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Despite a variety of economic concerns that simply cannot be ignored, today’s economic situation has significantly improved – gas prices have dropped, inflation remains at a comparatively low level, and unemployment has been reduced.
Today, Americans are much more confident in the economy and as a result, many have career fluidity. Even though switching jobs may be helpful to your career, there are some complicated processes that require a thoughtful approach. What exactly should you take into account before making the big leap?
1. Look at the Bigger Picture
When looking for a new job, higher salary should not be your only priority. Think wider instead. Even if you find a better-paid position, your net profit may turn out to be not so substantial in the long run.
Put simply, compare the perks employers offer, beginning from the levels of health insurance deductibles and 401(k) match to child care subsidies. Remember that even details like time spent driving from home to your new job matter.
Before you make the final decision, make sure that the compensation package your new employer offers exceeds the package you have now, but not just your earnings.
2. Don’t Miss Benefits
Make sure you know your current employer’s incentive payment dates. If your company, for instance, pays year-end bonuses, quitting in November is obviously a bad idea. Apart from this, incentive payments are sometimes paid quarterly, so try not to miss this opportunity as well.
One more thing to keep in mind is your company’s vacation policy. Depending on your employer and state, your unused vacation may be paid out when you leave. If it isn’t, think about using the paid time off before you submit the resignation letter.
3. Find a Temporary Source of Income
When it comes to your finances, you can’t be too careful. If you decide to quit a job, you’d better think not only about a solid emergency fund but also about a temporary source of income.
This could be basically anything, depending on your skills and time resources, from stock investing or high-frequency trading (more details on Glenmore Investments website) to photo sessions for your friends or babysitting.
Even if you’ve already found a promising job offering attractive pay packages to its workers, there is still a risk you won’t like the company or your coworkers and decide to leave it in a month or two, and that’s exactly when extra income wouldn’t go amiss.
4. Secure Health Insurance
Before leaving your current job, think about your insurance fund. Not all companies offer insurance to employees right from the start and you may need to wait for 30 or 90 days before you finally receive the one.
In other words, you will need to cover your health insurance costs during the transition period yourself. Consider taking out a short-term health insurance plan – it won’t cost you a fortune and will let you sleep better at night.
Have you made any job-switch snafus? Let me know in the comments so we can help each other make better work transitions!