INTRODUCTION

Welcome and congratulations. You’re being proactive. This means you’ll make it through this transition in your life quickly and confidentially.

What you’re reading is a free quick start guide that includes a summary of the critical steps you need to take when you lose your job. I know not everyone can afford to spend $9.95 on a book so I wanted to make sure this information is available to anyone who needs it. The faster we as a nation get people back to work, the quicker we all benefit.

This ebook is compiled from the first chapter of the book Laid Off Now What?!? The Great Recession Edition, Thriving Financially through Unemployment. The book goes into minute detail about everything summarized herein and is designed to be used as a reference manual on how to save money, make money, deal with creditors, find a job and bypass the gatekeepers preventing you from achieving your next position whilst unemployed or under-employed. You can acquire the full book where you got this download or in paperback through several booksellers. If you have questions, contact me through LaidOffNowWhat.com or subscribe to my twitter feed @laidoffnowwhat.

Let’s get started

You may have expected to lose your job, or it may have come from out of the blue. Regardless, when it comes, it seems you are never really prepared for it. You’re laid off—now what? This book is all about the ‘what’.

As you begin to take stock of your situation, it may seem insurmountable. That’s normal and it’s normal to have anxiety, doubts and fears. True, you may be carrying high credit card debt and other loans averaging 21% or more. Your savings may be depleted or are less than the debts you owe. The value of your home may be less than you owe. Over the past year you’ve watched your stocks and retirement savings lose nearly thirty-percent of their value. The cost of COBRA (Consolidated Omnibus Budget Reconciliation Act) consumes a significant portion of unemployment benefits leaving little else for food, shelter and transportation. These are a few of the annoying little realities for the newly unemployed or what is facetiously referred to as the pink-slip party.

The timing couldn’t be worse, right? Honestly, is there ever a good time to lose your job? Of course not, especially if the only safety net you had, a steady paycheck is gone. Now what do you do?

First and foremost, don’t dwell on what is wrong, why it happened or the obstacles before you. Let’s get that out of the way now. These challenges will be addressed and you will find tasks, tactics and actions you can take to mitigate their negative effect on you and your family in this series. Worry never produces results. It only produces anxiety and doubt, neither of which supports success. So why worry?

THE GOOD NEWS?

This is temporary and you will survive, thrive and get through it.

THE BAD NEWS?

Nearly 20-million Americans and hundreds of millions of people world wide currently share your situation, which means you’ve got lots of company. Henry David Thoreau wrote: “If misery loves company, misery has company enough.”

Vow now to leave the keeping of company with misery to others. This little eBook is about getting you to a less crowded and far more productive place. A place misery is not welcomed and where hope leads the way. It’s part of the Laid Off Now What series, a series of manuals for the unemployed dealing with the financial, psychological and job seeking strategies necessary to thrive through unemployment and get you back to work (and your life) quickly.

This is an abridged version in a quick-start format designed to help you avoid the most common mistakes the newly unemployed and those seeking employment make. These mistakes cost people hundreds of dollars a month in lost savings and months of unproductive time. I created this free book to highlight the critical steps each person needs to take the minute they know they are going to lose their job or on the day they do.

I’ve written this book in a familiar rather than technical or textbook style. Each section is self-contained, meaning the information you need to deal with a specific challenge presented in whole without requiring the context of the previous or proximate section. You do not need to read the steps in order or even the entire book to benefit. Take what you need. Don’t waste your time on what you don’t. Each person is unique and arrives at this point in their life with different needs, experiences and skill sets.

With that said, let’s get started. Welcome to your next adventure!

Laura Dawn Lewis,

Author, LAID OFF, Now What?!? Series

________________

THE 16 CRITICAL STEPS FOR THE UNEMPLOYED

WHAT YOU NEED TO DO YOUR FIRST WEEK

A Quick Start Guide

You’ve got a lot to do this week and most of this will be preparation, which if done well, will save you a substantial amount of time, grief, stress, and energy in the weeks ahead. Begin working on these tasks the day you’re given a lay off notice, or the day you realize it’s time to start looking for a new job.

THE PRIMARY TASKS YOU NEED TO ACCOMPLISH DURING WEEK ONE ARE:

CHAPTER 1: Schedule all doctor appointments

CHAPTER 2: Submit your expense report

CHAPTER 3: Check out your health care spending account

CHAPTER 4: Call your state’s unemployment office—or—visit their website

CHAPTER 5: Sign up for Sxipper, RobboForm, or another form-filling software

CHAPTER 6: Make a target list of the companies you want to work for

CHAPTER 7: Make a list of your assets and liabilities

CHAPTER 8: Prepay as much as possible

CHAPTER 9: Hope for the best but plan for the worst

CHAPTER 10: Update your resume and cover letter

CHAPTER 11: Create your online networking profiles

CHAPTER 12: Begin collecting samples and testimonials for your Webfolio* (Professional-level careers and above)

CHAPTER 13: Cancel ALL Automatic Payments

CHAPTER 14: Get your oil changed in your car. Deal with any basic maintenance, registration and smog test issues now.

CHAPTER 15: Get a general e-mail address (yahoo, hotmail, gmail) to use for your job search

CHAPTER 16: Update your address book. Send an e-mail out to everyone in your network.

It may seem like a lot to do, but you can get it all done. If you’re married, have teenage or older children at home, or are living with another adult, many of these tasks should be done together. The loss of your job affects everyone in the household and if your children are old enough to understand this, going through this process with them will be invaluable to their future. It will also teach them essential skills they will not learn in college while impressing upon them the importance of economizing and being careful with any and all assets you have. This includes unplugging appliances not in use and turning lights off when leaving the room to save on electricity, (which is something you can start now).

With that said, let’s get to work.

CHAPTER 1: SCHEDULE ALL DOCTOR APPOINTMENTS

(Annual physicals, eye exams, and dental cleanings) before your benefits expire.

