Layoffs are brutal exercises of endurance. It’s not only that applying for jobs is frustrating and exhausting, but also the ungodly amount of time it takes — often over a year — to actually get hired. So much in your personal life can be lost in the meantime.
“A hard truth is that bills do not stop when paychecks do. Joblessness doesn’t care about your bills or cost of living. You still have to spend money on your family, health, roof, and food,” says Christian Hed, chief marketing officer at Dstny, a provider of unified communications platform.
Here are several creative ways to use AI to survive until you land a new job.
1. Use AI to repair the hole in your self-esteem
You’ll have a harder time surviving between the layoff and the new job if you don’t take steps to bolster your self-esteem first. It’s hard to land a job when you’re feeling like a beggar instead of the accomplished person that you are. Don’t toss self-care to the side. Make your wellbeing a priority.
You can use AI to help you recover yourself and your wits. You also need ongoing support so that the struggle doesn’t wear you down.
“As months pass, a person can start questioning their self-worth and professional identity, wearing down even the most resilient candidates. Financial issues can add to the pressure, as people may start isolating themselves to save money, contributing to daunting feelings of depression and anxiety,” says Michelle Beaupre, a licensed therapist and clinical director at Villa Oasis.
“One of the ways to help cope with negative thoughts and lost hope during these months of job searching is to use AI as an online therapist or an encouraging online friend. Of course, professional help could be much more effective, but not everyone has the willpower to find a therapist, so AI chat can become a quick first aid.” Beaupre says.
2. Use AI to cut subscription costs
Everything from software and home alarm systems to food delivery and video streaming services require a monthly subscription fee these days. That and automatic subscription renewals can be a big drain on the few funds you have on hand. It’s very easy to lose track of how many subscriptions you are paying for now.
Use AI-driven apps such as Cleo, Truebill (Rocket Money), and YNAB (You Need a Budget) to help you manage subscriptions and track and reduce bills. But you can also use chatbots like ChatGPT, Claude, and Gemini to recommend the best mix of streaming services to get the best deals according to the video viewing criteria you set, like total monthly cost and your preferred viewing fare such as favorite shows, sports, most current or old movies, etc.
3. Use AI to renegotiate your bills
AI can analyze your expenses objectively and offer suggestions on what expenses to cut and which to renegotiate.
“I recommend using ChatGPT to analyze bank statements and create personalized budget plans for expense management. One client saved $600 monthly after using AI to identify subscription overlaps and negotiate better rates with service providers,” says Kevin Shahnazari, founder and CEO of FinlyWealth, a credit card and banking fintech company.
But AI can go beyond snipping subscription costs to tackling bigger expenses.
“AI can draft professional hardship letters and payment plan proposals regarding creditor negotiations. Success rates have improved by 40% when using AI-refined communication strategies with lenders,” Shahnazari says.
4. Use AI to cut interest rates and protect your credit score
Not sure what you can do to keep your credit score at a decent level?
“Some AI-enabled financial tools can even simulate different repayment scenarios to help individuals find the best way to protect their credit score while repaying debts,” says Lucas Botzen, HR expert and the CEO of Rivermate, a recruitment firm.
Want to lower the interest rate on credit cards and keep the cards open, too?
“Tala and Credit Karma’s AI Debt Manager simulates repayment plans and draft negotiation scripts. An example prompt is: ‘Write a letter to my creditor requesting a payment plan due to layoffs, citing [specific hardship].’ I reduced credit card APR from 24% to 12% using AI-generated appeals,” says Naomi Clarke, head of HR at Flingster, an adult chat site.
5. Use AI to find government assistance programs
But what can you do if there still isn’t enough money to avoid repossessions and evictions, let alone worry about your credit score?
“AI chatbots and virtual assistants can guide users through the process of gaining access to government assistance programs, including eligibility for unemployment benefits, food assistance, or emergency rental assistance,” Botzen says.
Don’t forget that AI tools can help you understand and complete government application forms and requirements, too.
6. Use AI to feed your family more frugally
Food is a big expense for most families trying to survive a sudden loss of income. The problem of affording food becomes more dire as other factors come into play like inflation and bird flu. But you and your family still have to eat.
“One of my colleagues used an AI grocery optimizer to plan meals based on store discounts. That single change cut their food bill by 20%. Given a chance, AI can help stretch every dollar,” says Dstny’s Hed.
AI can help you put food on the table in several ways.
“AI can be surprisingly practical, if you can use it right. Tools like SuperCook let you enter what you already have in your fridge and suggest recipes based on those ingredients. Some AI tools can also suggest cheaper ingredient swaps to keep meals affordable,” Hed adds.
7. Use AI to earn money while you try to find a job
You’ve submitted many job applications and done several interviews. What now? Just wait?
“Biggest mistake by most after a layoff? Waiting. Waiting for recruiters to respond, waiting for a hiring manager to approve an offer, waiting for a company to decide if they’re worthy of a paycheck again. Waiting is the fastest way to go broke,” says Peter Murphy Lewis, chief marketing officer at Strategic Pete, a marketing services provider.
“I had a business that closed down all of a sudden, saw my income get slashed to nothing, and realized nobody was going to save me. That was the point where I stopped waiting and started building. AI tears down the barriers to putting money back into your pocket,” Lewis adds.
Use AI to make or aid a side gig or side hustle while you are conducting your job search. Not sure what you can do as a freelancer or solopreneur? Brainstorm ideas with AI. Want to start a business based on your skills and experience? Besides brainstorming for ideas, use AI to identify what kind of company would disrupt the company that just laid you off. Maybe your new start-up will be the next Uber or Instacart.