How much will it cost you to change jobs? Guide to managing your finances

Changing jobs can be quite a challenge: it requires leaving your comfort zone and facing something new. Before you take the plunge, you have a lot to think about, such as the cost of financing the change. And while the current climate is a bit scary, you’re not alone. According to statistics, people change jobs five to seven times in their lifetime. 

In addition to choosing your new career path, it’s important to consider your financial situation and how it may be affected. With our financial advice you will understand how a job change can influence your economy and what to do to manage it in the best possible way. So if you find yourself motivated to change the direction of your career, read on and get ready to take the leap.

The job of your dreams: self-assessment

We all want a job that we like and that makes us feel fulfilled. But of course, with the stress, the salaries, how difficult it is to reconcile work and personal life, the loss of motivation in what we do, it is normal for frustration to make us question our situation and decide to look in another direction. Here are some practical tips that will help you make the big decision: change jobs. 

Keep track of your current working life

Write down which aspects of your daily work routine you like and dislike. Spot recurring patterns and reminisce about happy moments from the past: Think back to previous positions, volunteers, or projects that you found rewarding. 

Analyze your interests, values ​​and aptitudes

Get to work and make a list of your skills, your values ​​and the areas that most appeal to you, and you may discover that you can turn a hobby into a professional reality. Are you interested in sustainability? Take a look at renewable energy companies. Are you passionate about fashion? Think stores and wholesale. Are you good with animals? Walking dogs could be your thing.

Consider what options you have

Decide if you want a job similar to your current one or if you prefer to learn a new trade. In that case, you may have to train and find financing. Ask yourself if you are motivated by teamwork or if you see yourself more as a freelancer. 

Reinvent your workday: research

Now that you are clear about the reasons why you want to change jobs, it is time to establish the next steps you are going to take. Whether contacting companies that want to expand their workforce, looking for collaborative work with emerging companies or requesting financing to return to study, if you educate yourself a little you can go a long way. Follow the 5 steps in our guide to draw your own conclusions before changing jobs.

1. Salaries

Some people are financially motivated, while others prefer to focus on a specific type of work. With a simple search on the internet, you will be able to see the approximate salaries that correspond to the positions and sectors that interest you the most. In a very short time, you will have an idea of ​​what you earn with a specific job and you will know if it brings you the minimum wage or a generous payroll. 

2. Courses and qualifications

There are plenty of options available, from free online courses to university degrees. Think about it: do you need a certificate? If you don’t have too many funds to invest in training, find out what you can learn on your own or ask family and friends who know the subject you want to delve into. University courses can be subsidized by the state or cost you €20,000 a year, although this depends a bit on where you do it. It is also important that you take into account the duration of the course and how it will affect your economy.

3. Professional certifications

Check to see if there is a professional body that issues certificates or runs courses in the field you have chosen. The basic or initial levels start at €100, while the cost of intermediate level certifications usually ranges from €500 to €1,000. 

4. Professional experience

While working for free when you’re trying to save is counterproductive, it’s a good way to gain experience. Observe how other people work, ask your contacts if they can help you continue to grow at a professional level or consider the possibility of doing volunteer work. On the other hand, working as an apprentice (if it is a viable option in your field) will allow you to gain practical knowledge and some income.

5. The power of contacts

Talk to your acquaintances, register on job portals and platforms for online professional contacts to expand your circle. Create a LinkedIn account and expand your reach on the network.

Prepare for the change: create your budget to change jobs

After having done your homework, you will clearly know the costs of changing jobs. If you’ve decided to take a course or quit your current job to focus on finding another, don’t get overwhelmed when expenses start to mount (or if you have to dig into your savings). Take a look at financial tips and financial management tools, they will help you advance your mission.

• Save and reduce expenses : write down all your expenses and think about how to reduce them. Get out of the gym and go for a walk. Look for offers to reduce expenses at home and start dining out less. Little by little you will notice it in your account.
• Try to find a temporary or part-time job : if you can, spend your spare time doing something related to the new field you want to pursue. Do you want to design clothes? Look for a weekend job in a store. Would you rather be a creative writer? Contact the local newspaper. Every euro earned is a euro saved, and what is even better, more experience on your resume.
• Do the math: when you know where you have to reduce and the extras you can contribute, calculate how much you can save. 

A good method to achieve your goals is to use an Excel spreadsheet or an app that allows you to manage and classify your expenses. You can receive notifications for each transaction, set spending limits and get an overview of your finances in real time. Check out our complete guide to budgeting expenses.

Curriculum and cover letter: a tailor-made profile

Do you need to promote yourself on paper? To stand out from the crowd, create a resume and cover letter designed for changing jobs and promoting your skills.

1. Identify your “universal” skills: Determine what skills you can draw on from previous jobs and creatively adapt them to the new position. 
2. Share your objective on the resume: specify why you are applying for that job and what makes you the perfect candidate. Remember that you are trying to get that position with your personal and professional qualities.
3. Your cover letter : download a template from the internet and use it as a template. Research about the company and show interest in it. Highlight skills that have helped you in the past and will serve you well in the future, and mention a career accomplishment at your previous job. Use compelling examples that illustrate the value you brought to companies and ensure that the references you provide can corroborate your worth. 

When you’re done, review everything and make sure you’re on the right track. Get straight to the point and remove any superfluous information, don’t use colloquial terms, use an appropriate tone. To get what you’re looking for, introduce yourself with a resume that clearly and concisely reflects your professional experience and skills.