We received a letter this week from Mr. Vega’s employer, regarding medical benefit options in light of their upcoming corporate merger. There is quite a bit of uncertainty regarding how coverage will be handled, and they’ve made it clear that there will be employment redundancies. The bottom of the letter contained this lovely tidbit:
* If you are terminated, you may have rights to continue your FSA through “COBRA” (which we’ll explain more about if that becomes necessary), but you’ll do that on an after-tax basis, which is not advantageous for most.
This is the point in our program where we prepare for the worst, while continuing to hope for the best. All expenses must be questioned, and all unnecessary spending gets put on “pause” until our financial skies are clear again. Waiting to make changes until after a job loss could be devastating for us, both financially and emotionally: we could weather a transition much more gracefully if we were already prepared for it, rather than trying to make drastic lifestyle changes while also dealing with the psychological trauma that can accompany the loss of a job.
Fortuitously, I spent some time the other day creating a menu plan for November. I took my inspiration from The Prudent Homemaker, a full-time wife and homeschooling mother of seven children, who used their food storage as the basis for keeping her family cared-for during her husband’s eight-month period of unemployment. Using her seasonal menu as a template, and making adjustments for our smaller household, dietary preferences, and busy schedules, I put together a month-long plan for eating delicious and healthy meals that are also lower-cost. An unexpected benefit of meal planning is that it gets us out of our ruts, and reminds us to eat a greater variety of food. Left to my own devices, I’d eat Trader Joe’s whole wheat cinnamon rolls and a latte every. single. morning. But there’s a whole world of breakfast food out there, and writing it all down helps me remember how much I also love fresh fruit and Greek yogurt, oatmeal pancakes, and eggs scrambled ever so slowly.
As timing would have it, Mr. Vega’s 1991 Honda CR-X has reached the point where the annual repair costs are more than the value of the car itself. After running the numbers and weighing the pros and cons, we’ve decided to purchase a newer used vehicle. Counterintuitive as it may seem, we have enough in savings, and we’d rather buy a reliable car now than continue to pay for unforeseen repairs during a potential period of unemployment. And let’s face it, job interviews are stressful enough without worrying about whether your car will start to get you there, or having your air conditioning give up the ghost when it’s 90 degrees out!
Ironically, we do most of our shopping in anticipation of lean times, as that’s when we feel the need to stock up, in case we won’t be able to later. I dislike shopping so much that I generally don’t replace my clothes until they are threadbare, but I may look to upgrade my wardrobe a bit in the light of this merger uncertainty. I currently have just one pair of shoes that I wear for work, and I’d prefer to shop the sales now, rather than scrambling to get something cheap-but-appropriate if these give out during a time of hardship. This is also as good a time as any to start planning our spring garden so that we’ll be ready to plant our balcony container garden when the time comes. Fresh, homegrown food is lovely whatever one’s circumstances, but it’s especially wonderful to be able to get food from your garden instead of the market when money’s tight.
Because the merger threatens to leave us with reduced benefits even if we do keep the job, we’ll be sure to attend to our medical needs before the end of the year. We want to have healthy bodies, strong teeth, and brand-new pairs of eyeglasses that have been covered by insurance. One of us could use a new set of orthotics, as well. These are the sorts of things we should be doing anyway, but this new sense of urgency will make sure that we do.
Mr. Vega will indeed be updating his resume and LinkedIn profile and seeing what his options are, sooner rather than later. If his company’s merger results in widespread layoffs, the market will be flooded with folks looking for work, and we want to get the jump on the rest of the talent pool. And because our household functions as a cooperative whole, it’s job-search time for everybody around here. So, while I do enjoy my part-time and freelance work, I also have two interviews scheduled this month for full-time positions that come with the all-important Benefits Package. Landing one of those would allow my husband to widen his job search to include less traditional opportunities, without worrying that we’d be left without medical coverage.
We’ll also be making a greater effort to keep up with our still-forming social and professional networks. We view “networking” as a way to cultivate and deepen authentic relationships, rather than as strictly transactional contact, and so it’s important to us that we spend some time with folks now, and not wait until we’re in need. Whether those connections result in professional opportunities or not, a robust social life will go a long way toward easing the stress of unemployment, if it happens.
We are very lucky to have moved to a city with so much free and inexpensive fun. There’s almost never a cover charge for live music (and when there is, it is oh-so-worth-it), there are plenty of festivals and activities happening all the time everywhere around here, so it will be easy to keep our spirits up and hang out with our new friends at bargain basement prices. We’ve got a couple of social buying vouchers hanging around for inexpensive dinners and movie nights, and we’re looking forward to hosting some game nights at home, as well. It’s good to have a little fun once in a while, especially during periods of increased stress or uncertainty.
We were already planning on keeping things low-key this year, but we’re still going to need to rethink the holidays. We generally do home-made, consumable gifts for everyone in our fairly large family and closest circle of friends, but this year’s gift idea is a bit pricier than usual. Not crazy expensive, but when you’re giving to a couple dozen people, it adds up quickly! We’re going to have to reconsider our gifting, and perhaps just send cards to everyone but family. We do feel blessed to have people around us who aren’t likely to feel slighted, though… material things mean much less to our loved ones– and to us!– than the actual relationships. A card means as much to all of us as a gift… especially if the giver is on a budget!
Closer to home, our own first holiday season in Austin will be spent exploring the city’s decorations, giving some of our time to help people who are currently less fortunate than we are, enjoying homemade seasonal goodies and free holiday movies, and video chatting with our faraway loved ones.
Once the merger has come and gone, we’ll be able to breathe our sighs of relief, and return to business as usual around here. If the layoffs don’t come, we might find ourselves on the other side of this with more stable, higher-paying jobs, closer relationships within our community, in better health, and with some more money in the bank. Sacrificing just a little comfort and convenience now, when we can afford to, seems like a small price to pay in exchange for the security of knowing that we could take care of ourselves in the event of a job loss.
How have you “battened down the hatches” when faced with uncertainty in the workplace or periods of unemployment?