Need ideas on managing money during your career change?
There are many factors to consider when deciding to change careers: what to path to pursue, how much time it'll take, and how much it'll cost, to name a few.
Often career transitions involve pursuing continuing education to get the necessary training and skills you need. While the financial impact of heading back to school can seem daunting or risky, it doesn't have to be! Here are some simple steps you can take when budgeting for your career change to make the process less stressful and more affordable:
Assess your expenses and savings
Whether you plan on working throughout the duration of your program or taking the time to fully focus on your schooling, you'll need to assess your average expenses and savings prior to enrolling. Budgeting how much you'll need each month for school expenses in addition to day-to-day living will give you a good idea of a financial goal to work towards. Having a nest egg of savings, meaning more saved than you are anticipated to need, is an ideal situation in case any unexpected expenses pop up!
Consider short-term learning options
Four-year degrees and two-year diplomas can be a big time commitment, meaning an extended period of tight budgeting. Other options such as Bootcamps or part-time courses allow those looking for a career change to learn all the essentials over a shorter period of time, which means getting back to the workforce sooner!
Start living off your career transition salary
Reducing your work hours, working part-time, or not working at all during your time in school? Whatever option you choose, start living off your new salary now, prior to diving in head first. Whether it's cutting certain expenses or finding new ways to manage your money, the changes you make to your spending habits will be beneficial once the time comes to enroll in school.
Research scholarships and financial aid
Not all costs associated with changing careers need to come from your pocket or be paid in full right away. Many programs offer scholarships and financial aid, which can make a big difference and relieve some financial stress in your career transition. For example, here at Juno College we offer an Income Share Agreement program for our Bootcamps, which allows students to pay less upfront for their tuition, and only start paying it back once they're making at least $50,000 annually in their new job.
Consider your new salary
When deciding what new career path you plan to take, be sure to browse starting salaries in that field. Whether it's less or more than your current position, sites like Glassdoor or Student Outcomes Reports will give you an idea of what you'll be making upon graduation. Depending on the field you choose, often the short-term financial sacrifices of changing careers can lead to long-term financial gain.
Need financial support for your career change?
Our scholarships and financing options put you first! Download our handy guide to funding your tech education to learn more: