The current wave of retrenchments announced from big business are expected to pick up pace and spread. To be retrenched is one of those traumatic events on an emotional par with a marriage break-up or death of a family.

It’s just horrible but unfortunately it is a fact of life in an economic downturn.

It’s easy for others to say, but you just have to pull yourself together quickly, not take it personally and get on with the job of finding another job. Australian industry is going through massive restructuring at the moment with some parts shedding staff and others aggressively recruiting.

First up, check your industrial award to make sure you receive the correct amount of retrenchment pay for the years of service and all your entitlements.

Then start talking about your situation. Many people are ashamed it they’re retrenched and don’t tell friends or relatives. Nothing could be further from the truth and generally friends want to help. So be open about it and pick their brains to see if the know of any opportunities.

We can’t stress how much you need to make finding a job like a job.

We’ve had a few mates retrenched and they would get up each day, get dressed properly, shave, shower, have breakfast and hit the phones at exactly 9am and work through to 5pm. They said the discipline and routine kept them motivated.

Life insurance is a vital protection for your family to safeguard their biggest assets… the breadwinners.

But the older you get, the smaller your financial obligations and the less you need life protection. The rule of thumb is when you’re younger, have dependent children, less in super plus debts like the mortgage you need to have a bigger life insurance policy. Empty nesters, on the other hand, usually have their debts under control, own their home and have only a couple of years to retirement and that superannuation payout.

Remember the cheapest life insurance is often through your superannuation fund.

The primary breadwinner is a family’s most important asset and, besides adequate life insurance, also look at disability or income protection policies.

If you’re struggling to fit disability insurance into your budget, don’t sacrifice the quality of the contract. Instead look to compromise in other areas, such as taking out a policy with step premiums which increase according to age.

A longer qualifying period is equivalent to an excess on your car policy. Instead of choosing a policy that waits for the first 30 days before paying go for one with a 45 or 60 day no-payment period.

There is nothing more uncomfortable than “tipping trauma”. I’ve been chased out of an American restaurant, when I was a penniless young traveler, by a waiter who reckoned I hadn’t tipped enough.

Libby’s been chased out of an Italian public toilet for not tipping an attendant for our 4 year old daughter.

You soon learn to buy a good amount of $1 bills on touching down in the US to be able to tip… everyone.

Thankfully it’s not as bad as that in Australia. The main reason is that wages, particularly in the service industry, are much higher here. In the US, service staff often depend on their tips just to survive.

Starting your own business is incredibly exciting. Freedom, no boss, job satisfaction, potential financial gain and no commute if you do it from the comfort of your home. Sounds pretty good, doesn’t it? Stop just dreaming about it and take the plunge.

The Australian economy is doing well. Growth is expected to accelerate later this year and we’ve pretty much got full employment. That means people have money to spend.

The key to small business success is research and planning. Before you rush to quit your day job you have to work out whether you’ve got a shot at making money.

Step 1: Come up with an idea

Dreaming up a good business idea is often the biggest challenge. Think about what you’re good at, what you like doing, and what the market needs.

If you have a particular hobby you are passionate about, why not try and develop a business around it. If you love cooking, have you thought about a catering business? If you are a keen swimmer, what about running lessons in your area? If fashion’s your thing you could design and produce your own t-shirts.