Maximizing Your Severance Pay if the Worst Comes to the Worst

While everyone hopes it won’t happen to them, losing your job is certainly more likely during this economic climate than it was a few years back. If you’re one of the unlucky ones, the least you can do for yourself is figure out the way you can get the best severance package:

• Start out by making sure you know the company policy for severance packages. It varies widely between companies and while it’s often calculated according to the years of service, how much you get for each year you’ve worked there can vary from one week to two weeks, or even much more if you’re in an executive level job.
• Don’t be afraid to negotiate. Ask for more than they offer you; you’ve certainly got nothing to lose, because you’re losing your job anyway if it gets to this negotiation stage. Knowing what the policy is (or was - they might change it) and knowing what is standard for the industry can help make a good case for getting more.
• Ask for more than straight severance pay - ask for other conditions too, for example continuing paying your health insurance for you for an extended time.
• Get some advice before you agree to a severance package - or at least ask for a day or two to think about it before signing.