1914: Ask Farnoosh: Inside the Slowing Job Market (and How to Protect Yourself)

What It Covers

Farnoosh Torabi analyzes November's private sector job losses, cooling housing markets, and year-end tax optimization strategies while answering listener questions about career transitions, severance packages, and investment timing during economic uncertainty.

Key Questions Answered

• •Job Market Cooling: ADP reports 32,000 private employment decline in November, marking third decline in four months. Hiring managers delay expansion plans while workers face fewer openings, slower wage growth, and increased competition for available roles requiring updated LinkedIn profiles.
• •Year-End Tax Strategies: Maximize 401k contributions up to $23,500 ($31,000 if 50+) before December 31st to reduce taxable income. Consider tax-loss harvesting to offset capital gains by selling losing positions, and make qualified charitable distributions from traditional IRAs if over 70 years old.
• •Career Transition Timing: Avoid job changes when household has single income stream or partner starting unprofitable business. Prioritize internal company transfers over external searches, leverage existing benefits like six-week paid vacation and vested stock options, and maintain financial stability during uncertain periods.
• •COBRA vs Marketplace: Post-layoff health insurance through COBRA costs employer portion plus employee portion plus 2% management fee, making it expensive. Shop marketplace alternatives within 60-day special enrollment period after job loss, as layoff qualifies as life event for coverage outside open enrollment.