Don’t Forget to Do These Things Before Quitting Your Day Job
You’re tired of your dead end job and have decided it’s time to venture down a new path. Perhaps you put in job applications and get an offer from a better company, you turned that side hustle into a lucrative business, or you’re simply going to maintain the home and care for the children. Whatever path you’ve decided to travel down, there are some steps you want to take first to make sure that you’re financially prepared.
Get Those Debts Out of the Way
You’re letting go of your stable and reliable income for who knows how long. You don’t want to do this without first getting rid of serious debts. At least a year or so before quitting your day job, you want to tackle as much debt as you can. You can pay bi-weekly, pay more than the minimum balance, ask about a reduction in interest, or negotiate a settlement. If the settlement seems like a good offer but you don’t have the money to pay it off, fill out an online installment loan application. If approved, you could have as much as $1250 to pay the settlement and then a few months to repay the loan.
Have a Nest Egg
No matter how much you dislike your current job, it has been paying the bills for a while. When you’re the new person at a different company or just starting a new business money may not always be guaranteed. So, before giving your two weeks notice to your employer, you should probably make sure that you have a nest egg. Saving at least 3-6 month’s worth of expenses should keep you afloat should you fall short on income.
Get Your Health Checked Out
Here’s one you may not have considered but you should have your health and those covered under your insurance checked out before quitting your job. There can be a lapse in receiving new health insurance coverage at a new company and paying out of pocket as an entrepreneur is also tough. Visit the doctor, dentist, and other specialists to ensure you’re in good health and to fill up on prescriptions.
Have a Backup Plan (Income Source)
The truth is, you can never be too sure what’s to come in the next few weeks, months, or years after quitting your day job. You might get to the new company and find that it too is a dead end, your employer could have to lay people off, or your business idea might not generate as much money as you thought. In any event, the chances of you getting your old job back are slim. So, you need to have an idea of how you’ll earn money. There are plenty of side hustles you could try out as you work your new job to bring in extra cash.
There are lots of reasons people walk away from their day jobs. The inability to succeed, limited income, poor work/life balance, and wanting to chase their dreams are just a few. If you’ve decided to take the plunge, it’s imperative to be prepared. As your finances could be unpredictable for the time being, making sure you’re financially prepared is recommended to reduce the stress of embarking on a major life-change such as this.