That Makes Cents: Surviving a layoff

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"If your employer gave you health insurance before, they'll continue it with cobra coverage. But it is a very big expense. If you need to pay for your own, look to the state because they do offer assistance packages."

Start searching for a new job right away.

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"Go online, network with your friends, make sure that you're out there everyday trying to find a job."

Draft a survival budget.

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"That would include your mortgage, your utilities, things that you need to survive."

Reduce expenses on anything that's not essential and be smart about spending.

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"Reduce your deductibles on your auto insurance, change your cell phone plan, stop renting movies."

Talk to your creditors before there's a problem.

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"Maybe lower your minimum payments for the months or maybe let you skip one all together."

And don't touch those retirement funds.

Susan Powers, Financial Advisor, Registered Representative with Securities America Inc., Member FINRA/SIPC
"If you're not 59 and a 1/2 you're going to pay a 10 percent early withdrawal penalty."

Now that makes cents.

(Copyright (c) 2009 Sunbeam Television Corp. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)