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Job Stability
No more
Recently, abrupt layoffs and mass firings, often for no legitimate reasons, have made it more and more apparent that relying on one job as the sole source of income is precarious. There is no such thing as a stable job.
In recent years we had recessions, layoffs during Covid, and now massive layoffs in jobs that were once considered stable and safe, federal jobs. Federal employees are finding out that they have to live on unemployment benefits, have lost their health insurance and access to all other benefits.
How To Prepare
Have an emergency fund
A job loss can be a minor inconvenience or a total catastrophe. The difference is an emergency fund. Common guidelines suggest setting aside three to six months of expenses. However, I would suggest having a reserve of at least nine months or (preferably) a year.
Knowing that you have a year’s worth of expenses set aside buys a lot of piece of mind. It buys time to look for a new job or even a new career without being stressed out. You can work part time to stretch that emergency fund, but you don’t have to take any old crappy job just to survive.
