How to Bounce Back After Unemployment
Record numbers of Americans have faced unemployment over the past year. Not to mention how what we think of as “going to work” has changed drastically as working from home has become the norm for many. Fortunately, the availability of multiple vaccines and continuing mitigation measures appear to have us on the path to a better year ahead. If you’re starting a new job after being unemployed in 2020, here are some tips to bounce back after unemployment.
Rework Your Budget
If you’ve been unemployed for long, you’re probably working on a bare-bones budget. Now that you have regular income again, you’ll want to rework that budget to reflect your new financial reality.
Take Advantage of Benefits
If your new job includes health insurance and other benefits, find out from human resources when you qualify to apply for them. Then mark that day on your calendar and do it as soon as the date arrives. Once your paperwork is complete, make appointments to catch up on check-ups or take care of health concerns you may have let slide when you didn’t have coverage.
Formulate a Plan
It’s understandable if you’ve fallen behind on bills or added credit card debt while unemployed. But now is the time to formulate a plan to catch up and start paying off the debt. If you’re not sure where to start, complete our free, online financial review. You’ll receive a personalized budget and action plan with suggestions for solutions to get out of debt.
Start Saving Again
If you exhausted your emergency savings (or didn’t have it to start with), be sure your new budget includes a line item for emergency savings. Even $20 per paycheck will start to build up a cushion of ready cash you can use to pay for unexpected expenses, such as a car repair or new appliance. Start with a savings goal of $500 and keep going until you’ve saved 3-6 months of living expenses. Also, if your new job offers a 401(k), start contributing to that as soon as possible.
Continue Networking Efforts
If you’ve taken a job that’s outside your career field or at a lower level of responsibility than you had before, there’s no reason you can’t continue looking for a position you’d prefer. Of course, you should focus on the new job and give it 100% effort during the workday but continue to stay in touch with your network and let friends, family and former colleagues know you’re still open to hearing about additional job opportunities.