Take Severance ? Need a Final Push!

[Route246]

Happy you posted this. I have a similar nice problem to have, that being the difficulty to walking away from something I worked very hard for, something I earned and put myself into the position to be successful and "worst of all" I'm in a role that I "sort of" enjoy, in all actuality I really enjoy because as many others have pointed out here is I have the clear option to stay or leave and it is totally dependent on me, which is probably the most valuable thing that I would be leaving on the table. On the other hand, I'm falling into the wealthiest guy at the cemetery.

But, driving to work this morning, which is only 10 minutes away in a very commute-intensive area, I'm pondering scenarios when I'm not making that drive, the ins and outs, the pluses and minuses and the ability to do anything else that I can't otherwise do now.

There is something to be said about being in the class of "optionally employed" which is something I also worked very hard to achieve. Thanks to this community I have so much more self-realization for my situation.

Comparable situation here. VHCOL region, high exposure to r.e., very high income, but offset by much higher burn rate.

I'm over my OMY syndrome, but I'm taking the equivalent of your option #2 so would be hypocritical for me to advise you otherwise. Do I have enough already - yes absolutely. But can't bring myself to just walk away and leave what I feel I have earned on the table. It's just not in my DNA - would feel like a loss.

Gotta say though, it's really hard to suck it up and do what you gotta do when you know the exit door is right there.

You don't say your age, which could be a key factor. All in all, I think if I were you, given your positive cash flow, I'd be more much more inclined to hit option #1.

 

[DJRR]

Real Estate Rental Net Cash Flow - $14k-$15k/mo

Currently Monthly Spend - ~$5k/mo, maybe $6k/mo.

Overall, my numbers feel solid and I've been hating work since forever.

You have 2.5x your expenses in NET cash flow and another $10k per month you could pull from investments.

I would say you don't hate work. Examine why you would do something you hate when you clearly don't need it. You must be getting something from it. As they say "How's that working for you?" Once you know what you are getting you can quit and find an alternative way to get it or go find a job you like. Money is not the issue.

 

[Route246]

I think I understand how someone can hate work and still remain on the job. It comes from habit, at least it would in my case. I have spent my entire adult life working to live and acquire FI. Even after I achieved FI I felt that work was necessary because it is an addiction and receiving remuneration and benefits is a reward for performing that work, however unpleasant it may be.

You have 2.5x your expenses in NET cash flow and another $10k per month you could pull from investments.

I would say you don't hate work. Examine why you would do something you hate when you clearly don't need it. You must be getting something from it. As they say "How's that working for you?" Once you know what you are getting you can quit and find an alternative way to get it or go find a job you like. Money is not the issue.

 

[Route246]

One thing that you have to consider is you are single and answer to only yourself. This is a huge factor in making decisions as you are the sole decision maker. I often think back on my single days (I married in my late 30s and had meager investable assets and a new house) but she did not marry me for my money, perhaps for my earning power but certainly not for my money as I was struggling from a new mortgage. Although she is a stay-at-home mom and I am the breadwinner I signed half of the home over to her and put her on the deed, moved all of my meager bank accounts and brokerage accounts to joint in her name so effectively turned over 50% of my assets to her shortly after we married. I knew her pretty well as we lived together and got along well. Some of my friends thought I was crazy but it developed a level of trust and faith regarding finances, she takes care of all of the operational aspects and I control the savings and investments. Growing up she never envisioned being as financially secure as we are. I still have the sentiment that we don't have enough and remain financially insecure, at least in spirit I do.

Have you thought about the business and transactional side of courtship and marriage? With the amount of assets you hold you are quite an attractive candidate so it is more difficult to know for sure how much your assets are a determinant in a relationship, conscious or unconscious. For me it was pretty easy, I was always struggling paycheck-to-paycheck but had decent 401-K and savings but nothing like what you have. Perhaps owning my home was an attraction but my 401-K is probably not that relevant since it is an individual account asset and remains that way until your demise.

I chose the 50-50 route in terms of assets because I had faith in us that ours was a marriage of long-term commitment. I think it is easier when you are not well-endowed with wealth to pull this off.

