Changing your career path or even just moving from one job to another is often a difficult decision to make. It can sometimes be harder knowing that even a small gap in employment can have a larger effect on your budgeting for the weeks or months during which you make that transition. In fact, according to the London School of Business and Finance, many people who are looking for a new career feel that financial insecurity is the one barrier preventing them from actually making a change. Despite the likelihood of more financial stability once the change is made, many find it hard to bridge that gap.
Figures from the London School of Business and Finance showed that in the UK, 47% of people of working age want a career change. But this figure is even greater for the younger age groups, particularly amongst people aged between 18 and 34.
- 66% of 18-34 year olds in the UK want a career change
- More people than not would like a career change in Glasgow, London, Brighton, Norwich, Edinburgh and Newcastle.
- 41% of millennials (18-34 year olds) state lack of financial security as the ‘most likely thing stopping you them changing their job’
So people in the millennial age range are not only most likely to want to move jobs, but they are also the most likely to have concerns over a lack of financial security. But by understanding how your budget might pan out over this period it’s easier than you might think to overcome those concerns and manage your money to make the change.
Trying to budget well enough to stretch your regular income across this longer period can certainly be tricky, especially when trying to keep up with the costs of everyday life. The time between leaving one job, beginning another, and finally receiving your first pay check is often likely to stretch well beyond the four weeks that you’ll be used to. Many people have concerns about overcoming this problem to the point where it can be a barrier to making a desired change in your job or career. But making it through this period is certainly not impossible, you might just need a little help along the way.
Planning your budget
An in depth budget planner might seem tedious but it’s the best method to keeping sight of your incomings and outgoings, and helping you manage money more effectively. It’s important take on board any budgeting advice you can find if a switch of jobs is leaving you with a slightly larger than usual gap between pay days. Chances are there will be a greater need to manage your money through that period. You can use our budget planner to map out this time and estimate how far you can spread your costs. Weighing up your incomings and outgoings against the amount of time you have can help you manage your money more effectively and assess how much you will need to keep ticking along during any gap in employment. It can also help you assess how much you might need to change your spending habits so that you can begin to explore where you need to adjust.
Spread the cost of changing jobs with a Satsuma Loan
Sometimes, budgeting the costs of changing jobs might seem like too much of an ask. If the expenses are higher than you might have expected, taking out a Satsuma Loan could help you bridge the gap between jobs more comfortably, without you having to make too many drastic changes to your lifestyle to compensate. You can choose to borrow between £100 and £1000 over a period of 3-12 months and you can spread the cost of your borrowing with manageable monthly or weekly repayments. By spreading the costs of an employment gap with a Satsuma Loan, you can embrace the change and focus more of your attention on your new job.
Representative example: £400 loan repayable over 6 months. 6 monthly payments of £126.40. Rate of interest 179% p.a. fixed. Representative 991% APR. Total amount payable is £758.40.