Many people experience periods in their life where they are laid off from their job and/or looking for employment.
Many people hate going through this, but there are changes that have to be made to help you survive and live off what you have saved up to accommodate your temporary lifestyle while looking for employment.
One struggle people deal with during this whole process is learning how to save and budget their money. Sound familiar?
Below are 5 ways to financially survive while unemployed:
1. Cutting unnecessary wants and non-essentials from your budget
One way to save your money is separating your wants from your needs. Eating out, getting your nails done, and even shopping are all wants. Factoring your wants out of your budget can save you a couple of hundred dollars that you can use towards your bills. Instead of eating out, cook at home. Make meals that can last you a couple of days to make the most out of what you buy from the grocery store. The money you spend eating out on one meal can be used towards groceries that last you much longer. I know it may be hard, but changing your habits will definitely help you in the long run and will really show you how much money you were frivolously spending anyway
2. Make a Spending Plan
Electricity, rent, and food are guaranteed bills you will have to pay each month. Take the time at the beginning of the month to estimate how much you pay for each bill. Rent is constant, but lights and food may fluctuate every month, so make sure you include a range that is realistic in case you fall short. One piece of advice that seems to work across the board, regardless of income: try not to spend over $100 each month towards groceries (per person if you live with roommates).
3. Earn extra cash
Make a couple of hundred dollars by getting a part-time job in retail or working at a restaurant. Take advantage of freelance opportunities like photography or writing. You can also make some cash by house sitting, walking your neighbor’s dogs, or even babysitting. Every dollar counts, so make sure to exhaust all options.
While cutting back, just keep in the back of your mind that this is only temporary. With drive and perseverance, your unemployment phase will not last too long. Sometimes you have to sacrifice your wants to get where you need to be. Try to stay positive as much as you can during this period of time and surround yourself with people who will support you as you go through the ups and downs (because those will come).