My husband has been with this company for 10 years and has been offered an "early out" which will pay him about $300K. We are both 30 years old and he is just worried about finding another job comparable to what he has now. Should he take it?
2006-06-25 13:03:17 · 11 answers · asked by Jessica W 2 in Business & Finance ➔ Personal Finance
The correct answer is “It depends”. The company probably wants a decision relatively soon, are you working, and what debts do you have. So here is what I would do with this opportunity.
The day I head about it, I would be reviewing and updating my resume. At lunch I would go out and buy a suit and by afternoon, I would have made calls to several head-hunters. Then I would go home and talk to my wife about it. By the end of the first weekend, we would be very clear on our expenses, our debt and insurance and have a good understanding about our ‘fear factor. We may not have made a definite commitment, but the process would be underway. We would make a definite plan for the money that would not include wide screen tv’s or cars, and I would not entertain any ideas about my own business at this time. Soon we would understand the job market for his profession and be ready to make a commitment.
300k at 30 gives you 3 doublings that is it grows to 2.4 million by the time you retire. After he is working again and everything has settled down, that’s when you can consider a house or a business or just leave it alone.
2006-06-25 15:17:28 · answer #1 · answered by yeeooow 4 · 1⤊ 0⤋
Yes! If they are offering an early out then you should definitely consider why they are offering an early out. Consider your fanancials as well. 300K now or a few less in a couple months or for however long the company might stay in business. Also, you might want to ask the Accounting department for company financials. Think about investing some of that money. For example, one hundred grand would more then cover complete cost for a property and building a home that would sell for almost double the amount of you initial investments. consider investing in home builder company startups or in things that you know are safe if you please to do that instead. Plus, 300K should allow you the sufficient time to take care of finding a new job. Hope this helps, it is what I would do.
2006-06-25 20:13:26 · answer #2 · answered by tonytovar 1 · 0⤊ 0⤋
What are his other options? If he is basically offered the "early out" as a requested resignation or can he stay at his job if he wants? 300K is a good sum and if it's a one time offer, he may consider what may happen if he doesn't take it. Phase out his job, fire him, eliminate his position.....so many things to consider.
If he's worried about his age decreasing his marketability then he should really consider that he is still young and many people have succesffuly transitioned into new employment and even new careers later in life. My husband will be 41 when he retires from the military and still very young to obtain a great job.
2006-06-25 20:12:57 · answer #3 · answered by sukey32 2 · 0⤊ 0⤋
Tough. I'm struggling with the same problem. My company will offer me 140k and $15,000 per year in educational benefits as long as I maintain a C average or better. I've been with this fortune 500 company for 11 years. Do I take it? Move? Start a new career that pays less? I always said I wanted to start my own business.... hmmmm maybe its time I take a stab at it.
2006-06-25 20:08:44 · answer #4 · answered by ndvsne1 4 · 0⤊ 0⤋
If he has a choice in past experience the people who left were the ones who could reestablish elsewhere. Individuals who held out ended up doing quite well. In all likelihood he could find another job and $300 k is a lot of money. Weigh the decision carefully sometime a move is needed to get going.
2006-06-25 20:15:51 · answer #5 · answered by Kenneth H 5 · 0⤊ 0⤋
He needs to weigh the option as to whether his company is going to close or stay open and he can keep his job. If the possibility is closure, then take the money invest in good growth mutual fund (only a portion,live on rest) while he is looking for a new job.
2006-06-25 22:05:01 · answer #6 · answered by pappa_15 3 · 0⤊ 0⤋
Absolutely, because what usually happens is the ones that don't take the buy out end up laid off permanently with no benfits at all......He is still young enough to start over plus he will have the money to go back to school and do something he has an interest in...
2006-06-25 20:14:15 · answer #7 · answered by Barbara B 1 · 0⤊ 0⤋
depends on his stability in the present job, and the market for his services. Thats alot of money though. At 30 I would take it. He could start his own business.
2006-06-25 20:08:37 · answer #8 · answered by tazzz6413 4 · 0⤊ 0⤋
Hell yeah, I worked for a company for 11 years they are now closing and they are offering me $3,250 for my pension. I'm gonna just take it and roll it over in my 401k. I'm turning 30 next mo.
2006-06-25 20:10:31 · answer #9 · answered by ppeanuts28 2 · 0⤊ 0⤋
I would take it. I would invest the money and then look for another job.
2006-06-25 20:07:18 · answer #10 · answered by peony1418 3 · 0⤊ 0⤋