Hello all,
I’ve recently been informed that I’ve lost my job in the technology sector. My annual salary was approximately $150,000 while living in Washington State. I purchased a house in July, and my mortgage is $3,600 monthly. When I include the HOA fees, which cover sewage and water (but not electricity), my total monthly cost is around $4,100. Fortunately, I found a roommate last August, who contributes $1,400 monthly, reducing my expenses to $2,700. I will continue receiving my salary until August, followed by roughly 2.5 months of severance pay. The job market for my field, materials/process engineering, is currently sluggish, and it often takes job seekers 5 to 6 months to find employment, sometimes longer. I am concerned that my next salary might not match what I earned in tech, which was likely inflated. I want to proactively address my financial situation and explore ways to save money quickly. While I have $150,000 in stocks, I prefer to reserve that for emergencies only. At what point should I contemplate selling my home if necessary? I currently have $40,000 in savings but haven’t saved much in recent times due to expenses for therapy and courses as I try to shift to a new career.
In your situation, it might be beneficial to create a detailed budget to understand your monthly expenditures beyond the mortgage. Cut unnecessary spending to extend your savings. You should also consider consulting with a financial advisor to optimize your stock holdings and perhaps put a small portion of those investments into more liquid assets for easier access if necessary. Networking within your industry, attending conferences or webinars, and reaching out to potential employers or recruiters now could shorten your job search time when you start actively looking for new positions. Additionally, reaching out to your lender early on to discuss potential restructuring of your mortgage payments may offer relief during this transitional period.
You should look into refinancing options for your mortgage, sometimes it can lower your monthly payments. Also, consider boosting side income with freelance work or part-time gigs. Remember, maintaining cash flow is key, and it’s wise to act now before financial stress mounts. Stay positive, you’ve got this!
Hey, have you thought about renting out part of your house like a basement apartment or short-term renting a room on Airbnb for extra income? And what about exploring remote work opportunities in other sectors for now? It’s a tough spot, but there are creative ways to manage. Thoughts?
Given the circumstances, it might also be advantageous to reach out to your utility providers to explore any payment assistance programs they offer. Sometimes energy or water providers have options for reducing or deferring payments when facing financial hardships. This can help reduce your expenditure temporarily. Furthermore, consider selling any non-essential personal items or valuables that you no longer need. Even small amounts can add up, providing additional short-term financial cushioning while you job hunt in the current economic climate.