about yourself.”
After that I was pretty sure that I was not going to purchase anything from this woman. The final straw of the night was when she said that she promoted the “husband unawareness program” which, she explained to us how to pay with multiple methods of payment so that our husbands would not know how much we were all actually spending. I could not believe my ears! I can take a joke as well as the next person, but was this woman actually encouraging wives to lie to their husbands about what they were actually spending?
After looking through the order book with all of the jewelry I could see that she was not kidding because the jewelry was outrageously expensive. The consultant guaranteed every piece of jewelry that she sold, but that was still not enough to coax my money out of my wallet.
Then came the traditional hard sell of hosting one of these parties in your own home. She passed out little boxes that offered prizes or a piece of paper that said “me” on them. If you decided to open your box and it said “me” in it, then you were required to hold a party of your own. I was not born yesterday. I told the consultant that I would not be opening the box, and gave it back to her.
These types of parties cost money, not just for the host but for the guests as well. I told the consultant that everyone that I would invite to my own jewelry party was already at this one, and that I would not expect them to have the funds to do this type of thing in the near future.
As the night came to a close, some of my friends and family did make purchases. I however did not. When I looked through the catalogue, there were things in there that were over $100! This company was not selling fine jewels. I wonder, with the economic times as they are, is there really room for these types of parties to continue? I do not think there is. As disposable income becomes a thing of the past, I feel that these types of overpriced, hard sell concept parties will be a thing of the past.
On a closing note, I would like to say that I did not have a horrible time, I was able to eat and drink with close family and friends. I would also like to say that while my criticism may sound quite harsh, that I and the consultant were not at odds at anytime during the party.
Family Emergencies On a Budget
Picture from Flickr
This past month I have had two major family emergencies which have required me to travel. As we all know, travel is not cheap. However, when duty calls, one must go. My husband and I live on a very limited budget, but we’ve managed to squeeze in the funds to go and be with our loved ones during these difficult times.
It is very easy for last minute trips to become very expensive, if one is not careful. In both cases, I made a budget and stuck to it. I also tried to ride with other family members to reduce my travel costs. I was lucky enough to live within an eight hour drive. I chose to travel by car because it was cheaper than a plane ticket. I did my homework on which way would be easier to travel. I also kept in mind that if I flew I would need a rental car.
I find that in a family emergency, that I prefer to stay in a hotel. Please do not misunderstand me, my family is wonderful and they have very nice homes. I find that when I stay in a hotel in times of crisis, my hotel room can be my place of solitude. I require this time to myself, and I find that it gives me time to decompress after a stressful day. I am also able to get a good night’s sleep. Which is vital to staying healthy during difficult times. Hotel stays do not have to be pricey. I found that in both cases staying at the chain hotels on the outskirts of city limits offers a much better room rate.
When setting a budget for a crisis, keep in mind that you have to eat. Depending on where you are, food prices can vary greatly. Just because you are on a budget, don’t eat fast food the entire time because it is cheap. When the body is under stress it is important to eat well. Budget good food into your trip costs. In driving across the country, it is important to keep in mind that a healthy diet should not go out the window, just because you are on the road. I found that I could make healthy, low cost food decisions on the road. Eat well while you are in times of great stress, you will be thankful to yourself. Eating well will keep you healthy and better prepared to handle stress.
Emergencies do not really allow time for the unexpected. Many have saving accounts for this reason. With the tough economy that type of saving seems harder and harder. With this past month, I have learned how truly important it is to have this kind of safety net of funds. I was able to make it on our income, but that is not without taking a financial hit. When family crisis hit, one would like to think that money would not factor in one’s ability to help and be there with family, but as I learned this past month, money factors very greatly. So, do yourself a favor, put a little money aside for an emergency fund, even if it only $100 bucks, every little bit helps. That $100 bucks could cover your food budget while you are gone. I will be trying to put away more that $100. so I am not caught off guard next time. But times are tough and people do the best they can.
On an ending note, while setting a budget is important while going, it is also important to understand that crisis holds the unexpected, and may require more funds than you had originally set aside. Be willing to roll with the punches but, still keep your head about you. I found on my first trip that I had set a strict budget for myself which I stuck to but, I found a needed additional expense during my trip. I was hesitant to spend the funds but, now in hindsight, I am so happy that I listened to my gut instinct and spent the money. Emergencies do not give the luxury of time to plan each dollar spent. So, if you need to spend a little extra, don’t beat yourself up about it, trust your gut and spend the money if necessary.
