Bring Clarity to Your Finances™

Clarity Financial Planning Services is an advocate for your financial future who takes a holistic approach to your needs and goals.

Financial Planning for Career Switchers

by Claire Emory on July 24

Are you thinking about changing careers? If so, have you done some financial planning to prepare for this change? In our self-help obsessed culture, it can be easy to get excited about changing your life but more difficult to take the time to research and plan out a career switch.

While money certainly isn’t everything, a number of career switchers may find that they need to invest a lot of money into getting a job in a new field. Peace of mind is priceless, so after some initial adjustments, people who change careers may find that they are quite happy with their decision. They can, however, make the transition much smoother if they have a plan in place for managing their money.

In “Can You Afford a Career Change?” Yahoo! Finance recommends that you spend time “crunching real numbers starting with your projected salary.”  Yahoo! Finance also suggests you consider-

Training: Before you start looking at projected earnings, you will need to figure out if your current skills can transfer or if you need additional training or a degree. How much are you willing to invest in this new career before you can find work? Will it be worth it to spend money on school and risk a possible pay cut to work in a different field? If your current job provides tuition reimbursement, do they stipulate that you remain with the organization for a specified amount of time afterwards?

Location: Are there jobs in the field you want to work in near where you live now? If not, you may need to factor in relocation costs as you are planning a budget for your career change.

Retirement: How will changing careers affect your retirement plans? Will you need to spend a few years at a lower salary after you make the switch? A Fee-Only financial planner can help you plan so that you don’t jeopardize your retirement savings.

 

Previous post:

Next post:

Disclaimer: Claire does not offer any financial advice on this website. All information provided on the site or in this blog is for educational purposes only. Contact Claire or your financial advisor for specific advice that will fit your situation.

About

Claire is dedicated to helping people, and women especially, take care of themselves and the people they love. She learned the importance of financial planning and literacy at an early age thanks to financially creative parents who were masters of getting the most out of their money.

Comments on this entry are closed.

  • News

    Clarity Financial Planning Addresses the Women’s Information Network (WIN)

    On January 18, 2013,  Claire Emory MBA, CFP, CFA spoke at a luncheon meeting of the Women’s Information Network  (WIN) on the Five Fundamentals of Fiscal Fitness and the Financial Life Cycle.

    Clarity Financial Planning Joins the Board of Directors of the Chartered Financial Analyst Society of Washington DC

    On June 26, 2012, at an event at the Embassy of Argentina, Claire Emory MBA, CFP, CFA  joined the Board of Directors of the CFA Society of Washington DC, an organization of more than 1,700 investment professionals.

    View more