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Laid off with no savings: what to do first

If you were laid off and have little saved, the order matters: get income started, keep your health coverage from lapsing, cut the costs you can and look for programs that pay for what you need. Do these in the first week, in parallel with your search.

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Start income in the first days

  • File for unemployment the day you lose the job; benefits generally begin from the date you file.
  • Ask the employer for final pay, accrued vacation payout where your state requires it, and any severance in writing.
  • Look at interim, contract or part-time work to bridge the gap while you search.

Protect your health coverage

You have 60 days to elect COBRA, and coverage is retroactive once you elect it. Compare it with marketplace plans, where losing job-based coverage opens a special enrollment period, and with coverage through a spouse.

Find help that pays for things

Your local American Job Center and workforce board can point you to training money, and some programs cover relocation, tuition and certifications for laid-off workers. Call your lenders early; many have hardship options.

Frequently asked questions

What should I do first if I have no savings after a layoff?

File for unemployment immediately, confirm your final pay, and get your health coverage decision made before the 60-day COBRA deadline.

Can I get help paying bills after a layoff?

Contact your lenders and utilities about hardship options, and ask your local American Job Center about programs for dislocated workers.

Should I take any job right away?

A bridge job that covers essentials can be a good call if it leaves time to search. Keep it from crowding out the search itself.

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