How to Prepare Your Personal Finances for Impending Downsizing or Cutbacks in Corporate America

In today's Corporate America, downsizing, cutbacks and just flat out "we don't like you" firings can happen overnight. None of our jobs are secure. Not one of us is indispensable.

Corporate America doesn't care if you have a family to support. Their only interest is in the bottom line. If they can save money, think they can get more production out of someone else, or think you don't measure up in any way, you are history.

Sometimes, if you recognize that its coming, you can, hopefully, turn the tide. If you realize that they think you are not doing your share, you can pick up the pace and become more productive. If you know that they just don't like you, you can ask yourself "Why?" and work to rectify it. If you see that downsizing is in the cards, you might be able to begin learning other jobs in the corporation so that, at least, when the downsizing comes, you might stand a chance of being placed in another position.

If you even suspect that downsizing or cutbacks might occur, you need to take steps for the possibility that you just might not be able to turn the tide. It is possible that you might loose your job despite your best efforts to save it.

There are some things you can do before hand that will help in the eventuality that you actually loose your job from downsizing or cutbacks.

Preparing for impending downsizing or cutbacks TIP #1

As soon as you see the writing on the wall, immediately, and I do mean immediately, sit down and take a long hard look at your money situation. Get out pencil and paper (or a computer spreadsheet) and figure out how much you pay out every month. List every single bill that you have; all the monthly bills, all the quarterly bills ( divide by 4 for how much it costs a month ), all the yearly bills ( divided by 12). Figure out approximately how much you spend a month on groceries, gas, entertainment (all of it, movies, alcohol, illegal substances, tobacco, eating out, etc), donations, children's allowances, clothes, savings. List anything else you can think of that you pay out.

In short, see where your money goes.

Preparing for impending downsizing or cutbacks TIP #2

Figuring out how much money you spend a month is probably going to shock you.

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