Be Your Own Boss
It’s a great time to take a bad situation and make it into something good. Many people are using this economic downturn as their opportunity to fulfill dreams of starting their own business or changing careers. But can I realistically make a career change like that in this economy and still be able to pay the bills?
Where Should I Get My Training?
Colleges across the country are reporting record enrollments as people of all ages are going back to school to enhance their current degree and knowledge or to learn an entirely different set of job skills. Many local community colleges and technical schools are offering great courses that allow students to get the training necessary for certification in areas such as beautician, computer technology, auto repair and many more for a fraction of the cost of attending state or private schools. In addition, many also offer evening courses so you can work during the day and still attend classes.
What Areas Should I Focus On?
1. Repairs
At the moment money is tight. As such, people are going to be more likely to repair their vehicles and appliances than spend the money for brand new items. Anything along this line should be a safe bet for the next few years.
2. Necessities
While I may not have the extra money to get my nails done, my hair keeps growing. While people may not come in as often for haircuts and longer hairstyles may come into fashion, people will still need haircuts and trims. Thus, some beautician fields might be worth considering.
3. Fountain of Youth
Also, I think botox injections and other fountain of youth areas will continue to flourish as women will try to look younger in order to snag the jobs they want. In this market it is going to be a tough fight for jobs and women are going to want every advantage they can get, whether real or artificial.
4. Niche Markets
Many larger firms may try to save money in this economy by outsourcing. Thus, smaller firms that handle payroll and customer relations may increase. If these firms will handle these areas for less than the larger firms are currently paying in space to house their staff, salaries and benefits, etc., the firms are going to consider outsourcing as a way to save money.
Giving Thanks for Government Spending
Thank goodness the government has money to spend. The current administration is trying to stay afloat by throwing money at every large company that gives a hint of bankruptcy because we all know that the best way to teach a spendthrift how to become responsible with money is to give the person more money.
There are many different economic theories, one of which is budgeting. Some say that the best way to teach someone how to manage money efficiently is to give the person a budget and if they use up the money before paying for all their bills, they will know better next time and be more careful with their money.
However, large corporations in the United States don’t have that problem. Every time they looked close to running out of money, they would sell an asset, borrow from the bank, or issue more stocks. Now, those options just aren’t available. Money is tight so there are less people and companies with the money to buy stock and even those who do have the money are scared.
Look at Warren Buffet, considered a market genius. He purchased a large stake in Goldman Sachs last month and now, just a month later, their shares are trading at half what they were. If someone of Warren Buffet’s caliber can lose money in this market why should I think I can make something? Why risk my future and retirement buying stocks that might be worthless next week.
Obviously the companies aren’t going to make money issuing new stock, instead that will likely make their current stock prices drop even further so what’s the next option. Oh yeah, borrow money from the banks. Except for one little problem, the banks aren’t lending money. Yes, they claim they are. In fact there are even reports that some entrepreneuring banks are even lending money for home purchases, but is that just an urban legend? Besides, banks are scared silly right now because of all their bad mortgage debt so do you really think they are going to lend money to a business in this economy where nobody can afford to buy more than the necessities.
The companies could also try to sell off some assets, perhaps gets rid of a division that isn’t as profitable. But once again, nobody’s buying. Unfortunately, this vicious cycle will keep repeating itself unless there are some major changes. Yes, keeping the companies in business now will save some jobs but that isn’t enough. While saving jobs is great, we need to concentrate on ways to create more jobs to really kick start this economy.
A Couple of Things to Consider Next Time Your Unemployed
Pay up expenses for a few months if possible. What I mean by this is that take a certain amount of money up for each of your major expenses such as lights, phone, and housing and pay those expenses up for a period of time. I have been in a situation where I was being laid off and I took either some savings or severance and paid up expenses for a while. While this may seem like a quick drain on resources, it will help to alleviate pressure of having to come up with those expenses right away and will give you some breathing room to find a new job.
Consider taking a lower paying job or some different type of job to help pay the bills. People are accustomed to living a certain lifestyle and they usually want to move into a similar type job once they leave an old job. Sit down and figure out what your true monthly expenses are, minus things such as cable, internet access, entertainment, etc. That is the amount you need to survive. Afterward, you may want to think about taking a lower paying job, some short term contracts, or a different type of job while you’re looking for the job you want. There is a certain company in my area that is my “backup plan” whenever I am unemployed. If the job market is particularly slow or I don’t have a lot of backup cash, I go there and get a job. I have worked for this place on four separate occasions and they always take me back because they always need workers. Its simple customer service work and pay is enough to keep things going while I look.
The above tips may not be an option for you, but it’s at least something to consider the next time your unemployed.
Temp Agencies for Professional Careers?
You’re a Network Technician for one of the largest companies in your area and have been for about 3 years now. Monday you head into work for the announcement that your company has been sold and that your job will be terminated immediately. A few weeks pass after your termination and your still looking for work. You have put in resumes at all the places locally and have answered several help wanted ads but still no luck. What else can you do? Have you ever thought about temp agencies or contract agencies? Yes, I am talking about places like Manpower, Adecco, and Apex Systems.
Why would someone in IT or any other professional career even think about a temp agency for a professional position? From my past experience, I found out that a lot of temp agencies get contracted to provide a lot of companies with project work or short term contract work, even for professional careers. My first job in the IT field was actually a job that I found through Manpower Technical. It was supposed to be a 3 month job. After one month, I was hired at $35,500 a year. For my area, that was a fantastic starting salary back in 1999.
When I have been in between jobs, I have been very fortunate to find short term contracts with different companies. Some jobs are very simple, such as basic pc installing work, but the contracts wound up paying very well. There were some cases that I would work for a week or a couple of weekends and make enough to cover my basic living expenses for a month. It is not the most glamorous way to make a living, but in a pinch it is an option.
Next time you’re between jobs and you’re an IT professional or any type of professional, check the temp agencies. You might be surprised what you find.