With your level of income and wealth you must live a comfortable life. If you have children it changes even more. These are factors that kicked me in the face when I started thinking of them but giving up control of my operational finances was something that really helped as I never have to worry about paying bills, making sure that property tax and insurance get paid, etc. I just make sure the checking account stays topped off and life is good.

I am grateful I married someone who has turned out to be what I expected, who puts up with my act, is a good mother and partner and she appreciates what we have achieved together. It is one less thing I never have to worry about.

Have you thought about your assets after you marry and have children? Will they remain separate? Maybe I'm naive but it has worked out for us.

 

[refi]

One thing that you have to consider is you are single and answer to only yourself. This is a huge factor in making decisions as you are the sole decision maker. I often think back on my single days (I married in my late 30s and had meager investable assets and a new house) but she did not marry me for my money, perhaps for my earning power but certainly not for my money as I was struggling from a new mortgage. Although she is a stay-at-home mom and I am the breadwinner I signed half of the home over to her and put her on the deed, moved all of my meager bank accounts and brokerage accounts to joint in her name so effectively turned over 50% of my assets to her shortly after we married. I knew her pretty well as we lived together and got along well. Some of my friends thought I was crazy but it developed a level of trust and faith regarding finances, she takes care of all of the operational aspects and I control the savings and investments. Growing up she never envisioned being as financially secure as we are. I still have the sentiment that we don't have enough and remain financially insecure, at least in spirit I do.

Have you thought about the business and transactional side of courtship and marriage? With the amount of assets you hold you are quite an attractive candidate so it is more difficult to know for sure how much your assets are a determinant in a relationship, conscious or unconscious. For me it was pretty easy, I was always struggling paycheck-to-paycheck but had decent 401-K and savings but nothing like what you have. Perhaps owning my home was an attraction but my 401-K is probably not that relevant since it is an individual account asset and remains that way until your demise.

I chose the 50-50 route in terms of assets because I had faith in us that ours was a marriage of long-term commitment. I think it is easier when you are not well-endowed with wealth to pull this off.

With your level of income and wealth you must live a comfortable life. If you have children it changes even more. These are factors that kicked me in the face when I started thinking of them but giving up control of my operational finances was something that really helped as I never have to worry about paying bills, making sure that property tax and insurance get paid, etc. I just make sure the checking account stays topped off and life is good.

I am grateful I married someone who has turned out to be what I expected, who puts up with my act, is a good mother and partner and she appreciates what we have achieved together. It is one less thing I never have to worry about.

Have you thought about your assets after you marry and have children? Will they remain separate? Maybe I'm naive but it has worked out for us.

Yes, have thought about it about it a bit, will climb this mountain if I ever get there. In my previous post/threads, I was more questioning if I need to plan for my fictitious future children/wife along w/ balancing my mid-life crisis and FIRE. Just realized I can't keep saving for that new 3M house w/ a parter who doesn't exist along w/ those imaginary kids. I'm in a VHCOL area w/ very highly educated and successful women. Given my tendencies and ambition, probably would not marry someone where I would be the sole breadwinner and bring everything to the table. I'll follow up if ever get remotely close to getting married (and there are concerns about finances).

 

[refi]

I think I understand how someone can hate work and still remain on the job. It comes from habit, at least it would in my case. I have spent my entire adult life working to live and acquire FI. Even after I achieved FI I felt that work was necessary because it is an addiction and receiving remuneration and benefits is a reward for performing that work, however unpleasant it may be.

Yes, this, I hate my job. It's just the general inertia of your career and life moving forward along w/ wealth accumulation. I've been complaining to my friends about work since probably 2007 (maybe everyone complains?). If I didn't have the luxury of FIRE, I probably would keep on grinding up as sadistic as it sounds.

 

[Koolau]

Yes, this, I hate my job. It's just the general inertia of your career and life moving forward along w/ wealth accumulation. I've been complaining to my friends about work since probably 2007 (maybe everyone complains?). If I didn't have the luxury of FIRE, I probably would keep on grinding up as sadistic as it sounds.

