Arizona Tribune - Northwestern Mutual: How to Prepare for a Midlife Career Change

Review financial planning

A significant career change almost always accompanies a change in personal finances. Beginning a job in a new field might mean starting with a lower salary, fewer vacation days, or a different set of benefits. "To prepare for the financial changes, take inventory of expenses, factoring in essential costs and discretionary spending," says Jhakiri Brooke, financial advisor with Northwestern Mutual's Harlem office. "A financial advisor can help ease the transition by developing a revised budget, investment strategy, and updated savings goals to align with the new economic situation."

Assess skills and interests

A new career often begins with an honest evaluation of one's strengths and interests. Reflecting on the most-and least-fulfilling aspects of previous jobs can guide future career decisions. For example, an English teacher who has loved working with teenagers but did not enjoy grading papers may consider a job in a youth community center.

Additionally, a skills assessment can pinpoint areas for growth and reveal new opportunities that align with personal interests. An individual with excellent organizational skills may consider a new career as a librarian. Understanding these strengths and weaknesses is crucial in choosing a career path that leads to long-term satisfaction.

Consult a professional network

A solid professional network is a valuable resource during a career transition. "Colleagues, mentors, and industry contacts can offer insights into potential opportunities, industry trends, or even mentorship for navigating a new field," Brooks says. "A trusted network may provide leads on job openings, offer advice on the change, and open doors that someone might otherwise miss."

Establish a timeline

The thought of a sudden professional 180 will likely bring excitement, but it's important to take it slow by creating a clear, structured timeline with critical milestones to make the midlife career change more manageable. This plan should outline savings goals and necessary certifications or training for a new career, with deadlines for completing them.

The timeline should also include a goal date for beginning a new job. As that date draws nearer, the timeline might include milestones for completing applications and speaking with one's current employer. Breaking the process into smaller, achievable steps may ensure a smoother job shift.

Identify potential risks-and rewards

Understanding the risks associated with a career change can make them easier to manage. For example, if a person moves from a corporate job into a caring profession, they might change their retirement planning to accommodate a potential decrease in benefits.

Big changes should be handled carefully, especially when financial risk is involved. That's why it's important to keep the benefits of a midlife career change in mind, too. A new job may offer greater personal fulfillment, better work/life balance, or even a stimulating challenge to look forward to each day.

Northwestern Mutual is the marketing name for The Northwestern Mutual Life Insurance Company (NM) and its subsidiaries in Milwaukee, WI.

Contact: Don Klein, 1-800-323-7033

SOURCE: Northwestern Mutual

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