Embracing Career Crossroads: How to Navigate Choosing a New Career

Finding yourself at a career crossroads is something nearly everyone experiences at some point in their lives. There are many reasons to choose a new career: maybe you’re feeling restless in your current job, or you’ve outgrown your current role; perhaps you’d like more meaning in your work, or you’re simply looking for a change.

Career shifts—moving to a new industry, starting your own business, or shifting into a different role—can bring both excitement and uncertainty along with the newfound challenge. The prospect of changing careers can feel intimidating with so many unknowns: Where do you begin? How can you best prepare yourself to make a move? And how can you set yourself up for success? 

Choosing a new career and, more importantly, successfully navigating a career move involves careful planning, clearly understanding your goals, and ensuring you’re financially prepared to support a change.

Switching Industries: Explore a New Career Path

Shifting to a career in a new industry is a big decision, and it’s often driven by the need for growth or the desire to do something different. You may be motivated by the idea of a new challenge, the goal of a healthier work-life balance, or the prospect of better earning potential. 

Moving to a new industry can be rewarding, and it can open doors and broaden your experience, but take a moment to make sure that switching industries for your career is in line with your long-term goals—personal, financial, or a mix of both.

If you’re looking to make the leap into a different industry, the first step is evaluating your current skill set. Some job experience can be easily transferable across fields, such as communication, leadership, or project management skills, while other needed skills may require some refining or even additional training or education. Assess where you stand and identify any skill gaps you have to make sure you’re setting yourself up for success.

You can also smooth the transition to a new industry by reaching out to and connecting with people already working in it. Networking is essential at any stage in a career, and particularly with a shift to a different industry—it not only helps you understand the nuances of the new industry but also opens up connections that may lead to new career paths.   

While it can feel overwhelming to even consider switching from an area you know and have experience with to something completely new, it’s a shift that can be managed successfully with some foresight, preparation, and a clear understanding of your goals.

Pursuing Entrepreneurship: Make the Leap to Business Ownership

Starting your own business can be both thrilling and daunting at the same time. You may have always dreamed of being your own boss, and this may be an ideal career move for you, but it’s important to be mindful of the ups and downs that come with entrepreneurship before you dive in. 

In addition to having a clear business plan, make sure you assess market demand, recognize your skills, and identify what sets you apart from your competition so that you can start your journey into entrepreneurship well-informed and well-prepared for the work ahead of you.

Financial planning is the foundation of starting a business: develop a comprehensive plan for your business that covers initial start-up costs, potential revenue streams, and a financial cushion for unexpected expenses. Cash flow is key, so be ready and think ahead about how to manage your income effectively, especially in the early days when profits might not yet be realized.

Taking on a New Role: Growth in Your Current Industry

Sometimes, you don’t need to make a drastic career change to find fulfillment. Taking on a new role in your current industry allows you to expand your skills and grow without having to start over or lose your established network. You can bring renewed energy to your career and help avoid burnout while staying where you have the knowledge and experience.

Gaining additional skills or certifications can increase your competitiveness and value if you’re seeking a new role. Online courses and certification programs make continued education easily accessible; project management certification, technology proficiency, or leadership development can give you a boost to help you successfully take on a new role.

Don’t forget to evaluate the advantages you may gain in moving into a new position within your current industry—a new role can mean higher earnings, but it can also come with additional benefits like more flexible work hours, bonuses, or equity options. Consider the full compensation package and any added perks, so that you can see the whole picture, and how the move would both support and advance you in reaching your financial and personal goals. 

Be Prepared and Financially Ready to Choose a New Career

Changing careers can come with financial implications, and being mindful of these can help a career shift go more smoothly and with less stress. When you choose a new career, there may be a learning curve (and potentially even a slight dip in pay) as you establish yourself, and your finances and retirement planning may be impacted.  

Create a financial buffer, or set aside more in your emergency fund, to give yourself peace of mind as you explore new opportunities. By having a financial safety net, you can avoid compromising your financial stability and help protect yourself from any gaps or temporary adjustments in income.

If you’re moving to a new role or career without employer-sponsored retirement plans, or you’re taking a pay cut, review your retirement strategy and financial plan to make sure you can stay on track to meeting your financial objectives.

A self-directed Individual Retirement Account (SDIRA) can be especially helpful in retirement planning, as it offers you the flexibility to manage your retirement portfolio in a way that supports shifts in life, like a new career. Unlike traditional IRAs, which are limited to stocks, bonds, and mutual funds, SDIRAs give you the ability to explore and invest in a broader range of investment options including real estate and private equity to help you achieve your goals. 

By giving you control over where and how your retirement funds are invested, an SDIRA allows you to align your investment strategy with your changing needs. As you evolve in your career, this flexibility allows you to stay focused on growth with the knowledge that your retirement portfolio and strategy can adapt and grow with you.

How Chicago Trust Administration Services Can Help

At Chicago Trust Administration Services, we have the expertise to support and empower you to align your SDIRA portfolio with your needs and any big life changes that come your way. We provide you with the necessary regulatory guidance and compliance for your investment transactions so that you can focus on navigating career crossroads and transitioning to a new career, so you can continue to build a successful, secure, and fulfilling future.

To see how we can help, we invite you to schedule a complimentary meeting with us by calling 312-869-9394 or emailing steve@ctasira.com.___________________________________________________________________________

*The content and opinions in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

**CTAS professionals are not financial advisors and cannot provide advice or recommendations regarding specific investment decisions.