It’s often said that when we make the ends meet, someone moves the ends. If you’re keeping your head above water and suddenly find that your hours are going to be cut, it can be easy to panic. However, there are steps you can take to keep the bills paid while you search for other sources of income and work to cut expenses.

Avoid Drastic Measures

When your income drops, it can be tempting to cut expenses to the bone. However, this may not be your best option. Yes, you may want to reduce your cable expenses. But cutting back on channel packages is much better than completely cutting out cable, as a laptop and access to cable can actually help you make money.

Use the Collateral You Have

If your car is paid for, there are easy installment loans you can take out to keep your household going while you look for more work. For example, a small loan to cover groceries and gas can be paid off by driving a car service on Friday and Saturday nights.

On the other hand, if you need money to cover larger expenses, you can consider putting your paid vehicle as collateral and take out a secured loan to help you cover everything. Although, it is important to remember that in case you are unable to repay the loan, the lender can go through the secured party creditor process (which includes filing a UCC-1 form) and claim ownership of your asset. So before going for any type of loan, make sure that you have enough assets (money or otherwise) to repay the loan when the time comes.

Housing

If you like where you’re living, it can be hard to think about moving. Additionally, while moving to a smaller place may reduce your monthly bills, it will cost you much more up-front. Rather than moving, see if you can:

1) sell stuff you no longer use

2) use one space in your home to set up an office or space you can make more money

3) add a temporary roommate

Be aware that, if you’re renting, your landlord may not allow you to get a permanent roommate. Do not do anything that will void your lease.

Barter

If your hours are being cut, you may have friends from work in the same boat. What can you do to help each other out? Do you have a friend with children who could watch your kids while you look for additional part-time work? Could you each pick up a job driving with Uber or Lyft and help with babysitting while the other one is working?

Start Your Own Gig

Are you a great baker? Do you love a clean house? If you’ve got mad cleaning, baking or yard work skills, consider a part-time gig doing any of those things. This can start simply. A sheet of paper, cut into quarters can give you four small fliers you can hang on someone’s front door.

If your neighbors are gone all day and seem to spend their whole weekend cleaning up and mowing, give them a flyer and let them know you’d be happy to clean their house or mow their lawn so they can take part of their weekend off. Give them a flat rate for their home or lawn and do a bang-up job. This simple act of letting someone know that you’re starting a business to cover income lost due to a job challenge shows initiative and drive. You’re working hard to fix the situation. They will likely be more inclined to help you out.

Final Thoughts

A layoff or hours cut can be a great way to diversify your income streams and protect you from such a financial jolt. You found this job; you can find the next one. Good luck!