5 things a working professional can do to cope during times of pay cuts, furloughs and retrenchments

2020 feels like a decade for many of us. Covid-19 has reshaped the economy,  the workplace and for many working professionals, our salaries. Most of us are either on a salary cut, on leave without pay or on the way out of the workforce and this has us in anxiety mode because rent still needs to get paid; children still need to go to school, and the family still needs to eat. 

So, what to do?

Here are 5 things you can do as a working professional currently on a pay cut, leave without pay or on the verge of retrenchment.

First, accept the situation for what it is.

Seems simple enough, right? To be absolutely honest, it is not. It is perhaps the hardest yet most important thing to do. Once you do that, the rest of the steps would be super easy. 

Second, create a new budget.

Once you accept the situation, the next thing that you can do is create  a new budget based on your new situation. You may need to switch to a bare bone budget that caters to the bare necessities; food, rent, transport, school fees, health care, and utilities. Anything that is not a bare necessity, cut it out. 

I know this is not pleasing to do. But it needs to be done. Remember we are supposed to change when things change and  a new budget is the change you need to survive  the new normal. 

Third, look for ways to save on your necessities.

Again, I know, this sucks but it can be done. You can look for a cheaper place to live; downgrade your calling/ internet plans; drive without the AC on to save on fuel.Though this won’t save you a huge amount of money, it will help you in meeting your everyday needs..

Fourth, continue with your savings plan.

I know, I know, you are thinking, she can’t be serious! But I am! It might be very tempting to cut your savings to meet your daily expenses. However, cutting this contribution will hurt you in the long run. Keep your saving goals the same for your future needs more than your present. Things could get worse.

Fifth, find ways to make more money.

Take on a freelance or consultancy gig. If you are a good writer, take on a writing assignment with an NGO or magazine; if you develop websites, join a freelance platform and offer your services. Or go on and start a business. This will stretch you out a little bit but it could help and make you feel a little more in control of your current situation.

But what if I don’t have any skills that I can monetise on the side?

Well, that’s what MyJobPass is here for. We want to support you through these hard pandemic times and help you discover and upgrade your skills. We also want to connect you to the best support tools, opportunity platforms and training through our Skillfully Conversations.

And that is why, we have introduced the Smart Money Programme, a 12-week subscription based programme that we are rolling out in partnership with Mipango App, a personal finance mobile application that enables users to manage their income, expenses, savings, financial targets and budgets, and access relevant investment opportunities to bring you.

We hosted Mipango App on Skillfully Conversations they shared some tips and tricks of Getting your Finances Together.

Join our Skillfully Conversations Community and connect, learn and grow and make use of such opportunities.