Redundancy What Do I do??

forsya

Hi all

I haven't been on this website for a while now and have missed it!

Wandered if anyone could help suggest what I do in my current situation.

I was made redundant a mth ago and am currently on "garden leave" (i.e still being paid until the end of June). In a way it is a good thing as I received a base package of £5,500 and have holiday and bonus on top of that, so could pay off lots of my debt.

Thing is I am not sure what the best thing to do now is? Should I pay of as much debt with the £5,500 as soon as I get it, and then if I do not get a job and need money for a month or so use a cedit card? Or just hope that I get a job asap!!

Or do I put the money to one side until I have a job confirmed, and THEN pay off my debt??

Also, I want a change in career but this will mean dropping in salary, I could get a job on the same money, but I would not be happy doing this. Wandered if people work for money or do a job they enjoy and less money, which is more important? To me it is job satisfaction, but I am worried I should be earning more money?

Thanks for any advice!

forsya

Forgot to show signature so you can see my current debt status!

cjones_3

Hi forsya,

First sorry to hear about your redundancy .. I was made redundant 15 months ago so know whats its like.

I can't offer any advice on the debt issue, but just thought I would share some of my post-redundancy experiences.

I was in a job I didnt like and got a good redundancy settlement, I decided that I needed some time off and so didn't look for a job and tried to think about what I would like to to do. Time went by (incredibly quickly) and before I knew it I was in a rut, motivation was low, funds were drying up and I was still nowhere near going for a more self-fulfilling role because at the end of the day "I couldnt start at the bottom again".

And that was the crux of it for me ... I couldn't start "all over" again salary and position wise.

What i'm trying to say is .. dont give yourself too much time off, when I went for interviews again the first question was "why haven't you found work yet". And the time went so quickly it was scary.

If you know what you want to do .. then try it out for a week or so as early as you can ... to see if the reality matches the expectations.

Hope this work out for you ..:beer:

Broken_hearted

Hugs I would keep the money as you may need it to live on till you find a new job.

alice's_mum

Definately keep the money to live on or as "spare" and then put whatever is left when you get a job off the debt.

seven-day-weekend

Don't pay off the debt till you have a new job.

Hopefully that will be soon and then you'll be New Job and Little Debt!

eamon

Things to do first.

Arrange appointment with the Jobcentre. You need to keep your NI contibutions and hence tax records upto date. Plus you need to do something with your P45 and you can't act on the next item unless you have done this step. Also Jobcentre Plus have careers advice services. Not the worlds best, but they are there and should be used.

Don't use to pay of your debts unless getting rid of small nusiance debts. Should you have any PPI on your other debts then investigate claiming, See above!

If you are single or the sole wage earner in your house then don't forget to speak to your local council re your council tax reduction.

Use your garden leave time wisely to explore career changes. But you need to move at the speed of light. As other posters have said time flies and your nest egg will soon be empty.

Don't take out, extend credit or borrow any more money. After your garden leave is over your income will take a dive! Be prepared!

Be positive and upbeat. You will either get a better, nicer, better paid job in your existing field or change direction and be even happier!!!!!!!!!

yours

Eamon

CLAPTON

get a job in your own field at a good salary asap .
if you want a career change do that after you have a new job and not because you have been made redundant.
only then think about using your redundancy money

h4nym

Forsya

My advice would be completely at odds with the sentiment thus far! So - in the expectation of being flamed, here goes.

1. Get yourself a part-time job that won't interfere with job hunting. At least that will keep some money rolling in

2. With your part-time job in your back pocket, pay off as much of your debt as you can. Immediate calculations suggest that - after your tax rebate, holiday pay etc - you could be dangerously close to paying off the 8 1/2.

3. Again, with your part-time job in your back pocket, you can take a little longer to work out what you want to do career-wise.

On that score, if you can afford it then job satisfaction is a clear priority. If you can't afford it, then you can't afford ('scuse the pun!) the luxury! Grit your teeth and get your head down.

Sorry to be so contrary but hope this helps bring a different perspective!

Good luck...

H

forsya

Thanks for all you advice guys, got me thinking!

All really useful, I will get myself down the job centre. And I do have a part time job so just need to sign up for some more hours I guess.

I am just a bit resilient to going into a job that I hate doing, because I did not enjoy my previous work, I think it would get me down, but yes it would mean starting at the bottom...so unfair, does a degree and general experience not count for anything these days?!!!

Thanks again