Sorry, I can't imagine having the means, but hating my j*b and not leaving as quickly as possible. I realize we're all different.

 

[DJRR]

Sorry, I can't imagine having the means, but hating my j*b and not leaving as quickly as possible. I realize we're all different.

Exactly. There are limitless possibilites:

Want excitement: Buy a Lambo and rent a bimbo
Want relations and meaning: There are dozens of non profits begging for help
Want solitude: Get a cabin in Idaho
Want a hobby: learn to fly, learn woodworking, etc.
Want culture: learn French in Paris or cooking in Tuscany
Etc Etc

That is one thing I learned from Zelinski. I would never grind at something I hated once I had attained that level of financial independence.

 

[Katiek]

Yes, this, I hate my job. It's just the general inertia of your career and life moving forward along w/ wealth accumulation. I've been complaining to my friends about work since probably 2007 (maybe everyone complains?). If I didn't have the luxury of FIRE, I probably would keep on grinding up as sadistic as it sounds.

I can understand. There is comfort in the "known" and your routine, even if it can also cause stress or other unhappiness. But that will always be the case and you'll have to leave at some point unless you work till you die, so it's just a matter of learning to live with a little discomfort and find a time to retire that's "good" but not necessarily "perfect"

 

[refi]

Sorry, I can't imagine having the means, but hating my j*b and not leaving as quickly as possible. I realize we're all different.

Exactly. There are limitless possibilites:

Want excitement: Buy a Lambo and rent a bimbo
Want relations and meaning: There are dozens of non profits begging for help
Want solitude: Get a cabin in Idaho
Want a hobby: learn to fly, learn woodworking, etc.
Want culture: learn French in Paris or cooking in Tuscany
Etc Etc

That is one thing I learned from Zelinski. I would never grind at something I hated once I had attained that level of financial independence.

I can understand. There is comfort in the "known" and your routine, even if it can also cause stress or other unhappiness. But that will always be the case and you'll have to leave at some point unless you work till you die, so it's just a matter of learning to live with a little discomfort and find a time to retire that's "good" but not necessarily "perfect"

Thanks for the perspectives. In reality, it SHOULD be an easy decision to prioritize sanity and health first and step off the corporate hamster wheel. I guess "hate" is more hyperbole, it's not like i'm at a bottom of a coal mine for 16 hours, but it's stressful to me and weighs on me. It's the balancing of the opportunity cost of leaving the highest pay I've ever received and embracing life for a bit.

With that said, I got an update on my serverance, I requested for more and essentially, they are willing to give me 6 months total, so the only thing i'd be missing out on is the RSU payout (+60k) and the flexibility to get loans. It's a no-brainer given my original plans...

 

[Retired Expat]

Your net rental income alone is more than twice your expenses? Seems like you are more than covered! Time for something new and different!

 

[refi]

I'm taking it! Accepting the severance and calling it a day! Hopefully, the right choice. Woohoo!

 

[Aerides]

Congratulations! Yes, the right choice.

 

[brett]

Several people in the megacorp that I worked for took advantage of a generous separation package.

Those that wanted to continue to work used that seven weeks to interview. To a person the had secured better jobs within the eight week period. They were VERY careful to sign any offers until after their official termination date.

One of them actually started a new position two days after his termination agreement was signed. In his words....I won the lottery!

Good for you for pulling the pin. Always take the money and run. As others have said....successive termination offers will not be as generous in my experience.

 

[Figaro]

Guess I'm too late to the comment party.

I had the opportunity myself a couple years back - same situation, only a few years earlier than your age. Had a kid in the oven as well during the decision . Greatest choice. I felt renewed and new perspective. You still have your title history in your linkedin, you know what success you had. Now you have the time to reflect and truly enjoy what many don't get to do at your age.

Plenty of other stuff to do...you'll figure out after the time off. Congrats!

 

[DrRoy]

Go.

 

[Aerides]

As others have said....successive termination offers will not be as generous in my experience.