10 Things You Can Cut out of Your Life
This is part of an ongoing series or articles on how to deal with the ongoing crisis in the world economy. Many are calling it a New Depression. Whatever you want to call it, news ways of thinking are being called for. Welcome to the New Austerity.
During this time of trouble, what are some things you can cut out of your life to save money and help make ends meet? What are the things you can live without the most? Believe it or not, there is plenty in your life that you can truly live without.
The Gardener
This one is easy. Mow your own lawn. Go down to the local flea market and buy a second hand mower. It won’t take that long to mow your own lawn. Google basic lawn care and how to care for your lawn.
The same goes for tending to your landscaping. The internet is an invaluable resource and you can find out anything you want to know about gardening and landscaping. Take the time and save the money.
Cable TV
You don’t need Cable TV, you really don’t. With the advent of Digital TV, there is plenty of TV broadcast over the air. You know the stereotype, 500 channels with nothing on. It’s really always like that. What shows you do watch you can download on the internet for free. However, high speed internet, be it cable or DSL, is essential as electricity and water.
Newspaper and Magazine Subscriptions
Your local paper has a website with the same content for free. Stop wasting money on delivery. What if you want the coupons on Sunday? Then get a Sunday only subscription or just pick it up in the store. Most magazines also have a website with the same content as the magazine. Start reading your news online and you won’t need either.
The Maid or Housekeeper
It does not take much time or energy to keep your house clean. Set a schedule and a routine and you can replace your made easily. Successful households require teamwork on the part of both spouses. Help your wife out and she will in return. You’re a team, tackle the current problems together.
The Nanny/Babysitter/Daycare
If your sinking a lot of money into a nanny or daycare, it’s time to investigate the cost effectiveness of having both parents working. If you’re essentially breaking even once you factor in childcare and other kid related costs, then it’s time for one parent to dedicate themselves to raising the kids full time.
Monthly Recurring Billed Services
Look at your monthly outgoings and find recurring monthly bills for stuff you don’t really need. Cut them out of your life and cut up the credit card they’re being billed to. Things like Tivo Service, Netflix, Credit Monitoring (you can do this for free) can all be snipped out of your life.
Sell a Car
If you have two cars and one is sitting around most of the time, get rid of it. It’s just costing you money. The inconvenience of having one car does not outweigh the savings.
Your Next Vacation
Trip to Europe or Vegas planned? Time to cancel it. If the trip is already paid for and you can’t get your money back, then by all means go. But if you can get out of the trip, now is the time to take a hit for the team and wait until the world financial outlook improves.
Eating Out
Stop eating out so much. It’s much more cost effective to eat at home. Make eating out a monthly treat that the family looks forward to. It will feel so much more rewarding to you and your family when they get something they have been working for all month.
Ditch a Hobby
Into model trains? Building RC Planes? Dungeons and Dragons? Collect stamps? Your hobbies are costing you money. It’s time to put your hobbies aside. They aren’t going anywhere. You can resume them when the economy improves. For now, stop spending the money and put it towards saving and living. I’ve given up comic books for now. It sucks, but the comics aren’t going anywhere. You can always take up a hobby that doesn’t cost any money.
If you have any ideas for things you could cut out of your own life and want to share, please leave it in the comments!
How to Survive the New Depression
Photo Courtesy of Improv Everywhere
It appears we’re on the verge of a new Great Depression. Unemployment is up, wages are stagnant, inflation is up, major corporations and banks are collapsing left and right. There hasn’t been this much instability in the international economy since the Great Depression.
The old Boy Scout motto is ‘Be Prepared” and that’s a great creed to live by. Nothing in life is guaranteed.
So, how can you prepare for this?
Maintain Calm
The people responsible for this mess aren’t losing any sleep, neither should you. Things may be getting bad, but they’ll only get better. The nature of the capitalist systems is a series of up and downs. Bad fiscal management by the Federal Government and the Federal Reserve has smoothed out the grooves for the past 30 years or so, the problem is that you CAN’T get rid of the ups and downs. That’s just not the way it works. That’s why it’s important to prepare for the valleys just as much as the peaks.
