Provided it is not forced on you, an offer of redundancy is often seen as an unexpected cash windfall. But there are some important considerations to take into account such as how can you maximise the benefit of your payout.
Considerations such as, will it be a tax-free cash payment, a partly taxed payment or form part of a superannuation roll over, will impact significantly on the final net benefit amount. Other areas of advice include how to apply the funds. For expample, should you reduce debt, implement a strategy to generate income, or plan to cover short-term expenses with the redundancy payment.
In some cases it may be necessary to plan for the 'worst case' (usually being unable to find suitable work within a reasonable period). How will you cope financially? What government assistance are you likely to be able to claim? In this case, the most important consideration will be what level of income you need, and how you can generate it.
The issues surrounding redundancy can be complicated and often emotional, so we strongly recommend you seek our professional advice through these sometimes-difficult times.