In this episode, we discuss how to identify and recover from financial mistakes.

The episode also delves into personal biases and behaviors that contribute to financial mistakes and offers steps to correct them. 

EPISODE RESOURCES

NerdWallet article

My 5 Biggest Financial Mistakes 

Check out Ted Klontz's book! 

01:41 Evaluating Financial Mistakes
02:11 Investment Time Horizons
03:32 Permanent Life Insurance Policies
06:22 Benchmarking Investments
11:36 Correcting Financial Mistakes
13:52 Understanding Financial Biases
15:51 Learning from Past Mistakes
18:09 Moving Forward

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Check out a snippet from our webinar on solidifying your finances in the event of a layoff and how to negotiate severance!

To access the full replay, join our email list at newmoneynewproblems.com/subscribe!

Episode Highlights:

• Common Mistakes in Layoff/Severance Situations
  • Employees often don’t ask for enough during severance negotiations; documentation of achievements is crucial.
  • Employers frequently lack proper documentation to justify terminations or severance decisions.
  • Both sides should be prepared: employees should advocate for themselves, and employers should have clear, consistent policies.
• Negotiation is Key
  • Everything is negotiable—don’t be afraid to ask for more severance, benefits, or time.
  • Employers may have a “cushion” and expect counteroffers.
  • Use a list of your contributions to the company as leverage in negotiations.
• Legal Considerations
  • Companies are not always required to offer severance unless specified by law (e.g., WARN Act) or contract.
  • The WARN Act requires 60 days’ notice (or pay in lieu) for large layoffs, depending on company size and circumstances.
  • Consistency in severance offers is important to avoid discrimination claims.
• Practical Steps After a Layoff
  • First, take time to process emotionally before responding or negotiating.
  • Ask about other open positions within the company before accepting termination.
  • Consider negotiating for extended health coverage or other benefits.
  • Map out which benefits are portable (e.g., 401k) and which are “use it or lose it” (e.g., FSA, dependent care).
• Employer Best Practices
  • Ensure all documentation is in order and policies are applied uniformly to avoid legal issues.
  • Have more than one person present during termination meetings to protect against potential claims.
• COBRA and Health Insurance
  • Understand your rights to continue health insurance via COBRA and alternatives like the health insurance marketplace.
  • Loss of coverage is a qualifying event for marketplace enrollment, even outside open enrollment periods.
• Severance and Indirect Compensation
  • Severance may be required if stipulated in a retention or employment agreement.
  • Negotiate for acceleration of equity vesting, continued health coverage, or even compensation for lost value due to blackout periods.
  • Job placement assistance can be requested as part of a severance package.
• Creative Negotiation Examples
  • Real-life stories of negotiating for additional compensation due to unique circumstances (e.g., stock value loss during blackout).
  • Don’t hesitate to ask for job placement services or other non-monetary benefits.

Contact Information:

• Casey Duhart: LinkedIn Profile
  • Learn more about her consultancy!
  • Follow her on TikTok
• James Crumlin: LinkedIn Profile
  • Check out his work!
  • And his famous Capitol Steps Crew Workout!

For in-depth stories, actionable advice, and more legal and financial tips, listen to t

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Client case studies on the value of financial advice ...

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2025 Federal Tax Brackets

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Access the new Private Podcast Feed!

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Join our email list at newmoneynewproblems.com/subscribe for permanent access!

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An unfortunate update on the Trump Budget bill.

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In case it happens to you, here's what to do next ...

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TN Unemployment Eligibility

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