Getting fired doesn’t automatically qualify you for unemployment. In fact, you have have to be dismissed “through no fault of your own” in order to get unemployment. So if your job is eliminated, or your division is relocated, your project is completed, etc. and you are dismissed, then YES, you would qualify for unemployment. If you are dismissed for poor job performance, a disciplinary reason, or something similar….you are S.O.L.

That’s why many employers make certain to document (sometimes quietly/secretly) every naughty move you make prior to firing you. That way if you try to make an unemployment claim (which raises their insurance rates if you’re successful BTW) or try to sue for wrongful dismissal, they have plenty of ammo with which to defend themselves.

However, if you quit “to avoid being fired” then you still have rights to unemployment in many states. You just have to claim that you were going to be fired for reasons that were “no fault of your own”. Then you can tie-up the system while you and your company bicker on the details, all the while you’ll be receiving benefits. Just make sure your case is solid and you win. In some states you’ll have to pay back 100% of your unemployment benefits if you ultimately lose such a dispute.

So if you are confident you’re going to be fired, particularly if you think your company may claim employee misconduct, quit now. Then immediately file your claim (strike first) with the unemployment office. That way you’ll likely get full benefits AND avoid having a dismissal on your work record.

One thing that I think is becoming more common, especially for people who have been downsized or laid off, is going into business for themselves. Especially people who have jobs that require a lot of skill: accountants and hr professionals, marketing execs, etc — sometimes you can make a lot more money and be happier overall if you just go into business for yourself instead of trying to find the exact same kind of job at another firm.

Susan Friedmann talks about this in her book Riches in Niches: How to Make it Big in a Small Market, and I’ll tell you what — it really gives you a roadmap on how to re-invent and position yourself. Because let’s be real. The economy is not great, and people are holding tooth and nail onto the jobs they’ve got — that means there’s not going to be a lot of openings and the ones that there are aren’t much good or don’t offer much growth potential. Going it on your own — Friedmann calls it being a Nichepreneur — might really be the best option. But the time to start preparing and thinking about it is BEFORE you get canned!

Here are some recent interesting posts from the MoneyBlogNetwork and beyond: Blueprint for Financial Prosperity reminds you to check your asset allocation. No Credit Needed got his van. Get Rich Slowly lists the seven habits of wealth. Consumerism Comm…

Perhaps you have another job lined up and you’re ready to go… why wait to get fired?

If you’re just going to be looking for a job, you’ll want that unemployment, but if getting that unemployment is making your life miserable, well, you have to decide if it’s worth it to stick around until they eventually fire you.

Wouldn’t quitting be a bad idea. If you get laid off, isn’t there normally some severance package? At least look for another job first before quitting.