Do this immediately and do not wait. Ask your employer exactly when your coverage ends. Then verify it with the insurance company. Some insurance policies end the day you leave; others go through the end of the month. You'll want to use the next week if your insurance is in place to get your annual physical, dental cleanings, and eye exams. Schedule all appointments for your children as well. If your children are in the middle of orthodontic care such as braces, ask your doctor how this treatment is handled if you no longer have insurance.

Health Maintenance Organizations (HMOs) such as Kaiser or Pacificare can make this step difficult. They tend to set routine appointments months in advance. Do not take no for an answer and do not let them put you off. If you have to, bypass the appointment setters and speak directly to your doctor. Insist on the next available opening and make sure he/she understands you cannot wait six-to-eight weeks because you will not have insurance then. It could be a year or longer before you have insurance again. Most companies have a 90-day waiting period before benefits go into effect once you are hired. Do what you can now to get as much as you can from the coverage you have.

During your final check-up, ask for copies of your family’s medical records. Keep these in a protected place such as a relative’s home, safe or safety deposit box, or scan them into a portable hard drive. Several people we’ve interviewed have had a doctor disappear for various reasons, some legal and some not. As the economy continues to crumble, even doctors are getting caught in the vise and with them, their medical records. This is one problem you don’t need now. Having a copy of your records prevents it. You have a right to them. Do not let the HMO or doctor tell you differently.

CHAPTER 2: SUBMIT YOUR EXPENSE REPORT

Make sure you get in writing that your former employer will compensate you for any company expenses that have not been submitted and any promises they have made to you before leaving. Most employers will require you tender your last expense report within five working days of your leaving. This can include any approved expenses such as mileage, coffee, and sandwiches for meetings, parking fees, travel expenses, office supplies, pre-paid magazine or association dues, cell phone bills, and other miscellaneous expenses. To be reimbursed you need receipts and itemized bills for phone or other reoccurring expenses. If in doubt, submit it. The worst that can happen is they’ll say no. Make copies of everything before you submit it.

You may also get paid for any unused vacation time and/or sick time. If you are in sales, you can generally negotiate two to four weeks out on collected revenues.

CHAPTER 3: HEALTH CARE SPENDING ACCOUNT

You may have several thousand dollars more than you thought if you took out a tax-free medical-spending account. Typically you elect to have a certain sum pulled out of your paycheck every month to pay medical expenses. This full amount is usually available to you by January 30th of each year, even though it will take you a full year to of contributions to fulfill the total. Most plans provide a credit card for you to use. Here’s how it works.

This is an actual example: Let’s say in October when you completed your benefits elections you designated the maximum amount of $4,000 to be set aside. Perhaps you have kids who need braces or you are anticipating surgery or some other medical procedure. Commencing January 1st, $153.00 is deducted from your paycheck every two weeks before taxes. Suddenly in March, you find out your department has been laid off. At this point you’ve contributed less than $1,000 but you can use the full $4,000. Check your contract immediately. Most do not require that you pay back what you haven’t contributed, which means you have an extra $3,000 to spend on medical bills, you didn’t know you had. And since these are medical expenses, you may not have to pay taxes on that extra $3,000 either.

What can you spend it on? Any medically approved expense: Lasik surgery, dental work, medical weight-loss programs including purchasing the food, drugs, surgery for deviated septum, and other health expenditures. The bottom line is, if you don’t spend it you lose it.

In the following case, a person used $3,500 for Lasik surgery and the remaining $500 for a weight loss program through a company called Lindora®. At tax time in 2009, he reported it on his taxes but did not have to pay taxes on the sum. Nor did he have to pay back the $3,000 he hadn’t contributed. How can the medical benefits programs afford to do this? Because the terms require you spend the money on approved medical care and many people don’t use up their full amount because they don’t look in to all of the different things they can use it for. If they don’t use it, the company keeps the money. This offsets the small percentage of people who take out the full benefit amount early in the year and then lose or quit their jobs before the end of the year. Yes, even if you quit your job, this is one benefit you take with you.

How long this advantage will stay in effect is yet to be seen. If you have the funds, use them immediately. There is always a chance the loophole will close. You might as well get the benefits while you can. It may be possible to use these funds to pay for medical insurance as well which could allow your family to maintain coverage, even if you’re unemployed. Check the terms of your contract. Every company and state is different. The example above was in California during 2008.

CHILD OR DEPENDENT CARE AND OTHER PRE-TAX DEDUCTIONS:

A similar scenario may be available for deductions you’ve elected for child care and other services. Read the contract to see if you’ve got money you didn’t know you had.

CHAPTER 4: CALL YOUR STATE'S UNEMPLOYMENT OFFICE

or visit their site online. Contact information for all 50 states is included further on in this chapter.

Don't feel guilty about this. You and your employers have been paying into this fund your entire working life. You've earned the money you are going to receive through your hard work. File the day you are terminated, unless it is in December or June. The reason you may want to wait during these months has to do with fiscal years. That is covered below. Call your state's unemployment office or visit their website. Most states begin the benefit period from the day you call or file, not the day you were let go. You will not get paid for the first week of unemployment in most states (although in some they count the day you call as the first week, i.e., let go Friday, call, become eligible the following Monday). It will take three-to-four weeks to get your first check, longer if you were fired because they must do an investigation. In most cases you will still receive compensation even if you were fired. The exceptions are termination for misconduct (lying, cheating, abusive language, etc.) or criminal acts.

CONTACTING YOUR STATE UNEMPLOYMENT OFFICE:

Some states are easy to work with. Others are nearly impossible and make the process a dehumanizing experience. First try to do everything online. Links to each state’s unemployment division are provided for you in this chapter. You can also choose to call, but this is not recommended. The links later in this chapter will take you to your state’s phone numbers as well. When calling your state’s unemployment department, set aside four to five hours one day to just continually redial the number until you get through. Use a speakerphone if possible.

You’ll need to listen to the five-minute instruction each time to see if you are lucky enough to actually be allowed to hold or you get the “I’m sorry but the maximum number of callers on hold has been reached. Please call again later.”

