Time to change careers...like yesterday? Not sure if you are financially prepared before you quit your job? Regardless of your career field, it's not an easy decision to take a leap of faith. Those golden handcuffs are no joke! I get it. Here are 5 things I learned from completely changing my career...
First, this is my story...
I tried leaving the corporate life 3 times. The first time was ugly and messy. Second time was a little better. Third time was the charm.
I was finally able to leave a career that was no longer a good fit. More importantly, it was time to get away from East Coast winters!
#1 Money Mindset Tip for Future Corporate Dropouts
So I quit my job, sold the condo and moved across country. I gave everything away and just shipped my car. Join me in my new chapter as a financially independent woman in sunny California!
In my mid-30s, I reached financial independence retire early (FIRE) by creating multiple income streams from investments and side hustles.
By financially independence, I'm referring to having enough income to cover all living expenses without having to work for the rest of life. In sum, work is optional for someone who is financially independent.
My journey to Financial Independence Retire Early (FIRE) has been a wild ride. Like the stock market, there were many volatile moments.
Yet, it was always upward progressing over the long-term. I’ve made a lot of money mistakes along the way.
Money mistakes and financial setbacks are a part of the learning process.
There are so many things I wish I didn’t have to learn the hard way. Here are my top 5 tips to help you reach your goal of early retirement.
1. Financially Prepare to Say “Thank You, Next”
No job is 100% secure. If you hate your job, give yourself some breathing room by having an emergency fund, aka F-You money.
The 9-5 lifestyle is not for everyone. And that’s ok! At the same time, you never know if the job will swipe left on you.
Having an F-You money allows you to swipe left on the 9-5 rat race. And if you do end up saying F-You to the boss, be sure to tell me about it.
Most financial experts recommend 6-12 months of monthly expenses saved up. Here’s how I was able to build my emergency fund in 6 months.
2. Mentally Prepare to Resign
Quitting without another job lined up is not recommended. Ever. However, you know yourself best. You know when you've had enough.
Sure, I was afraid of quitting my job without another one lined up. But I was so burned out from my corporate job.
It was to the point that it was hard to bring myself to make time to job search, update LinkedIn, edit resumes, schedule interviews, and so forth. It’s no joke when they say job searching is a full-time job.
At one point in my life, the personal and professional development in an office setting served me well.
Over time, I grew restless and felt like I was spinning my wheels. The work no longer resonated and I was festering in the corporate culture.
I hope you have an emergency fund or getting it squared away. Hopefully you won't ever need to touch it! But you’ll know when you’ve hit your breaking point.
There are a endless ways to create side hustle income and reach FIRE. Investing in stocks, owning rental property, creating your own online biz, and so forth.
But it doesn’t mean you need to do it all. Just pick 1 or 2 that gets you excited.
Everyone's financial situation and personal interests is unique. It’s important to try out different side hustles to see what works best for you.
I tried many different side hustles from teaching yoga to index fund investing. Eventually, I narrowed down my preference and was able to reach FIRE mainly through index fund and real estate investing.
Not sure where to start? Here are 8 ways I created multiple streams of income.
3. Do the heavy lifting upfront
Even without a Plan B lined up, you can still do a lot of heavy lifting in advance. So do yourself a favor and give yourself options.
Side hustle? Networking events? Personal finances in order? Do as much networking, resume/cover letter editing, and other transition-related activities possible while still having a steady stream of income.
A lot of things can happen quickly and the last thing you want is to do a sloppy job on important admin work. Ultimately, you don’t want to be in a space of regret once you leave.
Some admin work that you can take care of advance is obtaining employment verification paperwork. This includes references, phone numbers, and mailing addresses.
If you don’t want people to get suspicious of your upcoming resignation plans, say it is for refinancing a loan or use a believable fig leaf.
You can also draft a resignation email so that if things heat up, you are not emotional when writing your farewell. In fact, keep it short and simple.
4. Draft a roadmap
What are you running towards? It’s one thing to “run away” from your current job. But if you don’t have anything to run towards, things can get tricky.
Not to say you need a solid Plan B in place but at least have productive activities planned in advance. Have a “fluid” roadmap in place so that you have some sort of direction.
Most times, when people want to leave a job, they don’t consider taking a break in-between careers. This then leads to more burn out and the cycle perpetuates.
Taking a career break is not career suicide.
Career breaks can propel you forward even further than if you were to go directly into another job.
If I hadn’t taken months off, I would not have lasted very long in my next career. I needed the time off to gain clarity on what I wanted the next chapter of my professional life to look like.
I also used the time to get my finances in order. Most importantly, I used the space to get clear on what career fulfillment meant for me. I wouldn’t have been able to find stillness and tap into my intuition if I had gone directly into another job.
Heck, I would not have been able to reach financial independence had I not taken the months off in-between my last two jobs! Kind of ironic huh?
5. Read the FREE Corporate Dropout E-Book
About to take the leap? Already resigned? When it comes to being a dropout, there’s one thing I know for sure. It’s not as easy or glamorous as it seems on the surface.
Whether it’s dropping out of Corporate or college, there’s a lot of unknowns involved. They say fear of missing out (FOMO) is a real thing. Well fear of the unknown is also no joke.
Not too long ago, I quit Corporate America, sold my condo, and moved across the country.
In that order. No job lined up. Not a single client on the horizon.
Grab your FREE E-Book today!
It was my third time quitting a career without a Plan B. I gave everything away and left all my furniture.
What about clothes? I left it all, my business suits and winter coats were still on hangers the day I gave the new owners the condo keys.
I took my fav pair of heels though. Other than that, I shipped my car and gave away everything else.
It was time to start a new chapter. Being born and raised in Hawaii, I had enough of East Coast winters. So I picked Southern California as my new home.
Most of my life, that is how I operated. One foot in front of the other, rarely in a “logical” order. And never in a “rational” way.
Things worked out each time but it was definitely scary times. That's why I created an e-book of all my personal and professional lessons learned along the way.
For the rest of my story and to learn my money making strategies, access my free E-Book!