How to Cope When Losing a Job

Dealing with a job loss can cause significant stress.

If you have recently lost your job, you may find yourself feeling depressed, overwhelmed and anxious. Whether your job loss came from downsizing, firing or even simply quitting, you need to maintain a cool head so that you and your family can cope with your unemployment. Keeping your spirits up can also make the search for a new job and handling your finances easier and less stressful.

Things You'll Need

• Notebook
• Pen or pencil

Instructions

1. Allow yourself to feel whatever feelings arise after losing your job. Write your feelings down and share them with your family members to help them understand what you are feeling so that they can support you.

2. Discuss with your family members their concerns about your unemployment. Make sure their feelings are heard.

3. Update your business contacts with new contact information. You do not have to detail your job loss if you were fired, had a conflict with management or there were other undesirable circumstances surrounding your job loss. Provide your business contacts with your new phone number and email address and let them know that you cannot be reached via your old contact information.

4. Eat a nutritious diet, get 30 minutes of exercise a day and sleep between seven hours to eight hours a night to keep your body relaxed and rested and your energy levels high.

5. Contact your state's unemployment office and apply for unemployment benefits, even if you are not sure you qualify.

6. Schedule your daily activities as if you were still working. By planning your day, you maximize the time you spend looking for a job and minimize the time spent worrying about what to do next. Set aside separate times to search job listings, research companies, work on your resume and make follow-up calls to prospective employers.

7. Work with your family to devise a plan to get through your period of unemployment financially. Write down all of your income sources, including how much money you have in the bank. Include a list of items you could sell quickly and people who may be willing to lend you money if you get in a tough spot. If you were the main breadwinner and another adult in your household does not work, discuss the possibility of that person trying to find a part-time job until you find another job.

8. Write down your expenses, including COBRA for your health insurance if you plan to take it, and determine how much money you need each month to get by until you find another job.

9. Cancel unnecessary services, such as cable television or extra cellphones, if you are struggling financially. Look for other ways to trim your monthly budget, such as cooking at home instead of going out to eat and driving the most fuel-efficient vehicle you have.

10. Use credit cards and pay the minimum balance each month while you are out of work to keep more cash on hand, according to Steve Bucci, the president of Money Management International Financial Education Foundation. Pay off your balance as soon as possible after you find another job.

11. Call your utility companies and any lenders with which you have loans to determine if you qualify for reduced payments or a different payment plan.

12. Apply for emergency assistance, such as help with utility bills or food stamps, if you are still struggling financially. Contact your social services office for information on what you may qualify for and how to apply for assistance.

Tips & Warnings

• Avoid withdrawing money from your retirement accounts or taking out a home equity line of credit if possible, recommends Liz Pulliam Weston of MSN Money.

• Seek professional counseling if you feel severely depressed or have suicidal thoughts.

References

• HelpGuide.org: Job loss & unemployment stress
• Alabama Cooperative Extension System: Dealing with job loss
• Bankrate.com: How to deal financially with a job loss
• MSN Money: A survival guide for the unemployed