On the website for this book, LaidOffNowWhat.com, we’ve assembled copies of the Unemployment manual for each state if available.

HINT: MAXIMIZING YOUR BENEFIT.

Most states’ fiscal years end June 30th. If there is to be a boost in benefit payment amounts, generally these occur only for claims filed AFTER the start of the state’s new fiscal year. Occasionally states will raise benefits January 1st instead. If you become unemployed close to June 30th or December 31st, find out if the benefits will rise in the next quarter BEFORE filing. Claims filed before stay on the old rate. Waiting up to a month, if you are coming up on your state’s end of fiscal year, could mean hundreds of extra dollars per month for you. It is in your best interests to determine if a rate increase will occur in the new fiscal year and if delaying your filing will benefit you financially.

ABOUT EMERGENCY EXTENSIONS

Occasionally the federal government will extend unemployment benefits up to 26-weeks.

During the spring and summer of 2008, most states received additional funds from the federal government to extend unemployment benefits. Each state’s rules vary. Some will allow you to apply funds retroactively. Others require you open a new claim and others have various different methods of disqualifying people. You’ll need to check out your state’s policies. Even if you are disqualified, challenge it. The worst that can happen is the state will say no.

If the money is there and you’re eligible, get it. Don’t let pride get in your way. You have earned this money and it is part of the cost employers carry when hiring staff. But be aware, unlike the initial benefits, which are guaranteed by state law, extensions can disappear without warning.

A similar downturn in the economy from 2001 through 2002 prompted the federal government to extend unemployment benefits due to the fallout from September 11th. California finally put this into effect in April 2002. The extension was pulled in July 2002 without warning. Many who were unemployed and living on the extension expected up to 26 additional weeks. To their horror, they discovered the checks instead stopped at the end of the 11-to-13 week extension period, leaving thousands jobless and without any income.

The reasoning for this in states like California was that a maximum amount is set aside per claimant. This amount is the same for a minimum wage-earner or a corporate executive. Therefore, the higher your benefits and previous income, the quicker the extension ran out. The irony of this system? The more money you make, the longer it takes to find a new job. A person making at or near minimum wage can usually find employment, even in a down economy, within two months. An executive or skilled professional often requires 12-to-24 months.

UNDEREMPLOYMENT, THE NEW REALITY

Once upon a time completing a college degree provided security and the knowledge that once you paid your dues, you’d never have to endure another commodity job as long as you lived. Once upon a time.

The reality today is that many of the people serving you at retailers, restaurants, and in low-skill jobs, the kind generally held by persons with a high school diploma or less, have undergraduate degrees, MBAs and even PhDs. Why would a highly skilled and highly educated person take such a job? Many of these people have tens of thousands of dollars in student loans to pay off, are still single and because of this debt coupled with a single income household, they haven’t been able to accumulate a nest egg. Enter a job loss. Without a paycheck they can’t afford food, housing or their car unless they act quickly. Unemployment compensation is normally less than 30% of the normal take-home salary for union or degreed professionals. If you took a 70% cut in pay, could you survive? Most people cannot.

The second reason many degreed people take jobs below their skills and pay grade addresses professional growth and career management. To work in your field of expertise at a substandard salary creates a salary history that limits advancement in the future. For many it is also a matter of principle. Professionals will work pro-bono before they’ll work for substandard pay. Pro-bono is seen as an asset on a resume. Earning $20 an hour for a position that usually pays $75 is seen as desperate and unprofessional.

One of the top advertising people in Los Angeles with a PhD in Marketing and 25-years experience was out of work for two years between 2001 and 2003. She explained why she turned down many offers of employment, “To offer me $70,000 a year for my knowledge, contacts, and expertise is an insult. I am not going to give any company seven months of my time for free. If I take that salary, that is what I’m doing. I’d rather work for $8.00 an hour at a Starbucks and freelance on the side at my usual rate. Otherwise I prostitute myself to a company that doesn’t value me enough to pay me what I’m worth.”

Practical reasons also necessitate not working for less than you’re worth in your area of expertise. Companies will do salary checks and if they show you’re willing to work beneath your level or take a salary below the going rate, you’ve just lost an important edge in salary negotiations. Likewise, if you take a position lower than your skill level in your industry. On paper it appears you’re going backwards in your career, not forward. This tells employers you may not be privy to the latest trends or technology, an opportunity-killer in a competitive market. The tighter the job market, the more important it is you look like a winner on paper. By the way, you do not have to list every job you’ve had and you do not have to list current employers on your resume. Leave off fill-in and under-employment jobs on professional resumes, unless the experience serves you. If you normally work in technology but take a lower paying job in health care to make ends meet, you can position this on your resume as learning a new industry. Should an employer comment about holes on your resume, you can always state you are consulting or freelancing. Bottom line, only place jobs on your resume that are relevant to the position applied for and serve to propel you forward in your career.

SELF-EMPLOYMENT ASSISTANCE (SEA) PROGRAM

Delaware, Maine, Maryland, New Jersey, New York, Oregon, and Pennsylvania offer Self-Employment Assistance to qualified unemployed individuals seeking to becoming self-employed or starting a business in their state. Once an individual is approved for the program, the benefits of the SEA program include:

Weekly SEA compensation in place of unemployment benefits

A waiver of the work search requirement while actively engaged in the self-employment activities, such as attending a mandatory 60-hour business course over a four-to-six week period and devoting time to starting the business

Counseling and technical assistance in developing a business plan

To qualify for a SEA programs you must:

Be eligible for unemployment benefits

Be a dislocated worker and unlikely to return to your previous employment

Have been profiled by the state as likely to exhaust unemployment benefits

Have a viable business idea

Be willing to work full-time in developing the business

Have or be able to obtain the financial backing needed to start and sustain the business until it becomes self-supporting

Currently the seven states listed are the only states offering such programs. Your state may have grants and other options available. To find out, contact your state’s employment office or its Economic Development Authority, the Small Business Administration or SCORE.

If you’re looking for loans or grants to start a new business or keep your current small business alive, Business.gov provides links to the most common programs available to help you determine what you need. http://search.business.gov/startLoans.html

The following pages contain the contact information and the maximum unemployment compensation available in each state as of this writing.

STATE EMPLOYMENT OFFICES

Amounts are based upon data available in January 2009. Minimum compensation can range from $5 to $60, depending upon the state.

This graph with active links is available on LaidOFFNowWHAT.com at: http://www.laidoffnowwhat.com/laidoffnowwhat/Finance/Maximum_Unemployment_Comp.htm

ALABAMA

Dept. of Industrial Relations

http://dir.alabama.gov/

Maximum Weekly Benefit: $255

ALASKA

Dept. of Labor & Workforce Development

http://www.labor.state.ak.us

Maximum Weekly Benefit: $370

ARKANSAS

Department of Workforce Services

http://www.state.ar.us/esd

Maximum Weekly Benefit: $395

ARIZONA

Department of Economic Security

https://www.azdes.gov/ASPNew/default.asp

Maximum Weekly Benefit: $240

CALIFORNIA

Employment Development Dept.

http://www.edd.ca.gov

Maximum Weekly Benefit: $450

COLORADO

Dept. of Labor and Employment

http://www.coworkforce.com

Maximum Weekly Benefit: $431

CONNECTICUT

Dept. of Labor

http://www.ctdol.state.ct.us

Maximum Weekly Benefit: $519

DISTRICT OF COLUMBIA

Dept. of Employment Services

http://www.does.dc.gov/does/site/default.asp

Maximum Weekly Benefit: $359

DELAWARE

Delaware Dept. of Labor

http://www.delawareworks.com/services.shtml

Maximum Weekly Benefit: $205-330*

*Maximum payment depends on the balance within the state’s trust fund.

FLORIDA

Agency for Workforce Innovation

http://www.floridajobs.org

Maximum Weekly Benefit: $275

GEORGIA

Georgia Dept. of Labor

http://www.dol.state.ga.us

Maximum Weekly Benefit: $330

HAWAII

Dept. of Labor and Industrial Relations

http://hawaii.gov/labor

Maximum Weekly Benefit: $510

IDAHO

Idaho Dept. of Labor

http://labor.idaho.gov

Maximum Weekly Benefit: $364

ILLINOIS

Dept. of Employment Security

http://www.ides.state.il.us

Maximum Weekly Benefit: $385-$534*

*Depends on whether single, married or with children

INDIANA

Dept. of Workforce Development

http://www.in.gov/dwd

Maximum Weekly Benefit: $390

IOWA

Iowa Workforce Development

http://www.iowaworkforce.org

Maximum Weekly Benefit: $361-$443*

*Depends on whether single, married or with children

KANSAS

Kansas Department of Labor

http://www.dol.ks.gov/index.html

Maximum Weekly Benefit: $407

KENTUCKY

Office of Employment and Training

http://oet.ky.gov/index.asp

Maximum Weekly Benefit: $415

LOUISIANA

Louisiana Dept. of Labor

http://www.ldol.state.la.us

Maximum Weekly Benefit: $258

MAINE

Maine Dept. of Labor

http://www.maine.gov/labor

Maximum Weekly Benefit:

$344 + $10/dependent per week

MARYLAND

Division of Labor, Licensing & Regulation

http://www.dllr.state.md.us/employment

Maximum Weekly Benefit: $380

MASSACHUSETTS

Labor and Workforce Development

http://www.mass.gov/?pageID=elwdhomepage&L=1&L0=Home&sid=Elwd

Maximum Weekly Benefit: $628

MICHIGAN

Michigan Career Portal

http://www.michigan.gov/jobs

Maximum Weekly Benefit: $362

MINNESOTA

Minnesota Workforce Center

http://www.mnworkforcecenter.org

Maximum Weekly Benefit: $566

MISSISSIPPI

Department of Employment Security

http://www.mdes.ms.gov/wps/portal/#nul

Maximum Weekly Benefit: $230

MISSOURI

Department of Labor & Industrial Relations

http://www.dolir.mo.gov/es/index.asp

Maximum Weekly Benefit: $320

MONTANA

Dept. of Labor and Industry

http://www.dli.mt.gov

Maximum Weekly Benefit: $407

NEBRASKA

Nebraska Dept. of Labor

http://www.dol.state.ne.us

Maximum Weekly Benefit: $308

NEVADA

Dept. of Employment, Training and Rehabilitation

http://detr.state.nv.us

Maximum Weekly Benefit: $393

NEW HAMPSHIRE

Employment Security

http://www.nh.gov/nhes

Maximum Weekly Benefit: $427

NEW JERSEY (By Far the Best State Site)

Work Force New Jersey

http://lwd.dol.state.nj.us/labor/wnjpin/findjob/findjobindex.html

Maximum Weekly Benefit: $584

NEW MEXICO

New Mexico Department of Workforce Solutions

http://www.dws.state.nm.us

Maximum Weekly Benefit: $326 – 386*

*Depends on whether single or with children

NEW YORK

New York Dept. of Labor

http://www.labor.state.ny.us

Maximum Weekly Benefit: $405

NORTH CAROLINA

N.C. Employment Security Commission

http://www.ncesc.com

Maximum Weekly Benefit: $476

NORTH DAKOTA

North Dakota Job Service

http://www.jobsnd.com

Maximum Weekly Benefit: $406

OHIO

Dept. of Job and Family Services

http://jfs.ohio.gov

Maximum Weekly Benefit: $372 – 503*

*Depends on whether single, married or with children

OKLAHOMA

Employment Security Commission

http://www.oesc.state.ok.us

Maximum Weekly Benefit: $409

OREGON

Oregon Employment Dept.

