Losing Your Job
How long can you actually last?
What you have / spend
Rent, groceries, utilities, transport, insurance premiums. Things you cannot stop.
Dining out, OTT, gym, shopping, travel. Things you CAN cut.
Basic is typically 40–50% of CTC. Used to estimate statutory gratuity.
How long you can last
Survival runway (essentials only)
6.7
months · Moderate runway
Solid buffer — focus on a good role rather than the first offer.
Gratuity at current employer
You haven't completed 5 years yet — gratuity would be forfeited.
You're 24 months away from vesting. If you can hold on, you'd be eligible for ₹1,44,231 in statutory gratuity (tax-free up to ₹20 lakh). If your runway permits, it's financially worth completing 5 years before moving.
Emergency fund depletion if no job found
Assuming you cut discretionary spending and live on essentials only. Pausing your ₹10,000/mo SIP doesn't extend the runway (SIPs aren't part of essential burn) — but it stops you draining a different bucket.
Your Action Plan
Cut all discretionary spending today
Pausing ₹15,000/month of non-essentials extends your effective runway. OTT subscriptions, gym, dining out, shopping go on hold immediately.
Pause your SIP — don't cancel it
Pause via your AMC's portal. You keep the folio active, retain your investment history, and resume the moment you're employed again.
Apply for jobs from day 1, not after a 'break'
Severance burns through fast. Treat the first 30 days as full-time job-search. The best roles take 30-60 days from application to offer.
File for EPF if needed — but only the no-employment claim
After 2 months of unemployment, you can withdraw 75% of EPF and rest at 3 months. Last resort — these compound at 8%+ for decades.
Continue paying ALL insurance premiums
Health insurance lapse during unemployment is the most expensive mistake possible. Term plan lapse loses your no-medical-test pricing.
EMIs are non-negotiable — talk to your bank if stretched
Keep paying on time. A clean credit report through unemployment makes the next refinance dramatically easier.
Don't break long-term investments first
Sell in this order: liquid funds → emergency FD → short-term debt funds → equity (only as last resort). Equity recovery from a forced sale takes years.
Don't take expensive personal loans to maintain lifestyle
Personal loans at 14-18% during unemployment is the fast track to a debt spiral. Cut expenses instead. The lifestyle returns when income does.
Don't accept the first low-ball offer out of panic
Your runway buys you the right to wait for a good role. Don't take a 30%+ pay cut unless absolutely necessary.
Calculators that help with this