All the Right Moves

Prep a Plan B.

hether you’ve already been laid off or anticipate you could be soon, having a strategy for how you’ll cover costs if you lose your job helps restore some semblance of control over an otherwise out-of-control situation. Step one: Draw up a pandemic budget pared down to your essential monthly expenses, so you know how much you really need to cover (apps like Mint or You Need a Budget can help). Next, see how much you’ll get from your (national average: $370 a week). Calculate how long your emergency fund will carry you and brainstorm freelance gigs to supplement. Charge purchases on your credit card if you must, but avoid cash advances, which carry rates averaging 24 percent. “If your total debt doesn’t exceed about a third of your gross income, or target income, if unemployed, you’ll be okay,” says Gaithersburg, Maryland, financial planner Matt Bacon.