http://www.employment.oregon.gov

Maximum Weekly Benefit: $482

PENNSYLVANIA

Penn. Dept. of Labor and Industry

http://www.dli.state.pa.us/landi/site/default.asp

Maximum Weekly Benefit: $558

RHODE ISLAND

RI Dept. of Labor and Training

http://www.dlt.ri.gov

Maximum Weekly Benefit: $528-578*

*Depends on whether single, married or with children

SOUTH CAROLINA

SC Employment Security Commission

http://www.sces.org

Maximum Weekly Benefit: $326

SOUTH DAKOTA

South Dakota Dept. of Labor

http://www.state.sd.us/applications/LD01DOL/frameset.asp?navid=&filtertype=1

Maximum Weekly Benefit: $298

TENNESSEE

Dept. of Labor & Workforce Development

http://www.state.tn.us/labor-wfd

Maximum Weekly Benefit: $275

TEXAS

Texas Workforce Commission

http://www.twc.state.tx.us

Maximum Weekly Benefit: $392

UTAH

Dept. of Workforce Services

http://jobs.utah.gov/jobseeker/dwsdefault.asp

Maximum Weekly Benefit: $444

VERMONT

Dept. of Labor

http://labor.vermont.gov

Maximum Weekly Benefit: $425

VIRGINIA

Virginia Employment Commission

http://www.vec.virginia.gov/vecportal

Maximum Weekly Benefit: $378

WASHINGTON

Employment Security Department

http://www.esd.wa.gov

Maximum Weekly Benefit: $541

WEST VIRGINIA

Workforce West Virginia

https://www.workforcewv.org

Maximum Weekly Benefit: $424

WISCONSIN

Dept. of Workforce Development

http://www.dwd.state.wi.us

Maximum Weekly Benefit: $363

WYOMING

Wyoming Dept. of Employment

http://wydoe.state.wy.us

Maximum Weekly Benefit: $415

UNEMPLOYMENT FACTS:

Figure 1-month for every $10,000 in salary you make to find a new position. The less money you make, the easier it will be to find a job.

Unemployment compensation is TAXABLE by the federal government.

The maximum allowable unemployment in California is $1,800 per month. The average rent is $1,400 per month and the average house costs $385,000 with house payments near $3,500 per month. If you are unemployed in California and without savings, your chance of becoming homeless within thirteen weeks is high. Other states go as high as $2,490 with rents averaging $1,200.

Foreign residents with valid visas authorizing them to work in the United States can qualify for jobless benefits if they meet the requirements of the state in which they file. These are the same whether you are working with a green card, work visa, or are a U.S. citizen.

Most states allow claims to go for four to six months, maximum. Extensions can take these to 11-months, but don’t count on it.

CAN YOU GO TO ANOTHER STATE where the cost of living is lower and the unemployment compensation is higher? You can go and live anywhere you want, but your compensation will be paid by the state in which you were laid off or fired. Because unemployment insurance is collected and distributed by each state, only the state you worked in will pay your benefits. You can move to a less expensive state and still receive benefits from your old state as long as you can continue to prove you are actively looking for a job. Check with your state’s requirements first and be sure to read the fine print. The last thing you need right now is a loophole preventing you from receiving compensation

EMPLOYMENT PROGRAMS AND SERVICES Additional programs and options for the unemployed seeking work and assistance continue to be offered. Many of these target specific at-risk groups. The federal government, through a program called Career One Stop has developed a searchable database for each of the 50 states. It includes each of these programs, where they are, and how to work with them.

The locator is at this URL: http://www.servicelocator.org/

SUMMARY OF ADDITIONAL RESOURCES

INDIAN AND NATIVE AMERICAN PROGRAM http://www.servicelocator.org/office_search.asp?officetype=8

Employment and training services specific to Native American communities, administered with respect for the traditions, values, and cultural sensibilities of each tribe.

JOB CORPS CENTERS

http://www.servicelocator.org/office_search.asp?officetype=10

The nation's largest residential and educational training program for economically challenged youth, ages 16 through 24. Students receive academic, vocational, and life-skills training, as well as apprenticeship experience.

NATIONAL FARM WORKER JOBS PROGRAM

http://www.servicelocator.org/office_search.asp?officetype=12

These programs are specifically for migrant and other seasonally employed farm workers and their families, which include development of economic self-sufficiency through job training and other services.

OLDER WORKER PROGRAM - SCSEP http://www.servicelocator.org/office_search.asp?officetype=14

Senior Community Service Employment Program (SCSEP) assists with subsidized part-time employment and training in community service positions for eventual transition into private-sector employment specifically designed for older workers, (55+).

VOCATIONAL REHABILITATION AGENCIES http://www.servicelocator.org/office_search.asp?officetype=6

Designed for persons with mental or physical disabilities, these programs provide the career coaching and training necessary to compete in the interview process, get a job, and keep a job.

WELFARE-TO-WORK OFFICES

http://www.servicelocator.org/office_search.asp?officetype=6

For those who have had to survive on public assistance, Temporary Aid to Needy Families (TANF), formerly Welfare-to-Work, places people in jobs that will help them attain economic self-sufficiency.

EDUCATIONAL INSTITUTIONS, PROGRAMS, AND SERVICES

COMMUNITY COLLEGES

http://www.servicelocator.org/office_search.asp?officetype=4

Community colleges function as trade schools, university primers, and community education centers. People looking to save money on the cost of college often attend for the first two years, then transfer to a four-year university. Once you graduate from the university, nobody needs to know you went to a community college. Your diploma shows the four-year university only. This is an integral part of the workforce development system, certifying people for specific trades. Community colleges often provide excellent education in specific disciplines if the region is home of a major employer or industry. For example, Boeing and Microsoft heavily fund the community-college system in the Seattle area. This has created a far superior math and science curriculum at the community-college level than at most four-year universities.

LITERACY PROGRAMS

http://www.servicelocator.org/office_search.asp?officetype=5

These programs provide local assistance with reading, writing, speaking, and listening.

BUSINESS DEVELOPMENT SERVICES

RURAL DEVELOPMENT LOCAL OFFICES http://www.servicelocator.org/office_search.asp?officetype=93

RURAL DEVELOPMENT STATE OFFICES http://www.servicelocator.org/office_search.asp?officetype=92

The United States Department of Agriculture (USDA) has local Rural Development Offices in every state. These local offices offer grants, loans, and loan guarantees for people in rural locations to start or maintain their own business.

