Few things are as stressful as a potential job loss. If youre afraid of a layoff or termination, you need to shore up your emergency fund. Prepare yourself by living off your potential unemployment check for a few months.

Over at Credit.com, they give some tips on how to prepare for a job loss. If youll collect unemployment, adjust your current spending to reflect that temporary income:

As you prepare for potentially losing your job, practice living on less money every month. Make any necessary cuts to your budget and forecast the amount of money you will have based on any unemployment insurance you expect to receive, any payouts your company will give you, and anything you have in your personal savings. Plan to be unemployed for 6 to 8 months and set aside any money that you save while you live on less for your emergency fund.

You may not know your severance package or other benefits. Contact your states unemployment office they can tell you the current formula for benefits. If you set aside the money and dont lose your job, of course, youre no worse off--youve just added to your emergency fund or saved some extra for retirement.