WWYD? (Hypothetical)

[OhNoMyCheds]

Okay, here’s your situation:

• You have been put at risk of redundancy (chances of being made redundant: high)
• you secure a new EXTERNAL role and are given a decent severance package
• you don’t have any real savings to speak of

Do you:
A) use the money on projects you’ve been putting off for a while (maybe a new bathroom)

B) go on holiday/ treat yourself/your family

C) lock the money into an ISA/savings account for a rainy day

Combination of a and b

Put the money into savings and don’t make any hasty decisions yet. In 6 months to a year, when the dust has settled, you can decide what to do with it. Including holidays/ renovations/ ISA’s

A combination of c and either a or b depending on which felt most pressing.

C

C

If job ends up stable and you can save a bit regularly then you could use a bit but a rainy day fund is a vital financial decision if it’s possible.
You have been given an opportunity to have a financial safety net- don’t waste it

C

I'm a cautious sort, so C.

C. Save to start with and when you are safe in the role think about how best to spend a proportion of it. If you were to be made redundant again, you wouldn't get a package and would have to rely on what you have saved.

Make sure you have a 4 week gap between leaving your redundant post and starting a new one.

A if it will enhance your life. If you're not fussed about a new bathroom then go for B.

C

@TSSDNCOP why’s that?

I wouldn’t fritter it away on treats. I’d overpay the mortgage and put the rest in a savings account. Maybe a couple of hundred pounds for a treat but that’s it. I’d only renovate the house if it really needed it.

I'd do A especially if it was a much-needed new bathroom.

All the renovations we've ever done have ended up paying for themselves, plus they've improved our quality of life.

Definitely C until you've been at the new job for two years. You can be let go at any time up until then so keep your money safe. There's no point in a new bathroom if you're made redundant again.

It depends how secure your new role is. Save the money until you're past the probationary period, and in the mean time plan your bathroom, and a holiday that you can plan in advance to get the best value and keep the price down (and enjoy the planning process).

Because, by law, you need a 4 week gap after redundancy before you start a new post.

By what law TSS? You just need to wait until your notice period is over and move on surely? Why would you be required to be without work/pay for a month?

B. But I'm an "only live once" kind of person, what's the point in life if you can't treat yourself once in a while.

@Doyoumind

This one. Annoying as it is, you should know about it so you can make an informed decision about your notice and your new employment. It’s to stop people leaving post and re-joining as a consultant.

The four-week rule is a provision in the Employment Rights Act 1996 which sets out the circumstances in which the renewal of a contract or re-engagement following redundancy may invalidate The four-week rule is a provision in the Employment Rights Act 1996 which sets out the circumstances in which the renewal of a contract or re-engagement following redundancy may invalidate

@TSSDNCOP

is that not just by the same/a related organisation? my H had that when made redundant by one local authority and got employment with another but I don't think it would apply if you were shifting companies altogether.

Yep pretty sure that’s on us if you’re going back to the same org in a different role/new contract.

I’d go with c at least until I’d passed the probation period in the new role so I’d know I was secure in the job/had the money waiting incase the new role didn’t work out.

*only if!