How Long Can I Survive If I Lose My Job

How Long Can I Survive If I Lose My Job

Have you ever stopped to ask yourself ‘how long can I survive if I lose my job?’ According to recent research by HSBC, 1/3 of people in the UK (about 8.8million* households) have £250 or less saved up as a buffer to hard times and around 25% of Brits have no savings at all, which is up 19% since this time last year. Now’s the time to work out how long exactly you would survive if you (God forbid) lost your job tomorrow. I know this is a bit much for a Wednesday morning but this is the kind of thing you could put off and put off and end up wishing you hadn’t.

HOW LONG WILL I SURVIVE I LOSE MY JOB?

Outgoings

Work out your out goings down to the last penny. Include rent/mortgage, taxes, food, utilities, mobile phone, entertainment, clothing, travel. What could you cut out? Where could you make savings, both if you were in that horrible position or now in order to create some savings or pay back a debt to make it easier. Collect together all of your contracts and work out what various suppliers offer with regards payment free periods and cancelling contracts. If you have a mortgage check the exact details of your redundancy insurance.

What do you already have?

– Do you have savings or shares? Are you able to access them and how long would that process take?

– Are you due a payout package? How can you break it down and stretch it out.

– Do you have a partner? Are they able to cover you and for what period of time?

– Make a list of your food and household stocks and supplies, then hit the internet for interesting and nutritious recipe ideas. Make the most of what you have and stretch it out for as long as you can without growing bored.

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What you’d be entitled to 

If you’re suddenly left without a job it’s important to know what you’re entitled to. Turn2Us is a charity which have a great as well as information on grants all in one place and the can also point you in the right direction. If you’re paying rent you may be entitled to housing benefits and if you have a mortgage you may qualify for help with paying the interest on your mortgage. You may also find you’re entitled to tax rebates or indeed tax credits. Claim everything you are allowed to, as soon as you can in order to have money coming in.

Where can you cut back?

– How often do you use your landline phone? Get rid of it or cut down the package significantly.

– Cancel paid TV.

– Can you cut down your mobile phone tariff or get rid of it altogether? However remember to leave yourself with a contact number for job hunting.

– Cut out brands and eat own label food.

– Compare your utility suppliers.

– Put a hold on all spending.

How can you bring money in?

– Sell items you don’t need on eBay or Preloved.

– Through the you can rent out a spare room up to the value of £4,250 tax free each year. You must get permission from your mortgage provider or landlord, along with notifying your insurance companies. This might all sound a bit heavy going but if your natural tendency is to bury your head in the sand (like me!) when it comes to serious financial questions, maybe today is the day you seriously sit down answer the question ‘how long can I survive if I lost my job?’