Being made redundant is more than just about have a financial impact on you and your family but often the psychological impact can be far greater.
Some people see redundancy as just another part of life but most of us find it very emotional. Picking yourself up quickly is a big factor on how you will cope. “What doesn’t kill you makes you stronger”, “one door closes another door opens”, we have all heard these sayings but they are also very true. You need to remain positive and have a plan.
Your financial adviser and accountant can be a great source of comfort. We deal with people being made redundant all the time and can help you through this difficult time. Importantly, your financial adviser can help you decide what to do with a lump sum you may receive from your employer. You will generally have a maximum of 30 days to tell your former employer what you would like done with your money. If you do not seek advice you may be simply handed a cheque and this could have serious tax consequences. Your financial adviser can help you find the best way to deal with your payout and plan how you will cope financially.
Simon is a Financial Adviser at Insight Wealth Planning. He has an advanced diploma and masters in Financial Planning and has a strong technical background.
The information in this document reflects our understanding of existing legislation, proposed legislation, rulings etc as at the date of issue. In some cases the information has been provided to us by third parties. While it is believed the information is accurate and reliable, this is not guaranteed in any way. Any advice in this publication is of a general nature only and has not been tailored to your personal circumstances. Please seek personal advice prior to acting on this information.