There are many ways someone can suffer a financial setback, including losing a job, suffering from a serious medical problem, or failing at starting a business. In any of these situations, there’s a mourning process in which you grieve your financial losses. Once you come to terms with these adverse circumstances, it will be time to rebuild your life. This guide can help.

Assess Your Financial Circumstances
Your immediate action should include evaluating your financial situation by comparing your expenses to your available income. If you suffered a temporary setback, such as missing a few weeks of work, you might be able to rebound more quickly. If your losses were more permanent, you would likely need to look for resources that can help you get back on your feet. For example, the COBRA act allows displaced workers to maintain their health insurance for a longer period of time. Additionally, look into unemployment or disability benefits to help you meet your obligations.

Prioritize Your Finances
This is the best time to cut out unnecessary expenses, and you may be surprised to discover how much you can really save each month. Buy bulk coffee instead of going to Starbucks, and pack your lunch instead of buying snacks at work. If you have cable and also stream content online, you can cancel your cable bill. Additionally, determine which debts you can put off until you improve your financial situation. While it may not be desirable to fall further into debt, your immediate expenses (rent, food, utilities) should be your priority right now.

Plan For Your Future
Your next step should be to create a plan that will allow you to get back to your usual status quo. This may require looking for a full-time or second job. If your spouse hasn’t previously worked, they may need to get a job until things balance out. You should determine how much extra you’ll need to bring into the household to help you catch up within a reasonable amount of time.

As you begin seeing your finances improve, you can pay more attention to building a strong financial portfolio. Contact your creditors to make arrangements to repay what you owe. You must also make sure you continue paying all of your debts on time each month. As soon as it’s possible, begin putting money away in a savings account. These steps will help you protect yourself in the future and allow you to pursue your dreams.