Welcome to The Money Coach, a Times of Malta column where readers can ask questions about life's money issues. Send your questions about personal finances, inheritance, gifting or other personal finance topics to moneycoach@timesofmalta.com

Dear Luca,

The unthinkable has happened. I was given notice on Black Friday, and to be honest the past two weeks were the most worrying and terrible of my life.

I was still on probation and though I had some issues with my manager, I always thought the situation would be fixed. Also I never expected to be laid off right before Christmas.

I have started looking for a job, but not in earnest given the time of year. It's Christmastime and I assume companies will be more focused on closing down for the holidays rather than recruitment. 

I have a holiday booked as well, but am not sure what the best way forward is. Should I cancel it and just lose the flight costs – which were minimal – or should I keep it and stretch the funds I have available? That is, if I don’t find a job immediately in January, I envision having a very hard February.

My wife works, but her income is not enough to cover all our expenses. We have a one-year-old child, a car loan and a home loan – not mentioning the daily expenses.

Given that it's the Christmas period, what would you do? I have never held back from fully enjoying this period, but it’s the first time I am without a job.

Thanks for your patience,

Unemployed Professional

Luca Responds:

I am sorry to hear about your job loss. Back in 2017 I was also unemployed right before the Christmas period. In my case, the difference was that it was just me and my wife, so we had no children to take care of.

From your message, it appears you don’t have an emergency fund that covers you for more than one or two months. In that case, I would seriously reconsider going on holiday.

I am not saying you won’t find a job in January, but would you feel comfortable carrying that risk? Speaking about me at least, I wouldn’t be in the right holiday mindset, thinking that when I come back there is that much pressure.

Furthermore, you mentioned that you’re not making that much of an effort in your job search in December given that it’s the holiday season. I disagree with your strategy. It’s true that a majority of companies will be closing down for the holidays, but I know of many companies that are desperate to employ people. It might only be the first interview this month, but it might mean being immediately employed in January… so I urge you to stop thinking of what the current month is, and take a more proactive approach.

Another recommendation I have for you is to think mostly of your essential needs until you find another job. You find yourself in an unusual situation that requires you to focus on survival.  Cut out the extra expenses.

Luca is the founder of the Money Coaching Hub. Email him your financial questions or your response to today's question for a chance to be featured in a future column.

Disclaimer: This column is intended to provide general information on various topics related to personal finance. The information provided is for educational purposes only and should not be construed as personalised financial advice for your specific situation. Financial decisions are highly individual and can vary greatly based on your unique circumstances, goals, and risk tolerance. The author of this column is not authorised to provide financial advice. Before making any financial decisions, it is recommended to seek professional financial advice from an authorised financial advisor.