You got the call, the meeting invite or the email. Maybe you saw it coming. Maybe you didn’t. Either way, the ground just shifted, and your mind is probably racing in ten directions at once.
First, take a breath. Being laid off is something that happened to you, not a verdict on your talent or your worth. Restructures and layoffs happen to good, capable people every day, and more often now as AI and automation change how companies work.
The first instinct is often to do everything at once: update your résumé, message everyone you know, and apply to anything that looks close. That energy is useful, but point it at the right things first. In the first 72 hours, focus on the few tasks that have deadlines or protect you financially. Everything else can wait a week.
Here’s what to prioritize.
1. Get the details of your exit in writing
Before anything else, make sure you understand exactly what’s happening and when. Ask HR, or check your separation paperwork, for:
- Your official last day and the date of your final paycheck
- Any severance offer, including the amount and how it will be paid
- Unused vacation or PTO, and whether it will be paid out
- Bonuses or commissions you’ve already earned
- What happens to your benefits and on what date they end
If anything was only said out loud in a meeting, send a short, polite email asking for it in writing. It protects you and prevents confusion later.
2. Don’t sign a severance agreement on the spot
If you’re handed a severance agreement, you usually don’t have to sign it that day, and you shouldn’t feel pressured to. Severance agreements often ask you to give up certain legal rights in exchange for the payment, so it’s worth understanding what you’re agreeing to.
Take the time to read it carefully. In the U.S., if you’re 40 or older, federal law generally gives you at least 21 days to consider a severance agreement (45 days in many group layoffs) and 7 days to change your mind after signing. If the amount is significant or anything feels unclear, a short consultation with an employment attorney can be worth it.
3. Apply for unemployment benefits right away
Don’t wait on this one. In most states you can apply as soon as your employment ends, and delays can mean delayed payments. Many people hold off because they’re hoping to land something quickly, or because they’re receiving severance. But whether severance affects your benefits depends on your state, so apply and let the agency decide.
Search for “[your state] unemployment benefits” to find the official application site, and have your employer’s details, your dates of employment and your recent pay information ready.
4. Protect your health insurance
Losing job-based health coverage is one of the most time-sensitive parts of a layoff. You typically have a few options:
- COBRA, which lets you keep your employer’s plan for a limited time, though you’ll usually pay the full cost yourself
- A spouse’s or partner’s plan, if one is available
- Your state’s health insurance marketplace (Healthcare.gov or your state’s exchange). Losing job-based coverage usually qualifies you for a special enrollment period, generally 60 days, and depending on your income you may qualify for lower premiums.
Compare costs before deciding. COBRA is often the most expensive option, but it can make sense if you’re mid-treatment or have met your deductible.
5. Leave your retirement account alone for now
It can be tempting to cash out your 401(k) to create a cushion. Try not to. Early withdrawals usually come with income taxes and, in many cases, an extra 10% penalty. You generally don’t need to move your retirement account right away, so you can decide calmly later whether to leave it where it is or roll it into an IRA or a future employer’s plan.
6. Save what’s yours while you still have access
If you still have access to work systems, use it wisely, and only for things you’re allowed to keep:
- Copies of your performance reviews and any written praise
- Contact details for coworkers, managers and clients you’d like to stay in touch with
- Your own personal files, if any ended up on a work device
Never take confidential company information. It isn’t worth the risk to your reputation or your future references.
7. Write down your wins while they’re fresh
This one is easy to skip, but it pays off later. Spend 20 minutes listing what you accomplished in your role: projects you led, problems you solved, numbers you moved and praise you received. These details fade quickly, and they’re exactly what makes your résumé, LinkedIn profile and interview answers stand out.
What can wait
Give yourself permission to hold off on these for a few days:
- Rewriting your résumé from scratch
- Announcing your layoff on LinkedIn
- Applying to dozens of jobs
- Making big financial decisions
People who take a few days to get steady usually run a calmer, more focused and more successful search than people who start in a panic.
Take care of yourself, too
A layoff is more than a lost paycheck. For many people, work is part of their identity, their routine and their community. It’s normal to feel shock, anger, embarrassment, anxiety, or even relief, sometimes all in the same afternoon.
Keep a simple routine, get outside, and talk to people you trust. And if you’re struggling to cope, please reach out to a doctor, counselor or someone close to you. Asking for support is a strong, smart move.
Your next step
Pick the three items on this list that have the closest deadlines and do those first. That’s it for today.
When you’re ready for what comes next, our free course Steady Your Footing walks you through the rest of your first weeks: calculating how long your savings will last, explaining your job loss with confidence, and building a simple 30/60/90 day plan for your search. Each lesson takes about 5 minutes.
Rules for severance, unemployment and benefits vary by state and employer. This article is general information, not legal or financial advice. When in doubt, check your state’s labor department website or talk to a qualified professional.
