In this episode, we explore one of the biggest factors influencing career decisions: money and income.
When people begin to think about a career change, their thoughts often move quickly to the financial implications:
Can I afford to do it?
What happens if it doesn’t work out?
What about the mortgage, the bills, and the responsibilities?
This doesn’t always come up immediately in coaching conversations, but it’s almost always there in the background.
To explore this topic, I’m joined by Michael Georgiou, an ACA qualified chartered accountant. Michael brings a valuable perspective, combining financial understanding with the psychology of career change.
When people consider a career change, money can quickly shut down the conversation before possibilities are fully explored.
There are many factors at play:
Your personal relationship with money
The potential impact on your current lifestyle
The link between income, identity, and self-worth
Changes to relationship dynamics at home
Responsibilities such as children or caring for others
Everyone’s situation is different. Financial circumstances, background, and perceived security all influence how risk is experienced.
A key distinction is the gap between financial fear and financial reality.
Many people carry financial anxiety without ever fully understanding their actual position. This uncertainty often leads to imagining worst-case scenarios.
There can also be a fear of looking at the numbers:
Avoiding financial clarity can keep the idea of change alive
Facing reality can feel confronting if things are tighter than expected
However, understanding your financial position can be empowering. It allows you to move from uncertainty to informed decision-making.
A helpful starting point is to slow things down:
Look at the numbers
Involve the people around you
Seek support if needed
While people often focus on the financial risk of change, they rarely consider the cost of staying where they are.
This can include:
Burnout and disengagement
Loss of motivation and growth
Remaining in work that no longer fits
There are also missed opportunities:
Roles that could stretch or develop you
Experiences that build confidence
Potential increases in earning over time
While you remain in the same place, the world of work continues to move forward.
Over time, this gap can widen.
There is also an emotional cost:
The impact of doing work that doesn’t align with you
The long-term effect on fulfilment and wellbeing
A useful reflection is:
How long can you sustain doing work that no longer fits?
The cost of staying is often harder to measure, but it is still real and should be part of the conversation.
A practical starting point is understanding your personal cashflow.
This is the net amount of money coming in and going out each month.
Monthly income (after tax)
Monthly expenses
The resulting surplus or deficit
A simple way to do this is to review the last 2–3 months of bank statements.
The aim is not perfection, just clarity.
It can be helpful to think about two types of financial buffer:
Emergency fund
Typically 3–6 months of essential expenses
Career change fund
Money you are comfortable using to support a transition
This might be used for:
Retraining
Reduced working hours
A temporary drop in income
Your financial runway is the length of time you can sustain your lifestyle before running out of money.
This can be considered in different scenarios:
Taking a career break
Reducing working hours
Transitioning gradually into a new role
There is no single answer. It depends on your personal situation.
It is also important to distinguish between:
Short-term financial impact
Long-term financial potential
Many people assume short-term disruption will last forever, which is rarely the case.
Understanding your numbers puts you in a position to manage your situation, rather than avoid it.
Career change does not need to be immediate or all-or-nothing.
There are ways to explore change more gradually:
Speak to people already working in areas of interest
Gain insight before making decisions
Run a side project
Develop a parallel or portfolio career
Reduce expenses temporarily
Build your savings buffer
These approaches often work best in combination.
For example:
Conversations can lead to ideas
Ideas can lead to small experiments
Experiments can lead to clearer direction
Financial adjustments can support the transition
Career change can happen in phases rather than as a single leap.
A useful question is:
How could I explore this safely?
If you are feeling financial anxiety around career change, the first step is often to slow things down.
Ask better questions:
What are the real numbers?
What options might exist?
What small steps could I take?
Clarity reduces fear.
And often, what feels overwhelming becomes more manageable once you begin to understand both your situation and your options.
Michael Georgiou is currently focused on helping people who feel held back by the financial side of career change.
You can connect with him on LinkedIn to learn more or start a conversation.
https://www.linkedin.com/in/michael-georgiou/