Preparing your finances for a career break
Thinking of taking a career break? Whether you’re staying home to care for children or travelling around the world on a year-long sabbatical, the prospect of taking extended time off from work can be exciting and terrifying in equal parts. How will you survive financially while you’re away from the office? And how can you make sure that your career will still be there when you get back?
A career break can be a great opportunity to take some time off and recharge your batteries.
Understandably, money is the single biggest concern of career breakers. How much will it cost? Can you afford it? How can you save up? Can you earn extra? Should you borrow?
The pandemic forced many to reevaluate the role of work in their life, whether it was juggling childcare duties and a remote job, or low-wage and essential employees who had to work in person during the height of the pandemic. Many found themselves struggling with burnout and some questioned the conventional wisdom that people have to work for decades before retiring.
Here are a few things to consider before taking a break from your career:
How will a career break affect your income?
How will a career break affect your ability to save for retirement?
How will a career break affect your benefits (such as life and health insurance)?
How long do you plan to take a career break?
What are your financial goals during your career break?
What are your plans for returning to work after your career break?
How will you keep your skills current during your career break?
What are your plans for childcare during your career break?
What are your plans for housing during your career break?
What other financial considerations
Looking to reassess your current financial situation and review your goals?
The more time you spend in your career, the more responsibilities you take on that attach you to your work, and it becomes more difficult for you to take a career break. But as long as you have good financial backup and should you take into account before taking a career break? But as long as you have good financial backup and funds available to you, it is not impossible to take a career break at any stage of your life. If you would like to reassess your current financial situation and review your goals, we’re here to listen.
Ancojada Limited trading as Ancojada Group is not authorised or regulated to provide financial advice.
All financial advice is provided by other regulated businesses.
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