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Jobless? Here Are 6 Opportunities You Should Explore

Introduction

If you’re jobless, i.e. without a job and searching for one, don’t lose hope. In fact, you should use this time to your advantage to re-evaluate and possibly re-create yourself. What do we mean? Well, there are likely more opportunities out there for you than you think. You might just have to think a little "outside the box" and try some new things that you’ve never done before.

In this article, we’ll briefly go over how to file for unemployment compensation, find part-time work, explore educational opportunities, find other sources of income, pad your resume, and even start your own business.

Next, we’ll briefly go over how to file for unemployment compensation.

1. File for Unemployment Compensation

Each state has a government agency that administers unemployment compensation, so the rules for filing for unemployment compensation vary from state to state. However, to be eligible for unemployment compensation you generally must meet two requirements:

You lost your job through no fault of your own, i.e. you didn’t resign or commit some act or omission of misconduct to warrant your termination; and
You must have worked for a "base period" of time, e.g. one-year prior to losing your job (Each state sets different "base periods")

If you meet these two general rules, you likely can file for unemployment compensation.

So, how much can you expect to receive? Well, the payment level you can expect to receive depends on how much income you earned, up to a certain state limit. In general, you can expect to receive around $300.00/month for approximately 46 weeks. Additionally, if you live in a state with a high level of unemployment, e.g. 6% or more, you may be eligible to receive up to 59 weeks of unemployment compensation.

Next, we’ll go over some tips on how to cut your expenses.

2. Cut Your Expenses

The first measure to take after filing for unemployment compensation (if you qualify) is to cut your expenses. This can be a liberating experience – in that you may have to give up and/or reduce many services that you’ve grown accustomed to. However, once you get over the idea of giving up some of these services, you’ll begin to simplify your life and liberate yourself in the process. There are many ways to do this, including:

Create a monthly budget by listing all of your expenses and determine which ones you can reduce – then reduce them!
Refrain from using credit cards whenever possible and pay in cash (or cash equivalents, e.g. debit cards)
Cancel unnecessary bills (e.g. premium phone, television, and/or internet plans)
Refrain or reduce going out to eat
Use coupons when grocery shopping
Join food buying clubs (e.g. Cosco or Sam’s Club) where you can buy food in bulk and save money
Re-use and/or recycle whatever you can
Use free services (e.g. local library, associations, government agencies, etc.)
Be frugal with your utilities (e.g. avoid using air conditioning and/or gas as much as possible, turn off lights when not used, water the grass only (if you have a yard) when necessary, etc.
Reduce unnecessary driving trips by writing down all of your errands for the week and see what locations you’ll have to go to. Then, do all of your errands in the least amount of trips possible.
Avoid shopping sprees!

These are just a handful of ways you can cut your expenses. But even some of these steps will allow you to save more money and allow you to get by with what you do have.

Next, we’ll go over how to find other sources of income.

3. Find Other Sources of Income

Find Part-Time Work

One of the best ways to find supplemental income as you look for a full-time job is to pick up a part-time job. Look for areas of work such as part-time hourly, seasonal, freelance, and/or consulting work. This will allow you to earn some income, while giving you the flexibility to research and explore the job opportunities available. If at all possible, try to find a part-time job in the area you eventually want to gain full-time employment. For example, if you’re a teacher and cannot find a full-time teaching job, become a substitute teacher. This will allow you to continue to gain experience, earn income, and hopefully open a door for full-time employment in the future.

Tap Into Your Savings

If you absolutely need some cash, consider tapping into your savings. If your savings is in an account where you can freely take it out, like in stocks, bonds, mutual funds, checking or savings accounts, then take out only the portion you absolutely need. Otherwise, try to get by without taking money out of these accounts.

If you have a 401(k) retirement plan, you should only take out this money in an emergency. If you withdraw from your 401(k) plan before you turn 59 ½ years old, you may lose up to 50% of your money in penalties and taxes for withdrawing your savings too soon. Additionally, you may consider taking your savings in your 401(k) plan and transferring it into an IRA plan. Once your savings is in the IRA plan, you’ll be able to take out your savings without a penalty to cover such things as medical expenses and/or medical insurance costs.

Next, we’ll explore your educational opportunities.

4. Go Back to School

If the industry of your old job was hurt by the struggling economy, consider going back to school to make yourself more marketable. There are many different options in re-educating yourself, ranging in price, location, and degree.

Going back to school can be more affordable than you think. Check out rates at community colleges and technical schools, which are generally affordable and tailored to local industry and community needs. Also, consider online education at schools including:

University of Phoenix
DeVry University
Bryant & Stratton College
America Intercontinental University

If you cannot afford to pay for education, consider attending free programs located at non-profit organizations, charities, and even your local library. To find such programs, search the internet, talk to others who can help you, and stop by your local library and speak with a librarian to learn more about the opportunities out there.

If you are 55 years or older, the American Association of Retired People (AARP) often has free programs for individuals who meet certain income thresholds. Go to the AARP’s website for further details at: www.aarp.org.

Next, we’ll go over how to fill any gaps in your resume for future employers.

5. Pad Your Resume

If you’re jobless and you don’t want your future employer to see gaps in your resume, you should take proactive steps to pad your resume. There are many creative ways to do this.

Consider part-time hourly, seasonal, freelance, and/or consulting work, which will allow you to earn some income and keep your skills up-to-date. Also, look into volunteering your time at a local association, club, hospital, or other organization. If at all possible, volunteer at a place that will sharpen the skills in an area where you eventually want to gain full-time employment. Think of such volunteer work as a win-win situation: the organization receives your assistance and allows you to build your skills.

Consider taking some extra classes (if you cannot afford going back to school full-time) in an area that will sharpen your skills for future employment. As mentioned in the previous section, there are often free programs and classes available if you seek them out.

If you have the money and time, take an extended vacation. This may be just what you need to clear your mind and re-focus on what direction you’d like to go. Just be prepared to explain the nature of this work gap in your resume to a future employer, such as "I saved for a long time to take the vacation of my dreams, and finally did it. Now, I’m ready to enter the work force with a new sense of rejuvenation and commitment."

Next, we’ll explore an option that may be the right fit for you – starting your own business.

6. Start Your Own Business

Sometimes opportunity knocks at the strangest times. If you’re currently unemployed, this may be the best time to rediscover your passions in life. You should consider starting your own business, if you have the proper desire and dedication to succeed.

You’ll still have to support yourself and pay your bills, but there are many ways to do this. You can work part-time, or even full-time, and begin to slowly build your business during the free time you have. In fact, many successful businesses began as hobbies and/or part-time projects.

So, what business should you start? This will depend on your goals and passions. Preferably, you’ll want to link together both your goals and passions together into your new business venture. For example, if you’ve always wanted to sell fishing rods and would like to make $1,000/month doing so, consider setting up a small business to sell your rods to individuals you know and over the internet. Keep your $1,000/month goal in mind, and set a time frame for when you want to accomplish that goal, such as within 6 months.

Overall, there are thousands of books on starting your own business. You should consider educating yourself about starting your new business by reading other business articles on this website and acquiring a book or two on the topic. (For a much more thorough overview of starting a business, please go to the Business Law Category.)

Next, we’ll conclude with some main thoughts to consider.

Conclusion

If you follow the steps listed in this article, and look for other ways to save and/or build wealth, you’ll begin to build up confidence and possibly even re-invent yourself.

Losing your job is not an easy matter to deal with, but often something you cannot control. The key to overcoming the loss of your job is your attitude – something you can control. Focus on where you’d like to be in your life, and picture how you’ll get there. Then, do your research, evaluate and set up your plan, and take action!