Redundancy-Financial Considerations.

How to Deal with Redundancy Financial Considerations

If you are made redundant or take voluntary redundancy you will hopefully receive a sum of money. Do make sure you are clear how much  you will receive.

It is important to know how long you can survive financially on your redundancy money so that you can plan.

It is also important to find out if you or your family are entitled to any benefits at all. This will vary between countries and may depend on if the redundancy is compulsory or voluntary. If you are asked to take voluntary redundancy do check what this means for you before accepting it.

If your workplace holds any talks for people whose jobs are going to be redundant do attend them and ask any questions you would like to know, particularly about the financial aspect.

Financial Checklist After Redundancy. If you do not already know exactly what they are you need a list of all your outgoings:-

Mortgage or rent

Utilities ( gas, electric, water etc)

Telephone
Mobile phone charges

Internet

Car repairs,MOT,Tax, breakdown service etc

Insurances- House, car, life etc

Healthcare costs

Childcare

Pet Insurance/feed/healthcare
Food
Clothing/Shoes/School Uniforms
School Trips/expenses. 
Gym/other club memberships
Charity donations
Loan repyments
Debt repayments
other

Then you need a list of all your incoming money post redundancy as a family

So if you have a partner or adult children living with you, anyone is working, include that.

Your Redundancy payout

Partners salary

Any Benefits

Savings

Shares
other

If things do not add up and you have more outgoings than incomings post redundancy check is there anything you can currently live without i.e. gym membership, TV services you pay for etc.

Check if you are entitled to any benefits for you or your family. 

Do you have any other skills you can develop to bring in money? Some people have found it possible to turn a hobby into a means of income.

Then you need to think - if you need to, if it comes to that, is there anything you would/could sell?

If you are struggling to any debts then sooner rather than later seek help. Go see your Bank or Building Society or who ever you owe money to and ask for help and advice. We do not advise borrowing more money.

If anyone owes you money now is the time to call it in. 

This is a useful book to help you. 

Tips For Surviving Redundancy

Coping With Redundancy Twelve Top Strategies 

 This book is aimed to help you to help yourself to be prepared for the effects of redundancy.This includes your financial position and the mental survival process.