FDIC Backing
Your money is generally safe in a bank. You should be monitoring the financial health for your bank. Since most banks are publicly traded, this information is freely available. Don’t trust that the bank will always be there. Many banks have failed already. Luckily the FDIC has your deposits insured up to $100,000.
So, what if you have more than $100,000 cash in the bank? First, you shouldn’t have that much money in a savings or checking account to begin with. If you’re truly investing your money, passbook accounts are terrible places to keep your money. Your money should be invested in mutual funds, retirement funds, bonds, etc. So, what if you do have more than that in the bank anyway? Split it up, there is nothing to prevent you from spreading your cash around to several different banks. That way you’re completely protected.
Credit Unions
If you’re completely disgusted by the banking system, like my wife and I, you don’t have to continue participating in it. Join a local credit union. You’ll have more of a say in how your money is handled. Credit Unions are not for profit, so they won’t be consolidating and joining bigger banks and then making stupid multi-billion dollar investments that will bring down the economy. Credit, above all things, are local, which is great. Credit Unions can also get you a car loan, mortgage and other products. Your money is also insured by the Federal Government under a separate insurance program as the FDIC.
Invest in Foreign Markets
Any good investor diversifies his investments for greater returns. There are huge opportunities to invest in markets other than the USA. There are places in the world that are booming right now, despite the current troubles. Many mutual funds run funds based on foreign assets and currencies. The returns on these investments are usually pretty good. It is also a good idea to invest invest in Foreign Currencies and Minerals.
The dollar is currently weak against most foreign currencies, so hedge your bets and buy foreign currencies and hold them. Chances are their value will go up and you will make a profit when you convert them back to dollars (or use them when you travel). Also, many people advocate buying precious minerals like Gold and Silver. I don’t know much about this, just that you should be very careful investing in this fashion. There are a lot of scam operations out there.
Make Budget Cuts
Most people can cuts back and throw things out of their budgets without too much pain. Make a monthly budget of all your in-goings and outgoings and then see what you can cut out. This will allow you to live in your means and save more money. Start going with less.
Consolidate Debt or Get Rid of It
Debt is basically a form of slavery. Avoid it at all costs. That’s easy to say if you don’t have any debt. But what about if you have debt? Consolidate it, reduce it, pay it off. Your mortgage should be your only debt on the books and even then your goal should be to pay that off as quickly as possible. Don’t let anyone own you and you will have much less to worry about.
Shop Frugally
Be careful in how you spend your money on your weekly expenses like food and clothing. Don’t eat out as much. Buy your groceries at places like Walmart and Aldi, where you’ll get the most for your money. Don’t go the mall, you’ll always overpay. Read sales flyers every Sunday and clip coupons.
Maximize Income Earning
You can do this by getting a second job or starting your own home based business. There are many things around the house that can make you money that won’t cost you much to start. Chances are you have hobbies or skills that you can monetize. I wrote a guide a while back on how to make money with things around the house.
Inventory Your Assets
Make a database or spreadsheet of everything you own. That way you have an idea of your assets in case you need to start sellings things to get by. You may lose your job tomorrow. It’s important to know what you can sell tomorrow to buy your families groceries.
Refocus your efforts at work and Shine
If you’re worried about your job, work harder and do a better job. Make yourself irreplaceable. If you think you might be on the chopping block, polish your resume and be prepared for the worst. My general rule career wise is to ALWAYS be looking. Always be on the lookout for new opportunities. Don’t expect your life to work out because you think you deserve your job. You don’t deserve anything in this type of economy.
Educate Yourself
Knowledge will only make you more valuable on the job market. But I’m not just talking about schooling. I’m talking about educating yourself on how this economy works, how capitalism works, how socialism works, how international finance works. If you understand how these things work, you can successfully plan your life to weather the storms. Most people don’t know what derivatives are or mortgaged backed securities. They should.
Save Save Save
You should be saving 10% of your income right out of your paycheck before you spend it. Open an account at ING Direct or HSBC Direct or your local credit union. It’s important to have a cushion of money in the bank in case you lose your job or something catastrophic happens.
Closing Thoughts
One thing to keep in mind is that things WILL get better. That’s the nature of capitalism.
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