My 15-Year High School Reunion

Spirit fingers waving, I attended my 15-year high school reunion this weekend with a small crowd of fellow classmates. We roamed the halls of the school — which sort of looks like Hogwarts, as you can see from this photo — catching up on everyone’s careers, families, and relationships, and reminiscing about our past lives as scholars, athletes, dreamers, and schemers. I went to a remarkable private school in Chicago, St. Ignatius College Prep, thanks to scholarships, loans, and work-study programs, and frankly, I still can’t believe I had the privilege of attending such an academically rigorous, spiritually caring, and well-credentialed, well-rounded school.

I’m simply in awe of my fellow classmates — one works in a high-profile White House position,  and loads more work in Washington, D.C.; several have doctorate degrees or are on their way to them, and at least one has a professorship at an Ivy League school. Others are writers, entrepreneurs, finance professionals, teachers, doctors, and lawyers. They are a humbling group to be around, and I feel proud to call them my peers.

As you might expect, the economy came up several times. Most of the folks who attended the reunion were happily employed, and eager to share news about their career, but most also mentioned friends or family affected by the recession. And since we were about 300 graduates short at this particular event, who knows how many more classmates are unemployed or underemployed at the moment.

Aside from the economy though, another facet of our reunion struck me. One of the graduates honored at our reunion was previously an infantry officer in the Army, having spent years in Iraq and Afghanistan before starting his civilian career.  Another graduate I spoke with enlisted in Navy years ago, and had completed four tours of duty in Iraq. The loss of one of my classmates who was was killed in the World Trade Center on September 11 was poignantly felt, too. A far away war, which has gone on for most of our working lives, was acutely present at this reunion in a way that I’ve never felt before. It got me thinking about how deep the wars in Iraq and Afghanistan have affected each of us. I myself formerly did communications work as a civilian for the U.S. Army, and the experience changed the whole course of my career. I wonder how many other lives in my class have been touched by these hard years, how many losses have been felt.

For our class of 1997, who graduated from college in 2001, our working years have been filled with drawn-out wars and economic uncertainty. We graduated high school full of optimism, ready to go into the world and make a difference after four years of college. But almost immediately after getting to the working world, with freshly printed diplomas in hand, so much changed the instant we arrived. There has never been a “normal” for us since the day the towers fell, which for many of us was during the infancy of our first post-graduation internship.

I wonder what the rest of our careers hold for us. So much of what has defined success for this class has been surviving. Surviving rounds of mass layoffs, surviving the attacks, surviving recessions, surviving  tours of duty … surviving.  We feel lucky to have been the ones to survive it all. I hope that the next decade brings a little more stability and normalcy for the class of 97, and that we see more classmates, not only surviving but thriving, at our 25-year reunion.

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So cute, right? Thanks to WhoWhatWearDaily for coining the term. Read about it here.

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• The simple beauty of sitting outside, surrounded by nature

• My friends’ ability to cheer me up any time, no fancy dress or flashy night out required

• The comforting warmth of a phone call from my parents

• Music that speaks to my soul

• Hugs

• That first moment of unbridled joy when you see someone you’ve missed terribly

• The energetic feeling that rushes through my body right before a race begins

• The luxury of sleeping in my own bed after a grueling business trip

• Love

• The smell of home-baked cookies

What simple pleasures help to ground you when the news is totally crazy?

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Before pasting her article, I’d like to reemphasize a savings rule of thumb for Budgeting Babes: Your rainy day fund should be enough to support you for three entire months of unemployment. Period. Work to save and earmark this money whenever you can. You’ll be in a much better position if you loose your job suddenly.

Adding to Carolyn’s points, here are some quick additions that Brian and I have found helpful through periods of unemployment:

1. Cut expenses where possible. Can you reduce your number of phone lines? I’d consider ditching your land line and consolidating all calls to your cell phone. We don’t have a land line anymore – this arrangement works fine for us.

Do you really need digital cable with premium channels? If not, downgrade to a lower package. You can also try calling your cable company and asking for the latest advertised deal. We recently reduced our cable bill by more than 60 dollars per month this way!

Accept that your social life will change until you have a job again. Less dining out, more homemade pasta dishes. Less movie theater nights, more Blockbuster rentals. Limit your nights out to one per week, if any. Only take cash and only spend what you bring. Be realistic – if you can only afford one drink, only buy one drink.

Defer your student loans.

Look to avoid the steady stream of small but numerous “luxury” expenses that most of us take for granted. Take your operation “in house” – make your own coffee, do your own nails and dye your own hair. (FYI – I don’t advocate dropping “personal maintenance” activities completely. No matter your industry, you need to appear confident and professional when interviewing for new jobs. However, if your funds don’t allow for this spending, cut it.)

