Getting injured sucks. When those injuries put you out of work for a period of time, it can be devastating to deal with financially. Although you may have time on the books you can cash in on to hold you over for a little while, it often isn’t enough to cover your expenses. While most have the advantage of being able to apply for private or government-funded disability insurance coverage, the time it takes to actually receive your payment can be a while.
If you’ve found yourself struggling to survive as you wait six weeks or longer for your disability insurance to kick in, these finance tips may come in handy.
- Reduce your expenses – the first order of business is to take a look at your personal budget. Are there any items on the list that can be reduced or removed for the time being? You may need to cut out things like cable services, cell phone data plans, or membership services like the gym.
- Life insurance – there are some life insurance policies that will allow you to borrow on them. Though you’ll want to pay it back quickly to avoid reducing your policy amount, it can be the extra funds you need to tide you over.
- Short-term loans – If you’re just a few weeks shy of getting your disability benefits you may be able to take out a short-term loan. There are installment loans online that will lend you a few hundred dollars if you qualify. This way, you can cover immediate expenses and you can use your benefit money to repay the loan.
- Retirement accounts – If you have a pension or retirement account, you may have the opportunity to borrow some money from the account to tide you over. Be sure to review everything with your human resources department. Also, keep in mind that should you end up permanently fired from your job, you’ll need to repay the balance in full to avoid penalties for early withdrawal.
- Internet Jobs – While getting back to work may take some time, there are a lot of opportunities on the internet to make money and add to your professional resume. Whether you write resumes and cover letters, start a blog, answer surveys, or design websites, it can bring in some extra income until you’re back on your feet. Be sure that the jobs you’re completing won’t interfere with your disability coverage.
- Rent out your home – Is your home a bit more than you can afford right now? To keep a roof over your head, it may be necessary to rent out a portion of your property. If you live in rural area or are near colleges and business centers, you can find several eligible tenants who need a place to stay. You could also consider renting through Airbnb for travelers if you’re in a hot tourist location.
Waiting several months for your disability benefits to kick in is beyond stressful. You’re exhausting your savings, and the bills keep rolling in. If you’re strapped for cash and have nowhere else to turn, the above ideas should help to keep a few bucks in your pocket for the bare necessities.