Labor Day Job Woes
Many Remain Unemployed
This Labor Day, all some people want is to be back to work. Startling job statistics released Friday said that no net jobs were added to the economy last month for the first time since 1945.
Tiffany Bohl said she spent Monday searching for a job.
"Only one place I walked by was hiring," Bohl said. "I put my application in there, but other than that, everyone else is saying no."
She's been unemployed for months now, and with a 9-month-old baby, she said her husband's salary barely makes ends meet. Bohl said the savings she thought would help get them through these tough times are almost gone.
"We had a couple thousand in there and we feel like it disappeared," said Bohl.
She's not alone. Since the economy went south, many have cleaned out their savings accounts and even their retirement funds. Some KRDO Newschannel 13 viewers told us on Facebook that they've been forced to dip in to their 401ks.
"I think cashing out your retirement fund, your 401k, should be your very last option," said financial planner Denisa Tova.
Tova said that you'll lose about 40% by cashing in early because of penalties and taxes. You can click here to assess what you stand to lose by spending your 401k.
Before burning through your savings, Tova recommends trying to negotiate with creditors to lower payments and interest rates.
"You would be surprised by how motivated creditors are to get paid," she said.
The Bohl family said they're making sacrifices to avoid using the remainder of their savings. The couple didn't have a wedding, put off school and even decided against a trip out of state to see a dying relative.
"It's not easy being young and starting a family and thinking your ready and then you're falling," said Bohl. "You might think you have everything saved up, but you don't."
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