MILITARY AND VETERANS OFFICES AND SERVICES

MILITARY RECRUITING OFFICES http://www.servicelocator.org/office_search.asp?officetype=89

Where to go if you are interested in working in the U.S. military services: Army, Air Force, Navy, Marines, and the U.S. Coast Guard.

VA MEDICAL CENTERS

http://www.servicelocator.org/office_search.asp?officetype=97

The U.S. Department of Veterans Affairs operates the nation's largest integrated health care system with more than 1,300 sites of care, including hospital, community clinics, nursing homes, domiciliary, readjustment counseling centers, and various other facilities.

VA REGIONAL OFFICES

http://www.servicelocator.org/office_search.asp?officetype=95

Veterans Benefits Administration (VBA) provides benefits and services to the veteran population through 58 VA regional offices. Some of the benefits and services provided by VBA to veterans and their dependents include compensation and pension, education, loan guaranty, and insurance.

VETERANS CENTERS

http://www.servicelocator.org/office_search.asp?officetype=96

The Centers provide individual, group, and family counseling to all veterans who served in any combat zone. Services are also available for their family members. Veterans have earned these benefits through their combat service and all are provided at no cost to the veteran or his family.

OTHER LOCAL OFFICES, PROGRAMS, AND SERVICES

HUD NEIGHBORHOOD NETWORKS CENTER http://www.servicelocator.org/office_search.asp?officetype=3

These sponsor a range of services and programs in housing units nationwide. Nearly all centers offer job training and educational opportunities, and many also provide programs that include access to health care information and micro-enterprise development.

SOCIAL SECURITY OFFICES

http://www.servicelocator.org/office_search.asp?officetype=90

Offices administered by the Social Security Administration (SSA) assist customers with retirement, Medicare, disability and SSI, survivors benefits, name changes, etc.

SENIOR CENTERS

http://www.servicelocator.org/office_search.asp?officetype=7

Community-based organizations that focus on providing socialization and leisure activities to independent elders who do not require assistance or supervision. Services vary by site, but may include meals, transportation, health screening, and recreational activities. These centers are usually funded by cities and counties, but may charge a small fee which is not reimbursed by insurance plans.

CHAPTER 5: SIGN UP FOR SXIPPER, ROBBOFORM OR ANOTHER FORM-FILLING SOFTWARE

You want to save your wrists, fingers, and hands from repetitive inputting? If you use Mozilla Firefox as your browser, Sxipper is a free add-on service that remembers how you fill out forms online and does the work for you. I absolutely love the service, especially when it comes to filling out online job applications over and over and over again. One little click and your name, address, phone, user name, and password drop into place. Sxipper keeps track of an unlimited number of usernames and passwords as well as the personal data you share every day over the web.

Your privacy is protected because Sxipper asks you first if you want it to remember the information and then asks if you want it to release the information. You can learn more about Sxipper here: http://www.sxipper.com/

ROBOFORM is another program that acts like Sxipper. The company has a free and a paid version of the software and it can work on most browsers and operating systems. Information is available here: www.roboform.com

KEEPASS is yet another option from the open source project. Information is available here: http://keepass.info

Any of these that you choose will save you a lot of time, mendacity, not to mention sore fingers and wrists. They’re absolutely fabulous.

CHAPTER 6: MAKE A TARGET LIST OF COMPANIES

Most experts on employment suggest that you make a list of 15-to-20 companies you would like to work for. This is your target list. Once you’ve identified the key companies, you’ll want to do a complete dossier on each, including the division you want to work for. Several online resources exist to assist you in researching a company. Google, Bing, and other search engines are the obvious starting places, but they don’t always provide you with current information on who works there and who you might report to. That’s where sites like ZoomInfo, (zoominfo.com), Dunn and Bradstreet, Edgar, Hoover, and if you have access (or know a journalist or attorney who does), Lexis/Nexis can assist.

ZoomInfo is tied into the international social networking site Xing and has dossiers on over 35,000 executives and thousands of companies world wide. Dunn and Bradstreet (dnb.com) is a service I have used to determine if a potential client had the ability and credit rating to pay for whatever I was selling, usually advertising and marketing services. Edgar (sec.gov/edgar.shtml) and Hoovers (hoovers.com, which is part of Dunn and Bradstreet) are tools often used by investors to research companies. Lexis/Nexis (lexisnexis.com) provides intelligence on people and companies.

New to the realm of business intelligence tools is Business Week’s Company Insight Center (http://investing.businessweek.com/research/company/overview/overview.asp), a resource where you can find out useful background information on public and private companies. This is also a great place to research competitors.

COMPILING A DOSSIER

What’s the basic information you should have? This will depend upon your field but at a minimum know the company’s size, headquarters, who owns it, what its primary product lines are, any charities it is involved in (as well as any lawsuits pending or in litigation). Know where its primary markets are, last year’s sales if a public company, any innovations it has created, how it’s perceived in the marketplace and who its customers are. Where is the target company in relation to its competitors? Who are its competitors? Sign up for article alerts on each company you are interested in working for. CyberAlert is the top Media Monitoring company: http://www.cyberalert.com/index.html

Even if the companies you are researching have a hiring freeze in effect, through natural attrition the company will lose 15% to 25% of its workforce each year. A portion of these positions will remain unfilled, but not all. That’s where your opportunity is.

CHAPTER 7: MAKE A LIST OF YOUR ASSETS AND LIABILITIES

An asset is something that produces or has the potential to produce income. It either provides revenue on a monthly basis or can be sold for more money than it costs to keep it. For example, if your home is paid off and generating more money than it costs you to maintain it, your home is an asset. This may be the case if you have a home based business, rent out a portion of it or are in farming. Using your home as an ATM through refinancing doesn’t make it an asset; refinancing makes it a liability.

