This article was contributed by Workforce Singapore and first appeared on MyCareersFuture.
Worried about managing your money while job hunting? These three tips will help you keep your expenses in check in this challenging phase.
In March 2017, the Ministry of Manpower (MOM) announced various targeted measures to help unemployed professionals, managers, executives and technicians (PMETs) switch careers. This included a monthly allowance of up to $4,000 for those going on a training attachment as well as wage subsidies for employers who hire PMETs aged 40 and above through the Career Support Programme.
If you are older than 40 and closing in on that next job, you might still have familial responsibilities and financial obligations to consider during your job search. But fret not; these smart budgeting tips can help you through the lean period before your next job comes along.
Plan Ahead To Stretch Your Budget
Your first point of support should be your severance package. Instead of spending it on a long vacation, work out how much money you need each week, and assess how long your severance package will cover your living expenses.
No severance package? Calculate how long your savings will last given your monthly expenses. Ensure that you set aside sufficient money to cover the monthly household budget and personal expenses, such as your mortgage, car loan and children’s education. Financial experts recommend a conservative estimate of nine to 12 months of savings for an emergency fund. So if you find yourself struggling to make your savings last for this period, it’s time to start tracking your daily expenses and seeing where you can make small compromises every day.
Track Your Daily Expenses
Most of us worry about heavy financial obligations, but few of us come up with a plan to cut back on our spending. Create a budget spreadsheet to track every single cent that goes out of your pocket. Or you could use free personal finance apps like Toshl Finance or Singapore’s very own Seedly for this.
Cut out unnecessary expenses such as lavish dinners and luxury items. Then, take control of your everyday expenses, such as your mobile phone and utility bills. For example, be careful not to bust the data limit on your mobile phone — this can add as much as S$50 to your monthly bill.
Looking For A Job?
If you are a Singaporean who is looking for a job but is unable to find one, Workforce Singapore can help connect you a to job you are looking for. To get started, you can make an appointment with Workforce Singapore here. Someone from the organisation will give you a call to arrange to meet up, and to link you up with the right companies and schemes that you are suitable for.