2. Rebudget immediately. You no longer have a cash flow. Determine how much you must spend per month to cover your bills, your rent and necessary living expenses (groceries, for instance). This is your new spending plan.

Determine how many months you can live on your spending plan before running out of cash completely. This will tell you whether you can afford to be picky or if you should just take what comes along first.

If you’ve got a cushion saved, you may want to consider your job hunt a full-time profession. Consider this option carefully to determine if you can realistically do it. The goal is to limit time spent unemployed to stop resume gaps and ensure you stay fresh in your professional field. However, if you don’t have a cushion, or the job market in your field is flat, take that temp job or waitressing gig. (What are your thoughts here? Clearly this approach won’t work for everyone.)

3. Develop a job search plan. Blanket your personal and professional contacts with e-mails, phone calls and in-person visits. Consult with your alma mater’s career office – many Universities offer free career assistance to alumni, even those who graduated a while ago. Be sure to frequently scan all your local news papers (not just one) and use the Web to search job sites like Monster and Hotjobs. I also recommend checking Web sites of companies you’d like to work for – not every company externally publishes their open positions.

GETTING STARTED:
Sudden job loss calls for crisis control
By Carolyn Bigda
Your Money staff reporter
Posted August 14, 2005

Imagine walking into your office, as always, and discovering that your desk has been cleaned out; your department is shuttered and locked; or you have 30 minutes to collect your belongings and leave.

Would you be able to cope with unemployment?

Although companies are hiring–unemployment stood at 5 percent in July, down from more than 6 percent two years ago–the job market is less than robust.

And there’s always the risk that your employer will defy statistics: Technology giant Hewlett-Packard Co., for instance, announced last month that it would eliminate about 10 percent of its full-time workforce.

Here are four must-dos if you suddenly find yourself without a job:

– Get government help.

First, file for unemployment insurance. Benefits are doled out by state agencies and therefore laws will vary depending on your residence. But, in general, the amount you receive–often for up to 26 weeks–is based on your income immediately preceding that date you file a claim.

In addition, your job loss must be no fault of your own, and you have to be actively seeking employment. For links to your state’s rules, go to http://workforcesecurity.doleta.gov/map.asp.

Unemployment benefits are subject to income tax. In filing your claim, you may want to specify that taxes be deducted from the check. Otherwise, “be prepared to pay extra when you file a return,” said Linda Forman, a certified public accountant in Evanston.

– Stay insured.

Unless you receive a severance package that extends your health insurance temporarily, your next priority should be to find new coverage. Even if you’re in the best of health, an unexpected medical emergency could lead to thousands of dollars in bills.

If your employer sponsors a group health plan for 20 or more employees, you’ll be given the option to extend that same coverage under Cobra. The only difference: Your employer will no longer pay any of the premium, which averaged $308 per month for individuals in 2004, according to the Kaiser Family Foundation. Instead, you’ll have to pay 102 percent (the extra 2 percent covers administrative costs).

As a cheaper alternative, consider purchasing high-deductible, individual health insurance. Although these plans may not be as comprehensive as your former insurance, premiums average only $112 per month for singles.

Search for plans through www.ehealthinsurance.com.

– Preserve your 401(k).

“Try not to raid your 401(k),” said Nancy Collamer, a career counselor in Greenwich, Conn., who wrote “The Layoff Survival Guide” (www.layoffsurvivalguide.com, $17.95). “It’s very tempting to do if you lose your job, but there are certain penalties.”

In fact, you’ll pay a 10 percent fee, plus income tax.

Hang on to your savings by transferring your 401(k) to an IRA. Make sure it’s a direct rollover, in which your employer writes a check to the IRA trustee. If you receive the money, you have only 60 days to transfer it to a rollover IRA before incurring taxes and fees.

Without your direction, employers can cash out balances less than $1,000–larger balances could be left in the 401(k).

It may seem ridiculous to think of retirement when you’re struggling to pay bills now. But concentrate instead on ways you can reduce your expenses first.

“My husband was out of work for almost a year,” Collamer said. “It was amazing how we discovered things, like that the local library had a great collection of videos” for free rental.

– Stay on top of your bills.

Prioritize secured loans, such as a mortgage or car loan. Apply to lower your monthly payment on student loans or defer payments temporarily. Transfer a credit card balance to a zero-percent rate card.

If you’re worried about missing a payment, contact your creditors immediately.

“Lenders don’t want you to lose your home,” Collamer said. “But establish the communication before you hit a crisis point.”

E-mail Carolyn Bigda at yourmoney@tribune.com.

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Now, admittedly, both my tips and Caroline’s apply much easier to young professionals with no kids. I know it’s much harder if you’ve got a spouse and a few kids to support. I’d love to hear strategies for dealing with sudden unemployment from those who fall under a different demographic than myself. Feel free to post your tips.

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