If you’re still paying on something and what you owe is more than 20% of its current value, that item, be it a car, furniture, jewelry or electronics is a liability, not an asset. A liability is something that costs you money. If your home costs you more money than it brings in, it is a liability, even if you’ve paid it off. Don’t depend upon valuations. The past three years have made that clear. Your home is worth what someone is willing to pay for it less what you owe on it plus the annual maintenance costs.

What has value? Begin by listing your liquid assets. A liquid asset is something you can quickly convert to cash. These include stocks, bonds, 401(k), IRAs, credit lines, savings, and items like CDs, DVDs, video games, game consoles like Xbox® and Wii®, most electronics, professional-grade musical instruments, professional-grade sporting goods such as golf clubs, original art, and crystal. Your list should include consignment items, including jewelry, designer shoes, handbags and clothing, eveningwear, wedding dresses, prom dresses, bridesmaid dresses, and other similar items of value. If you’d like to know what your items are worth, look on Craig’s List, EBay, or OLX.com.

OTHER ASSETS: Don’t overlook what you can do as an asset. For ideas about turning what you may not know you have into cash, see (Chapter 3).

PRIORITIZING: Now that you know what you have and what you owe, the next question is what can you cut? (See how we shaved 27% off one man’s budget here) What cannot be avoided?

If you have to miss payments, choose bills that will not directly affect your ability to survive, such as department store credit cards and health-club and other membership dues. Avoid cutting into critical expenses. Critical is anything you need to find a job and stay alive. To find a job you need a phone, electricity, and roof over your head. Your internet connection is critical. Car insurance is unforgiving should you miss a payment and you need a way to get to your interviews.

In a crisis situation, most credit card companies and automotive lenders will allow you to skip a payment or two, if you ask. Generally you will have to pay the interest and any late charges on the account, so this may or may not help you. Utilities are less forgiving. In most cases, your cable will be shut off at 20-days past due.

Phone companies and the electric company can go as far as 45-days past due before you lose service. Car insurance will cancel within 10-days of being past due. Even if you do not own a car, if you have a driver’s license several states require you carry liability insurance on that license. If you fail to do this, you’ll also end up as a high risk. If you let your insurance lapse more than 30-days, most insurance companies will require you file a high-risk SR-22. Check your state laws. A SR-22 requirement triples your insurance rates for up to three years and can cripple you financially.

CHAPTER 8: PREPAY AS MUCH AS POSSIBLE

The day you lose your job is the day you’ll have the most cash until you receive your first paycheck. Pay critical bills, such as insurance, phone, and electricity, as far in advance as possible. Stock up on essentials like toilet paper, shampoo, frozen food, canned foods and pet food.

The average person requires 4-months to find a new job in a good economy. In this climate, plan on taking six-to-twelve months, longer if you are an executive. This means you are going to need to adjust your lifestyle and move into survival mode. Start economizing by eliminating unneeded luxuries. These include maid service, gardeners, and add-on convenience services like caller ID, call waiting, premium cable channels, music downloads and unlimited texting. The daily newspaper isn’t critical; daily news is available online.

The second best way to save money is on your food budget.

Since you’re home and can cook, you can cut your grocery-shopping budget down by 50-percent. Think nutrition. The key is to focus on low-cost foods with high nutritional value. Use coupons only if you regularly buy the product and avoid anything not completely necessary. For example, use bar soap instead of shaving lotion or body wash. Instead of purchasing an expensive laundry detergent, use one of the economy brands. They all use the same ingredient to clean. Predominantly it's the marketing and the density of the phosphate that makes them different.

Chapters two and three cover this in detail.

CHAPTER 9: HOPE FOR THE BEST

Plan for the Worst

BEST-CASE SCENARIO? You’ll be working again within a month, earning twice as much as you made before and winning the lottery the day you get your first paycheck. (In which case, stop reading and give this book to someone who needs it.)

WORST-CASE SCENARIO? You’re unemployed for a year or longer; you’ve used up all your savings. You’ve exhausted your unemployment benefits and the bank has foreclosed on your home, or you’ve been evicted for non-payment of rent. Your vehicle was repossessed. The IRS is after you for back taxes on gains you made during the past decade, putting you over a million in the hole to boot. Because of this, your spouse has left you and your children. You are out on the street, penniless, homeless, and starving, just as your state declared bankruptcy and all social services were cut off. On top of that, you just found out you’ve got a terminal illness.

Chin up! Your reality is likely to be in between these two extremes, with any luck far closer to the best case than the worst. And even if you do end up in the worst-case scenario, thank your lucky stars you’re in the United States, Canada, or Europe. Even as described above, this version of the worst is better than how many people in Palestine, the Sudan, or the slums of China, Rio, and New Delhi live daily. The fact is, no matter how bad it gets, because of where you live and your education, your worst case could be a lot worse elsewhere. Even if you end up homeless, you will still be better off than 40% of the people on this planet.

There is one contingency most people fail to plan for. Almost all employment contracts in the United States are “at will.” This means they do not need a reason to fire you. A personality clash or unmet expectations suffice as reasons and there is nothing you can do about it. If you’ve spent the past eight months getting a job, no doubt you’re thrilled to be back on your feet. Enjoy the moment but proceed with caution. Hold off spending until that 90-day probationary window passes. There are a whole host of reasons a company can let you go, and with a tight economy, they really don’t need any. Have a back-up plan and do not lose touch with the people you spoke with while you were looking for a job. If things don’t work out, you may need to go back to them. During the research for this book, we interviewed several people who got jobs only to lose them again in the next few months. They spent months finding a job, land one and are let go again in the first 90-days. Because they spent most of the past year looking for work, when the unemployment bean counters figure out their compensation, it’s generally a fraction of what they should get and, due to how the control quarters fall, several discovered they’re not eligible for the Federal Extensions because they were looking for work during that time and show no income.

Your best defense against the worst-case scenario is a strong offense. Cliché perhaps, but true. By planning for contingencies, you minimize the possibility of them happening. What do you need to consider? The following will help you create a game plan.

