How to Quit Your 6-Figure Job

At any time in your career, you may find yourself pondering resignation. You may wish to leave your current job because of an offer from another company, or you are moving out of the area, maybe you are ready to start your own business, or any number of other factors. In any case, deciding how to quit your job may be difficult, especially if it’s a 6-figure position. Good financial planning is essential, and will begin with your monthly overhead such as your mortgage obligations, bills, and retirement contribution.

Something even better on the horizon

Taking proper time to evaluate why, when and how you should resign will help you make the right decision, find new positions – especially those with opportunities for substantial promotions – and exit your present situation gracefully. Even if you are dissatisfied, thoroughly consider the benefits and drawbacks of leaving your existing job.

If you are actively seeking a career move, you may want to wait until you have formally accepted another employment offer before resigning from your present one. Otherwise, you may encounter an unforeseen employment gap, which could have an impact on your income, private insurance, and other employment benefits.

Planning on starting your own company? Before quitting your 6-figure job, ensure you are fully prepared. You should complete all the licenses, paperwork, and documentation for the new company before you resign. You should have a business plan and be ready to work it hard. You should also be prepared for your income to be low for an extended time while you build the business up.


Invest $100K the Right Way

At some point, you may find yourself with $100,000 in the bank and questions on how to invest it.

person investing on a phone

Your next adventure

Don’t forget that financial planning is an essential part of s successful transition. Create a list of your non-negotiable monthly costs, such as mortgage, rent, groceries, electricity, taxes, auto payments, other debt, and childcare – as well as a list of what you can do without. If you haven’t already, set aside enough cash for three to six months’ worth of expenditures. Even if your job search does not take that long, the savings may be needed for unanticipated expenses. If your next adventure will be starting your own business, setting aside three to six months of expenses may not be enough. You may need to supplement your income with savings while the business is building up. You may also need to have a base of working capital for start-up costs and for uneven income periods after start-up. These factors should be well-thought out in your business plan before you decide to quit your job.

Reserve funds and working capital should be kept liquid and not subject to investment risk. It may be worthwhile to consider a high-yield savings account to make sure that even your non-investment accounts are still working, even if you are not. And if you own a property, applying for a home equity line of credit before you resign can provide additional liquidity.

Consider adding a financial advisor to your home team. Whatever point you are at in your career, Blankinship and Foster is here to equip you with the financial information you need to make smart decisions. And don’t self-doubt because of your age, education or other perceived obstacles, because while the average age to become a millionaire is 37, people reach that million-dollar mark at different points in their lives, depending on their circumstances. It may be that the ideal situation for you is right around the corner.

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