Rebuilding After Job Loss

If, like a lot of people, you’ve been hit by the recession and are now looking for work, it may seem like a great time for a panic attack. Before you start rifling through the medicine chest for Xanax, though, you may want to take a look at your options.

Many people have skills that don’t apply directly to the job they had, and may not ever use again. But during unemployment, you have to call on all your resources.

For instance, if you babysat in high school, you can babysit now. Plus, you’ll be up for higher wages and longer assignments than your average 16 year old neighbor. It may seem humiliating, but especially with young children, you may have time to write and/or job search while Junior is sleeping. Look at it this way: what would you be doing at home right now? Probably job searching. But no one is paying you to do it. Babysitting is an easy way to still bring in money while doing what you normally do. Just make sure that there’s plenty of activities planned for when everyone in the house is awake…

If you have a little capital saved up from working away at the old job, why not invest in a money maker, rather than just buying “stuff?” If you’re talented at bargain hunting, go to Goodwill, scope out Craig’s List, and read the paper for yard sales. You’ll be amazed at what you can pick up for a few bucks and then get an amazing return on investment.

With larger capital comes larger profits.

You could buy a house, fix it up, and use it as a bed and breakfast. Setting the price point can be tricky, though. You want a high enough rate to make your money back quickly, but not so high that people are discouraged from staying with you. The same principle applies with starting almost any small business, so it would be wise to think of those “value-added” incentives before you put out the sign that says, “Open.”

Perhaps, though, you’re just not the “I’m going to start my own business” type. That doesn’t mean that you’re going to wind up penniless. It means that in order to find a new job, you’re going to have to work differently.

Instead of thinking of things to do with your money that will, in turn, make money, your focus needs to be on networking. There are so many ways in which that can be accomplished. The fastest and best way to network would be to join a local non-profit, and make it a point to volunteer at least 2-3 times a week. In the time it really takes to get to know the organization, you will have met enough people to a) get leads on jobs from other volunteers or clients b) have enough experience in that organization to apply for a paid position.

In terms of networking, though, you also need to think about the organizations you already support. Do you know of any small-business owners in your church that might need some help? Do you do things with a group during the week? Talk to your fellow bowlers, choristers, band members, etc. Maybe they have leads- or other ideas- that you haven’t though of. Can you get contract work through neighbors or friends who want to learn what you know? Advertise formal training in software, hardware, carpentry, design, or anything else you see as valuable, and that’s a built-in way to make money- perhaps without leaving your house.

It’s also a good idea to get a few books that teach you how to live off of cash, and how to stretch that cash so that you can hold onto it as long as you can. You may not be bringing in money, but you can stop spending it as quickly… at least until the income is far larger than the outgo. My personal favorites are Dave Ramsey, Jean Chatsky, Suze Orman, and Tony Robbins. Robbins is actually more of a motivational speaker, but has several lectures on money that have been invaluable. Plus, hearing a motivational speaker is also a good thing right now. You need that motivation to keep up your strength. Job searching is hard work, and often times, more emotionally taxing than the job that caused the unemployment in the first place.

It is easy to feel anchorless when your time is basically unmanaged, but I hope that these tips will give you a push in the right direction. It’s up to you to flesh out your own complete plan and to discover what works for you… and that may be the best part about unemployment. It’s a chance to do it all over and find the point where earning your own money and living your passions meet.