CONSIDERING YOUR OPTIONS

If you lose your home because you’ve been unable to find work, where will you go? Though this is an unlikely scenario, you need a plan. Your options are:

MOVING IN WITH RELATIVES OR FRIENDS:

There is about a 6-month threshold for relatives and 3-months for friends. Parents often will allow you to stay up to a year but know this is temporary. Within a few weeks the novelty will wear off and your family will start treating you like a child again. At this point, you’ll be able to cut the tension with a knife. So many 20-to-40 somethings have been forced to move back home with their parents, there’s even a name for it: Boomerang Kid.

BECOMING A BOOMERANG KID:

You are a boomerang kid if you are between 25-and-50 years of age and due to the current economy, find yourself forced to move back home with your parents.

According to the AARP, the average stay is between 6-months and 2-years. Most boomerang kids are single, college graduates with careers. They live in major cities like San Francisco, Los Angeles, and New York, where the cost of living is enormous; nest eggs are depleted long before well-paying work can be found. Without a spouse and usually without a house, these adult children find themselves caught outside of the system in a career now on hold.

MAKING THE BEST OF A HUMBLING EXPERIENCE

Boomeranging is humiliating for an adult child and frustrating for the parents, but it is better than living on the street. Those who have made this a successful option focus on the positive. How often do adult children get to spend quality time with their parents later in life? Most boomerang kids are well educated and talented. Many will start their own businesses, write books, or discover new opportunities. The hardest part of boomeranging is the constant nagging by parents to get a job, any job, even a minimum-wage job flipping burgers. People over 50 grew up in an era when you pounded the pavement to find a job. That strategy works for retail and commodity jobs. Anything skilled or requiring an education is better found working the phones, networking, and pounding the keyboard from home. Getting parents to understand this takes time.

GETTING ROOMMATES:

Increasingly, adults are pooling together in homes. If you have a home with extra rooms, renting these out to fill in the gaps may be your best option. However, chances are your new tenant(s) will become part of your family, and this can be stressful in itself. Be very careful about who you allow in as roommates.

CARETAKING OR HOUSE-SITTING:

These opportunities exist but the competition is stiff. For every available house-sitting gig on House Careers http://www.housecarers.com in April/May 2009, persons requesting house-sitters report an average of 50 qualified applicants. Many of the people looking for house-sitting assignments are young, single professionals. Many of the house-sitting assignments require taking care of pets and plants.

If you or a member of your family have allergies to pets, this option is not your best. Caretaker positions http://www.caretaker-jobs.com have fewer applicants but the requirements are generally more stringent. Caretaking requires specific skill sets from carpentry and forestry to farming and livestock care. There are other online resources for this, but these are the two we’ve tested.

DOWNSIZING:

This is tough if you don’t have income. Landlords want deposits. Your credit will be checked and you’ve got to move your possessions, which can cost hundreds if not thousands of dollars. This can also include moving to a lower rent district or subletting from an existing tenant.

BOARDING HOUSES:

There are boarding houses available. These can be found on Craig’s List and other internet resources. Many do not require deposits or long-term commitments. This option works for singles, couples, and single parents with one or two children.

PUBLIC ASSISTANCE:

Most states in the U.S. as of spring 2009 are approaching bankruptcy. Social services are being cut at an alarming rate and charities are overflowing with needy families. You may be fortunate enough to get public assistance, but if you come from a middle-class family, often your possessions, including the value of your car, will disqualify you. If you’re single or married without children, your chances are even less. Priority is given to single parents with children, then families with children and the elderly. Normally there is a 60-to-90 day waiting period.

GOING HOMELESS:

This can be living in your car if you’re lucky enough to have one or camping in one of the many tent cities springing up around the United States. Single adults or couples can usually manage for a few months; families with children have a far more difficult time. Personal hygiene, including washing yourself and your clothes, not to mention safety, will be the toughest aspects of this lifestyle. Getting quality food will be a problem. Without a refrigerator, you’ll have to buy as you eat. This means your diet goes downhill and you’re far more likely to get sick and suffer from malnutrition. It also means you’ll spend far more on food than if you had a home. Some cities make it easier to be homeless. Most, however, consider it a crime, meaning even if you do find a safe place to sleep, local law enforcement will probably make you move.

As you’re hoping for the best but planning for the worst, you need to articulate (preferably write down) your plans for what you will do should your worst-case scenario become reality. Create a plan for the following and hope you’ll never need to use it.

ADDITIONAL CONSIDERATIONS

CHILDREN:

What are you going to do about your children and the school year if you no longer can afford your home? Have you made arrangements with friends or relatives in case this happens? How are you going to explain to your children what is happening and the necessity to cut back and go without? You need to be able to do this in such a way that it is a positive learning experience rather than a negative foray into fear. If you’re married, you and your spouse need to sit down and discuss this, create a plan, and agree to stick with it. Most important, if your children are old enough to understand (eight or above), make them a part of the solution. Give them something to do. Hiding your anxiety, fear, and worry won’t help. Children are very intuitive. They know when you are stressed and often internalize it, believing they are the problem. Until they reach age 14, children generally do not have the full ability to understand action/consequence and other critical-thinking exercises. Their brains are still developing, and they do not have the life experience to put things in perspective.

SPOUSE AND OTHER KEY RELATIONSHIPS:

Two things will kill a marriage faster than infidelity. One is a lack of communication and the other is the stress of financial issues. If you’re unemployed for more than three months, expect both to rear their heads during this time. Men specifically have a tendency to withdraw and not talk about their issues. The inability to provide for a family in the manner a man believes his family deserves attacks not only his self-esteem but his self-worth. For the majority of men, their greatest fear is losing the respect of those they love. This includes being seen as incompetent, a failure, out-of-control, weak or lost. Being labeled with this image equates to a loss of respect in a man’s mind. As men do not normally seek help, and often society tells them to do so is a sign of weakness, a man’s vulnerability increases the longer his unemployment continues.

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