It depends (doesn't everything, ha!) In my MC, there was a published table of severance. # of Weeks awarded for years of service by band. It never changed for decades. Every year one I checked it, it was shared on the employee internal website and very plainly spelled out.

When I left with my package, most I knew were convinced it was the end, and they'd be seeing it reduced in the future. Still isn't.

 

[brett]

Our changed substantially but we had several mergers and 15 years or so of downsizing. I presented/delivered termination packages many times over the years . Managers and individual contributors.

In the end they were offering two-three months plus a week per year of service.

Depending on age, position most people engaged a lawyer to negotiate something much better.

In our jurisdiction settlements were typically 3-4 weeks per year of service with a cap of 24 months. That time was added to one's DB pension service number. Based on past salary, bonuses, and value of benefits. Anyone over 55 was deemed to retire. Unvested stock options vested immediately with a 2year window to exercise.


Employees in Europe, especially Germany and Italy, rec'd much more generous offers.

 

[refi]

So had to notify my directs and leadership team that I'm taking off and folks are taking it worse than I anticipated. I've been in this role for about three years and was on track to grow to the next level, so it was hard for folks to fathom me wanting to leave and also I've cultivated a strong relationship with everyone, so a lot of my directs are down/dejected by this news. .


Again, these types of things give me pause and hesitate along w/ the money and opportunities I've left on the table. I've been a mentor and a leader to a tons of folks, so feels I'm letting people down. Just wanted to share my thoughts as I go through my transition and if others have to deal w/ the same. Anyway, don't have too many folks to tell about my decisions/feeling, so posting here. Thanks for listening to my emotional rollercoaster.

 

[DJRR]

Again, these types of things give me pause and hesitate along w/ the money and opportunities I've left on the table. I've been a mentor and a leader to a tons of folks, so feels I'm letting people down. Just wanted to share my thoughts as I go through my transition and if others have to deal w/ the same. Anyway, don't have too many folks to tell about my decisions/feeling, so posting here. Thanks for listening to my emotional rollercoaster.

Now the truth comes out You don't really hate your job, just certain aspects of it. If you like being a mentor then continue as one. I am sure that the people who look to you would love to go to lunch every month or two to talk about their careers. You know all about their issues, but may be an even better resource not tied into the company and the current politics. SBA has Service Corps of Retired Executives (SCORE) where you can mentor less experienced entrepreneurs and help them grow their companies.

Now that you have disconnected from the need to work to eat, you can pick the things that bring you the most fulfillment and work on doing more of those things. You will have time, money, and options. Big plus is that if you want to sleep in you can Congrats on your decision.

 

[refi]

My last day! Woohoo!! Let's see how this goes, have a 21-day trip planned starting next week.

 

[brett]

^
I felt the same way.

Reconsidered for about 5 seconds.

Then came to my senses, grabbed the package, engaged a lawyer to negotiate (it was package or another position/location).

I NEVER looked back. I was too focused on moving forward, changing our lifestyle, and working our bucket list.

Twelve years later.....it was absolutely the right decision for me, for us. But..everyone has different priorities.

Life was too short, getting shorter all the time, to be tied to a desk, tied to business travel, tied to a workplace/employer.

 

[Koolau]

My last day! Woohoo!! Let's see how this goes, have a 21-day trip planned starting next week.

Last day? Congratulations. Keep us posted on your trip.

 

[street]

My last day! Woohoo!! Let's see how this goes, have a 21-day trip planned starting next week.

That is awesome and I wish a great retirement.

I still remember my first day of ER. Never forget it. Lol

 

[Alex The Great]

My last day! Woohoo!! Let's see how this goes, have a 21-day trip planned starting next week.

This is great, my congratulations! I wish you enjoy your time.
I was set to retire in October but has been laid off just a couple of weeks ago. There was no decision for me to make, and nobody asked why you're leaving bla-bla-bla. I've been given an hour to take off, two weeks on a payroll and tiny severance package. Still better than leaving myself. I had to wait for 25 months to expire because would need to pay back sign-in bonus in case of voluntary separation earlier.