Last updated on Mar 10, 2024

You’re facing a layoff. How can you prepare yourself for the worst?

Losing your job is one of the most stressful and challenging experiences you can face. As an accountant, you may have some skills and knowledge that can help you cope with the situation and plan for the future. Here are some tips on how to prepare yourself for the worst if you’re facing a layoff.

1 Assess your finances

The first thing you need to do is to review your income, expenses, savings, and debts. How long can you survive on your current resources? What are your essential and discretionary spending? Can you reduce or eliminate some costs or negotiate better terms with your creditors? You may also want to create a budget and track your cash flow to avoid overspending or running out of money.

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Ammar S.
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Facing a potential layoff is a challenging situation, but there are steps you can take Here are some tips to help you prepare for a layoff: 1- Evaluate your financial situation and create a budget to help you manage your expenses. 2- Update your resume and LinkedIn profile to highlight your skills, experiences. 3- Reach out to your professional network for support and potential job leads. 4- Use this time to enhance your skills and improve your qualifications. 5- Take proactive steps to prepare for potential job loss. 6- Remember that a layoff does not define your worth or abilities. Remember that facing a layoff can be a temporary setback, and with determination, you can move forward toward new opportunities and career growth.

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Kelly G. Peters, CPA, CMA

Corporate Director, Contracts and Government Compliance at HII
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You should always be ready to be laid-off. This is because if you maintain your integrity this could be a real possibility and because the economy and job market can be fickle. This means you need to live within your means. It means you should have 3 - 6 months living expenses saved. It means you should stay out of debt (except for a mortgage) as much as possible. You should also put aside 15% for retirement and be saving for large purchases like cars. Your house payments should be less than a quarter of your gross pay. If you haven't done this, start stockpiling cash.

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2 Apply for benefits

Depending on your eligibility and location, you may be able to claim some unemployment benefits, severance pay, or other financial assistance from your employer, the government, or other sources. Find out what you’re entitled to and how to apply as soon as possible. You may also need to check your health insurance coverage and options, especially if you have a pre-existing condition or dependents.

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Kelly G. Peters, CPA, CMA

Corporate Director, Contracts and Government Compliance at HII
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When given a WARN notice (60 days advance notice of a potential layoff) seek other opportunities within you company network, find out what employment search assistance the company will provide and what the severance package is. Start applying for jobs immediately with other employers. Tap into your network of contracts. Most jobs aren't even published, and matching is done through word-of-mouth network conversations. After being laid off apply for Government unemployment and seek some side hustles to make ends meet.

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3 Update your resume

Your resume is your key tool for finding a new job. Make sure it’s up to date, accurate, and tailored to the positions you’re targeting. Highlight your accounting skills, achievements, and qualifications that are relevant and valuable to potential employers. Use keywords, action verbs, and quantifiable results to showcase your impact and value. Proofread and edit your resume for clarity, consistency, and professionalism.

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Kelly G. Peters, CPA, CMA

Corporate Director, Contracts and Government Compliance at HII
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Updating your resume is important. Make sure it covers what you've been responsible for and what you have accomplished in each role. Have it talk to your strengths. Use active verbs. Remember, resumes get into a hiring manager's hands through two routes: 1) Through robot screens of key words. 2) From someone the hiring manager know and trusts. Keep this in mind as you update your resume. Also address you cover letters. Taylor it to the company you are applying to by researching them and tying in you past experiences and background are to helping them with current needs.

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4 Network and search

Don’t isolate yourself or wait for opportunities to come to you. Reach out to your contacts, colleagues, mentors, and friends who may have leads, referrals, or advice for your job search. Join online communities, forums, and groups related to accounting and your industry. Attend events, webinars, and workshops that can help you learn new skills, expand your network, and showcase your expertise. Use job boards, social media, and websites to find and apply for openings that match your profile and goals.

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5 Upskill and diversify

The accounting field is constantly evolving and changing. To stay competitive and relevant, you need to keep up with the trends, standards, and technologies that affect your profession. Consider taking online courses, certifications, or programs that can enhance your existing skills or teach you new ones. You may also want to explore other areas of accounting or related fields that can broaden your scope and opportunities.

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6 Stay positive and proactive

Facing a layoff can be emotionally and mentally draining. You may feel angry, sad, anxious, or hopeless. While these feelings are normal and valid, don’t let them overwhelm you or paralyze you. Try to maintain a positive and proactive attitude, and focus on the things you can control and improve. Seek support from your family, friends, or professionals if you need it. Remember that a layoff is not the end of your career, but a chance to start a new chapter.

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7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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You’re facing a layoff. How can you prepare yourself for the worst?

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1 Assess your finances

2 Apply for benefits

3 Update your resume

4 Network and search

5 Upskill and diversify

6 Stay positive and proactive

7 Here’s what else to consider

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