Changing Jobs? Keep Your Finances in Check with This Checklist
Career moves have been plentiful the past year. If a change could be in the cards for you, you need to be ready with the answers to several questions. Scan our checklist to see how prepared you may be.


Have the challenging past two years inspired you to think differently about your life, your work and your finances? You are not alone:
- 50.3% of U.S. adults age 55+ now consider themselves retired. Before the pandemic, up from 48.1% of those adults before the pandemic.
- More than 24 million U.S. workers quit their jobs between April and September 2021.
- For the 11 million open jobs listed in October 2021, only 7.4 million unemployed people were available to fill them.
Whether you have been thinking about a job change for decades or have been motivated by recent events to make a career move, it is imperative that you manage your transition with careful, calculated financial planning.
To start the process, here are five financial pointers (my five “Bs”) for changing jobs:
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
1. Budget
Before you make a career move, you need to be able to answer these questions: How will your career change impact your income, expenses, savings and current investing? How much of your current income are you saving and investing today across taxable (e.g., brokerage), tax-deferred (e.g., traditional IRA) and tax-free (e.g., Roth IRA) accounts? And how is your income projected to change in the immediate term (the first 12 months) and intermediate (12 to 24 months) period of your professional transition?
If a decrease in savings and investing is anticipated, when will you resume saving and investing, and how will you hold yourself accountable to this deadline?
2. Business impact
Will your professional change have tax and/or financial planning implications? Will you move from being an employee of an organization to owning a business? Are you becoming a partner in a firm? Will non-cash equity be part of your compensation?
As you understand the business impact of your career change, chat with your existing financial adviser to ensure you are accounting for the change in your tax and financial plan.
3. Benefits
What perks do you receive today from your current employment, like insurance, deferred compensation and/or equity-based compensation? How will these benefits change with your new opportunity? Are there tax considerations associated with your current benefits that might influence the timing of your professional move?
If benefits you rely on today will not be readily available through your next opportunity, how will you meet the needs that no longer will be covered, such as disability insurance?
4. Buddies
Who are the people — whether they be relatives or friends — that will be affected by your professional decisions? How will a career change impact the time that you have available to spend with these people, as well as the lifestyle you can afford for yourself and them with your total compensation?
As you transition to your new role, will additional time and money be required to facilitate the move, prompting a change in daily life for you and your buddies?
5. Buffer
Typically it’s good to have three to six months of expenses in your emergency savings. If you are moving from a salary-based position to a more commission-based or entrepreneurial role, it may be important to build up a larger cash reserve prior to making the transition.
To complement your emergency savings, what additional sources of cash and liquidity are available to you? Before you make the move, ensure that you have a clear picture of the financial buffers available to you to provide cushion throughout your transition.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Caroline Wetzel CFP®, CDFA®, AWMA®, is a vice president and private wealth adviser at Procyon Private Wealth Partners. She has worked in financial services since 2001 and began specializing in wealth management for affluent multi-generational families in 2015. Caroline earned a B.S. degree in policy analysis and management at Cornell University and an MBA in finance and advanced certification in marketing from the University of Connecticut School of Business.
-
Seven Surprising Reasons Retirees Are Going Back to Work
Sure, money is a big reason to come out of retirement, but it's not the only reason retirees are doing it.
-
Dow Gains 617 Points as Rate Cuts Near: Stock Market Today
Wednesday's economic data didn't shift Wall Street's expectations that the Fed is preparing for a rate cut at next week's meeting.
-
Four Clever and Tax-Efficient Ways to Ditch Concentrated Stock Holdings, From a Financial Planner
Holding too much of one company's stock can put your financial future at risk. Here are four ways you can strategically unwind such positions without triggering a massive tax bill.
-
Beyond Banking: How Credit Unions Serve Their Communities
Credit unions differentiate themselves from traditional banks by operating as member-owned financial cooperatives focused on community support and service rather than shareholder profit.
-
Answers to Every Early Retiree's Questions This Year, From a Wealth Adviser
From how to retire in a crazy market to how much to withdraw and how to spend without feeling guilty, a financial pro shares the advice he's given this year.
-
The Risks of Forced DST-to-UPREIT Conversions, From a Real Estate Expert
Some new Delaware statutory trust offerings are forcing investors into 721 UPREIT conversions at the end of the hold period, raising concerns about loss of control, limited liquidity, opaque valuations and unexpected tax liabilities.
-
I'm a Financial Adviser: You've Built Your Wealth, Now Make Sure Your Family Keeps It
The Great Wealth Transfer is well underway, yet too many families aren't ready. Here's how to bridge the generation gap that could threaten your legacy.
-
Want to Advance on the Job? Showing Some Courtesy and Appreciation Could Help
Two business professors share their insights about the impact of digital communication on the social skills of some in Gen Z and the importance of good manners on the job.
-
From Job Loss to Free Agent: A Financial Professional's Transition Playbook (and Pep Talk)
The American workforce is in transition, and if you're among those affected, take heart. You have the skills, experience and smarts that companies need.
-
A Financial Planner's Top Five Items to Prioritize When Your Spouse Is Ill
During tough times, it's easy to overlook important financial details, but you'll be so much better off if you take care of these things right now.