33 yo - 6 years with oracle. infra eng. total comp around $200K. wife is a teacher, about $60k.
how much $$$ do i need to have stashed to survive a potential layoff.
my gut tells me that i am on the list.
appreciate comments
14 replies (most recent on top)
Now people on these posts don’t like the police? Hahahahaahha
The issue is that property and income taxes are too high that there’s very little left after paying them. Request to eliminate property and state income taxes ;0);0);0);0);0)
save 80%
bare minimum 6 months of expenses to survive with no income.
1 year ideally.
2 years conservative.
For years I track every penny I spend in a spreadsheet so i know EXACTLY where it all goes, what can be removed (eating out, entertainment) and the bare minimum I need each month. This allows me to plan for retirement as well as having my emergency fund.
I make it easy, I put it all on CC and pay it off each month, never paying interest but getting either cash back or points. My last trip, used points for air and hotel
Options like Section 8 housing, food assistance (SNAP), cash aid, and free or low-cost healthcare can provide support when you need it most. After paying taxes ~ 40% for so many years, these programs are there as a safety net. It's worth looking into if you qualify
Police are hiring aggressively right now with Big Fat Paychecks, Big Fat Pensions, Great Benefits,...
For example, take a look at the San Mateo County Sheriff’s Office. They have many open positions with base pay starting over $100K. Don't miss out! ;0);0);0);0);0)
Best time to find a job is when you’re in the job. Go outside or pivot your strategy
You should have started saving aggressively in your 20s. Surviving a layoff is one thing. You should have started saving and investing early on.
But the next best time is today.
You didn't mention kids so that's a good thing. Me wife and I have discovered ways to be frugal that would be difficult with kids.
BARE MINIMUM = $4000. If California = $6000
Health Insurance - $1500 / month
Car Insurance , Gas, car maintenance - increasing gas prices
Rent or Mortgage
Phone, Internet
Utilities
If your wife is full-time then insurance , food can be covered.
If temporary job then this money is useless in long run unless you live in Texas or some remote place.
Housing is your biggest enemy.
Unemployment - depends on state you get from $1200-$4000. keeping $1200 as minimal.If you are in visa then you need extra payments. Better to store your house in Public Storage and travel back once you have permanent job.
@a2 Relying on $100k to cover a 14-month burn is risky. At 33, if that’s your only liquid buffer, protecting it should be the priority - not drawing it down.
If you had $100k cash plus substantial investments (say $800k+ outside of a well-funded 401(k)), that’s a different conversation. But with a large mortgage and limited liquidity, the margin for error is thin.
Best move, start a job search immediately. Get options lined up now, you may even want to take a new role before any layoff happens, even if that means walking away from severance. It’s generally easier to land a job while you’re still employed, and your current financial setup doesn’t leave much room for a prolonged gap.
you’re thinking about the right things early, which is good. quick math - your fixed costs alone are roughly $4.8k monthly before food, utilities, insurance, etc, so realistically you’re probably closer to $6k to $7k burn per month.
with ~$100k liquid, you’ve got around 14 to 16 months of runway, which is actually solid. most people aim for 6 to 12 months, so you’re above that.
forgot to add, $800 in car payments. $4k mortgage. no kids. no other liabilities/credits. have about $100 in liquid $$$