Economic Turmoil: What to Do If Your Spouse Gets Laid-Off from Work Unexpectedly

In these financially troubling times, you probably wonder from time to time: is my job or my spouse's job at risk? What will we do if the main breadwinner gets laid-off unexpectedly? Many people do not have the recommended 3 to 6 months of emergency savings socked away. If this happens to you, how will you support your spouse emotionally and how will you support your family financially?

Make a Plan

As trite as it sounds, once your spouse if laid-off from work unexpectedly you should make a plan. This plan should include a detailed spreadsheet of finances, including all debts owed. Start with the debts that must be paid monthly including mortgage or rent, insurance, utilities, food, etc. Then list the expenses that could be reduced or eliminated while unemployed. Be sure to include all expenses from newspaper delivery to hair cuts.

What NOT to Cut from Your Budget

Many people suggest that you eliminate certain expenses like internet access and cell phones. I couldn't disagree more. In today's fast-paced electronic world, you must have an internet connection while job hunting. Many jobs require that you apply online. Plus, you can access countless job databases such as Monster and Flipdog.

Another reason to keep your internet access is to apply for unemployment benefits. You can apply in most places online as well as check in weekly.

A cell phone is also necessary while job hunting because you want potential employers to be able to reach you. You don't want potential employers to call you via a land line and find it busy either due to dial-up internet or due to another family member tying up the phone.

Of course, you can reduce your cell phone bill by choosing a smaller plan. Do you really need all the bells and whistles with the expensive plan? Probably not. You can upgrade once you find work again.

What You CAN Cut from Your Budget

You've probably heard about the latte factor - don't buy coffee drinks for a while to save money. However, many people already do not indulge in daily espresso drinks so where can you trim your budget to help your family financially?

First, look at your list of expenses and cut out the extras such as cable or satellite television. Basic television plus movie check-outs from the library can get you through your unemployment months. Next, examine your other monthly nice-to-have expenses such as gym memberships. You can save money by staying at home and walking around the neighborhood for 30 to 60 minutes per day.

Make a weekly menu, especially for dinners. Many people stop for groceries a few times each week because they haven't planned dinner ahead of time. These extra stops at the grocery store can really impact your budget as you may be tempted to buy items that you really don't need. You can create 7-10 standard dinner meals and purchase the supplies in one visit. If you need to supplement your weekly grocery trip with fresh fruits and vegetables at mid-week, try to only buy these items. You'll not only save time, money, and gas, but you may eat healthier and lose a few pounds.

How to Support Your Spouse and Family Emotionally

When your spouse gets laid off, it will be an emotional shock. From personal experience, I can attest to the emotional ringer that I went through - from fear to anger to frustration to eventual hope. Most importantly, do not attack your spouse in any way. Instead, work together to come up with a plan for gaining employment. File for unemployment benefits. Contact everyone you know and send out your resume. Post your resume on job boards such as Monster.com. Keep regular "business" hours for job hunting.

It is also important to build in some fun time. Couples and families can quickly get depressed when the budget tightens and it seems as though all entertainment has disappeared. Check your local paper for free family activities in the community. Check your library to see if they have free cultural passes to various attractions such as zoos or gardens. Take a nature walk at a local park. You can find fun activities to do to lift your spirits and help you through tough financial times.

You can plan a family fun evening. Check out a movie from the library and work together to make a pizza. You can make pizza dough with very inexpensive, basic ingredients. Make your own sauce by cooking up some stewed tomatoes, garlic, and other spices. Add some grated cheese and basil and you have a fun family meal for very little money.