What Happens to Your Financial Plans When You’re a Teacher Making a Career Change?
Educators have many reasons for choosing their careers:
Many love working with children, and have a passion for providing a healthy and happy educational experience.
Others enjoy passing on gifts they received from their own teachers, while some may want to correct a negative experience they had as a child.
Still others realized, in a practical sense, that teaching is generally a very stable career choice, especially for those with specialized skills.
But what happens when the job no longer fits you?
Change happens, and longing for a new career is perfectly normal. Some teachers, however, fret about leaving behind a pension plan. What will retirement look like without it? How will your investment needs change? Is it possible to retire early from teaching?
Don’t worry; we can work together to find the right balance, keep your financial future secure, and convert your retirement plans alongside your next job of your dreams. Let’s talk about some of the ramifications to keep in mind when you transition your career out of education.
Teachers Moving to Private Sector Jobs
If you are feeling the brunt of burnout, it is completely understandable. Today’s educators face many challenges, and some are experiencing low job satisfaction. Looking for jobs outside of education could be the right choice for you. And as a teacher, you have many applicable skills that can easily and directly transfer to new positions.
According to research, these are the top private sector jobs that former teachers move into:
Education Administrator
Training and Development Manager/Corporate Trainer
Education Consultant
Museum Education Director
Writer/Editor
Human Resources Manager
Instructional Designer
Training and Development Specialist
Private Tutor
Public Speaking Coach
Project Manager
Realtor
Whatever your heart longs to do, it is never too late to try!
If you no longer feel that teaching is right for you, listen to your gut. You can repurpose your gifts. Whatever choice you make, we can help you move your retirement accounts.
Yes, a job change can be scary. But following your dreams matters more. Know you have the support of our team behind you when it comes to keeping your retirement plans on track.
Here’s a checklist of financial items to keep in mind as you switch careers.
Importance of Your Emergency Fund
Transitional seasons in life can be scary because of the unknown, because change is unpredictable. But with the right backup plans in place, you can feel far more secure about changing your career path.
While I’ve spoken about this before, and will always remind clients how important an emergency fund is, a career change is definitely a time when you may find such a safety net to be crucial.
If you don’t have an emergency fund at this time, or feel like you don’t have enough in that account, now’s the time to build it back up. You may find that, with a career change, there may be a gap of time before receiving your next paycheck. Even if you move directly from your teaching position to a new job one day to the next, payroll timing may look different, so having a stopgap will be important.
How much do you need? Aim for at least a month of expenses, in case you have a gap in paychecks, but 3-6 months is best!
Understand What is Changing
Changing jobs will require plenty of planning and preparation. Make an extra effort during this transition to be sure you understand each and every step. When you have questions, having a financial professional on your side to help you create a plan can go a long way.
I’m in your corner! Yes, I love working with educators, but I work with all families and have the deepest respect for what you’re doing. My only wishes are that you are happy and financially secure.
That’s why you can call me with any questions, even if you need to some reassurance that you’re making the right decision for you and your family. From changes in insurance, to how to adjust or rollover your retirement policy, I am here to help you.
After all, the “unknown” of change is made much simpler when you make it “known.”
My Team is Here to Help
I appreciate being able to give back to a profession that does so much for our community. But I also understand that if your heart isn’t in it anymore, it may be time for a change.
If you are a teacher who is ready for a career change, let me be your guide. Let me help you seek those answers and make the transition smoother. We can do this together, so schedule an appointment and let’s make a plan for your exciting next chapter!
Reegan Rehm, and Rehm Insurance and Financial Services are independent of, and not affiliated with, The Lincoln Investment Companies. Insurance products are not offered through The Lincoln Investment Companies.