Job Change?

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
KP Patches
Posts: 2
Joined: Mon Jul 16, 2018 6:15 pm

Job Change?

Post by KP Patches » Mon Jul 16, 2018 7:07 pm

First time poster. I'm mid 40s. So is DW. We have 2 grade-school kids. I'm a law firm partner in a medium/high COL city in Midwest, scheduled to make about 250 draw + ~ 200 at year end. Very stressful. Virtually no control over schedule/workflow. Haven't had a real vacation in as long as can remember. Pretty burned out. Quite unhappy. Feels like could fall part on any given day, but have felt that way for several years now. DW also works in law, also unhappy but not as acute, scheduled to make about $120k draw + 100k at year end.

~$800k home paid off (~$18k taxes/insurance)
~$800k her 401k
~$330k his 401k
~$290k his tIRA
~120k cash (DW plans to buy ~40k new car soon)
~$1,030k taxable Vanguard
~$300k misc other investments
~$150k 529 for each kid (target $250k, would like to fund private college if desired + help w/ grad school)
~$30k 529s for 4 relatives kids, targeting $80k total
~AA is ballpark 40/60 stock indexes/bond indexes & MM
~no pensions or retiree healthcare

We currently spend approx. 125k year, max 401ks, approx. 40k for DW and approx. 50k for me and are currently putting $30k in each kid 529 + $15k total into 529s for 4 nieces/nephews.

Expect to receive a job offer to be an assistant treasurer at a medium sized company with a complicated capital structure where my job would be to arrange, track and manage various credit/debt facilities with various lenders. Pay is approx. $150k with maybe 10% bonus plus benefits. Company is catalog/online retailer that is not doing great (probably true of the entire industry). The job function appeals to me a lot. I would be good at it and enjoy it and find it engaging. I have an MBA and many years ago did some capital markets work. I don't know anything about the "treasury" job track and whether this has any future or growth potential. I also have never worked in retail and feels like there is serious risk that I would be jumping on a sinking ship. I'm considering making the change because of how unhappy I currently am in my law job. My specialty area does not lend itself well to "going in house" so I've struck out in efforts to find a counsel job and a company so far.

Seeking BH input on whether this job change makes any sense or whether I should try to suck it up for as long as I can in the sad job and keep looking?

Thanks,

KP Patches

stoptothink
Posts: 4298
Joined: Fri Dec 31, 2010 9:53 am

Re: Job Change?

Post by stoptothink » Mon Jul 16, 2018 8:42 pm

Considering you could easily live off the wife's income alone and still save some, you have the freedom to do whatever floats your boat. You could even both retire now and be in pretty safe position, so why continue doing something you hate? If the new job appeals to you, try it, but you don't really have to do anything.

bltn
Posts: 148
Joined: Mon Feb 20, 2017 9:32 pm

Re: Job Change?

Post by bltn » Mon Jul 16, 2018 8:50 pm

Given your reservations about your future with the new job, and your big cut in pay, I would stick with your current job for now and keep looking for another opportunity. Maybe practicing at another firm.

Rick Rock
Posts: 70
Joined: Thu Jan 19, 2017 6:39 pm

Re: Job Change?

Post by Rick Rock » Mon Jul 16, 2018 8:54 pm

Before you jump at the career opportunity, been in touch with a headhunter lately?

Feel like you could better monetize your experience (or at least monetize it in an industry with a better outlook) given your law + MBA + capital markets background.

150k with a 10% bonus seems really light for the complexity and importance of the work -- and also for your credentials.

Unless the company has a really compelling plan and proven ability to execute - I wouldn't jump at the first offer. You'd be amazed at what might come up if you look in the right places...

nimo956
Posts: 725
Joined: Mon Feb 15, 2010 6:07 pm

Re: Job Change?

Post by nimo956 » Mon Jul 16, 2018 9:04 pm

So if you exclude your home, the 529s, and deduct the cost of the new car, you have $2.83m. At a 3% withdrawal rate, that gives you $85k per year. That's only a $40k per year delta from your current spend.

If you quit your job entirely and become a stay at home dad, you could get health insurance through your wife and her salary would more than cover the delta in spending. You might not even need to draw down anything from the portfolio.

Have you thought about taking 1-2 years off? The new job still sounds risky and stressful to me, and you sound like you need a break. Would your wife be okay with you staying home, since you said she is unhappy as well?

You could even both quit your jobs, sell your house, and move to a foreign country for a few years while you recharge! Kids can learn a new language, experience a different culture, etc.

Try not to feel like you're chained to a particular path/trajectory, such that you close yourself to non-traditional lifestyle changes. Explore all possible options and choose what will make you happy, regardless of what extended family, friends, or society says is acceptable.
50% VTI / 50% VXUS

User avatar
gunn_show
Posts: 1451
Joined: Wed Jun 06, 2007 3:02 pm

Re: Job Change?

Post by gunn_show » Mon Jul 16, 2018 9:45 pm

stoptothink wrote:
Mon Jul 16, 2018 8:42 pm
Considering you could easily live off the wife's income alone and still save some, you have the freedom to do whatever floats your boat. You could even both retire now and be in pretty safe position, so why continue doing something you hate? If the new job appeals to you, try it, but you don't really have to do anything.
Given the numbers ($3mil in bank and wife $220k income) I agree that this is truly the simplest / most direct answer to the question.

You can really do anything and take any "quality" job that pays decently. That is assuming you're at your financial goals. Appears you are.

If the job and company appeals to you, try it out. With your resume I'm sure it's easy to find -something- if this gig doesn't pan out.
Rick Rock wrote:
Mon Jul 16, 2018 8:54 pm
Before you jump at the career opportunity, been in touch with a headhunter lately?

150k with a 10% bonus seems really light for the complexity and importance of the work -- and also for your credentials.
Also valid. Lot of recruiters / headhunters out there right now salivating for top talent.

The pay does seem "light" when compared to your historical earnings. But it sounds like you are more than willing to trade high earning + high stress for something more normal. Obviously you can afford to take that risk too. If you are sold on the gig, try it. Really it costs you very little, either way your combined income more than covers your COL and savings capabilities. Sounds like -any- job you go for outside of the high powered law field, will be a pay cut. So why not go for it? It's pretty tough to get too far up the pay scale without being high stress / low vacation / continue doing what you've been hating for years. I'm a risk taker, and I would go for this all day. Truly nothing to lose given the security you have (savings, wife income).
"The best life hack of all is to just put the work in and never give up." Bas Rutten

simas
Posts: 229
Joined: Wed Apr 04, 2007 5:50 pm

Re: Job Change?

Post by simas » Tue Jul 17, 2018 6:59 am

you can afford the switch financially as well as afford not to work at all (with DW working).

also, I do not know how you spend 125k in Midwest but if any of that is at all configurable, you _and_ your DW can afford to do pretty much anything you want ('retire'). for comparison, I am in Chicago, also 40s, also 2 kids , spending half of that, paid of house/car, pretty much buying any food we want, having people clean our house, etc.


as for the Job Change - take the time to confirm you want in, not just out of the current stress grinder..

KP Patches
Posts: 2
Joined: Mon Jul 16, 2018 6:15 pm

Re: Job Change?

Post by KP Patches » Tue Jul 17, 2018 7:36 pm

Thanks a lot for the thoughtful responses. I decided to pass on this one, but input has helped expand my thinking about possible alternatives. Appreciate it!

Post Reply