Retiring Early

So, if you don't already know I work for Chrysler. I'm part of that dinosaur called the American Auto Industry. Think what you will about auto jobs but let me tell you, the pay was fantastic over the years.

But, first Chrysler was sold (out) to Daimler, then to Cerebus. They lay off white-collar (me) every couple years with greater frequency it seems. Now, due to the credit-crunch it looks like all the Big 3 are about to fold.

I know a dealer that tried to finance a woman with 820 credit rating - that's near perfect. She was denied financing unless she put down another $1000. Remember when just about anyone could get a car? Well, those days are over.

Sure, the Fed will probably bail out the Big 3. But who is bailing out the American Consumer? No one. The jobs are disappearing rapidly. Even if the Big 3 stay afloat for a few more months - who is buying cars??? GM had it's lowest sales since 1945 last month.

So, without going into too much debate - I'm screwed. The management job I hold is being thinned. They will be downsizing the operation and laying off at least 1 from my facility.

Even if my job stays around I will be looking at probably 12 hour days with no overtime. I used to make $40K in overtime every year. In addition to that we have an uncertain future. Cerebus is about to break up the company and has already stated a desire to sell my division. Looks like the GM merger is off for now.

If we're sold to someone else they *might* let me keep my job for another pay cut. They could also leave it the same - who knows? My bosses won't say anything on our future and won't advise us at all.

I was fortunate enough to be offered a buyout. I have no idea why they would do this rather than just put us on the street. But I'm seriously considering it. I would get a lump sum and a car voucher & 6-months healthcare - nothing to get rich with but it would set me up for 2009.

On the one hand I am not being layed off yet. I have a job. I have healthcare for my kids. I make good money. But where does it end? Is there a future for my position? These things I can't answer....

I want to take the buyout, pay off all my debt and work on internet marketing. I am doing CPA and have moderate success with it - completely BH. I really don't want to go look for another job - I know I won't make what I was making at Chrysler as I am overpaid for what I do.

So, what would you do? Hang on and hope that they don't swing the axe in my direction? Or, should I take the money and run???? I do not want to take the buyout and only find myself looking for a low-paying job in a few months. I need to make some decent coin... I got 4 kids what can I say?

Here's my shameless charity plug... if anyone wants to mentor me in marketing or might want to share a killer marketing method i'd really be grateful. You can email me at [email protected] or IM me here. Guess I'll be changing my nick soon as it looks like viper is going away too! lol.

Hey, my friend. I feel your pain. It could be worse. You could be in mortgage, like I am.

The axe will be falling very soon here as well. I have three kids and am having this EXACT same debate with myself every day.

Stack up your earnings until you don't have time to work your regular job any more. Otherwise you're just giving away free money.

N

Well, I am also in the same boat, I have a mortgage, no other debt thankfully, one kid and a wife. Our company was bought out and now I am looking at getting axed. So, I am on here to make money and suffice my income. Viper, I would read like there is no tomorrow, make a plan, and go for it. There is so much great information here that you need to narrow it down to what you think is possible, tweak it to your abilities, plan and go. The money is there. Also, after you get going, be prepared with more plans that will help you adjust in case there is a sudden saturation of what you are doing. Good Luck and hang on as long as you can, but, the least amount of debt is the best!!

well the one good thing about this shitty economy is that it's adding a whole new base to the "work-at-home" niche.

It really depends on what your personal situation is like.

One option that might be somewhat less than obvious is that if you leave your job, you don't need to stay in the US. There are many places in the world that would offer a wonderful lifestyle for you and your family, including good education for your kids and good healthcare options, where the cost of living would be a lot lower.

The reason I bring it up is that if you want to focus on Internet Marketing, you are probably looking at your burn rate, and trying to figure out how long your war chest will last, and when you have to go into the black. Moving someplace with a much lower cost of living would extend the amount of time you have to make it all work, and reduce the stress by pushing out the "point of no return".

Another benefit is that while the economy is doing terribly right now, it will improve again, and consider which story sounds better when you are looking for another white collar job in a couple of years: 1) I was downsized, and got a job at (fill in horrible place to work here) while I considered my options or 2) I took a mini retirement and my family and I moved to Costa Rica (or wherever), but now my batteries are recharged, and I'm looking forward to working again.

One last word of advice: If you decide to leave, but remain where you are, develop the discipline to say 'no' to fellow coworkers and friends. When I left my 9 to 5 for good, I found that many of my friends and former coworkers seemed to treat me like I was on "permanent vacation", and would constantly contact me to see if I wanted to go to lunch, or do whatever. Taking the occasional two hour lunch is a fine thing, but when 20 people suddenly decide you are the go to guy for those lunches, it adds up quickly.

Part of it's the economy and part of it's where you live. I'd take the early retirement ONLY if you're prepared to move. Otherwise, I'd ride that train till it runs out of track. With the downturn and unemployed masses in your area, you may not find another "comparable" job for months or years. It's a tough decision to move, especially with kids, but it's kind of a "one step back to go two forward" mentality you have to have.

I'm in NC and although we take our lumps like everyone else does, its lows aren't as low as Michigan, Ohio and some others.

I'm in Ohio... priceless.

Let's hope this is a short depression.

I think as many analyst think the same that America will bounce back within a year or two max this is a shakeup, and unfortunately people are just freaking out

Take the $100k buyout or whatever they're offering and invest online, you really can't go wrong as long as you are testing new traffic sources and not buying guru shit. As far as chrysler and the big 3 goes, I really have no sympathy for any one that works there as every one was over payed in the first place, and most of the people working there were complete lazy ass' being protected by the union.

MontyzPython said:

Hey, my friend. I feel your pain. It could be worse. You could be in mortgage, like I am.

The axe will be falling very soon here as well. I have three kids and am having this EXACT same debate with myself every day.

Click to expand...

vmedia, that's a pretty tough decision to make with 4 kids on your mind...luckily I only have 1 to worry about, I guess it just really depends on how much debt you'd have to pay off with your buyout, the amount that remains, how much you make with CPA (can you duplicate?), and how long it'll take to bring your earnings to your baseline survival needs...

All while looking for a job, I have no shame in suggesting another day job that compliments you as long as it is providing stability while you seek and grow profitable in your IM world...

I am in the same field as you Montyz...

My department got canned in June 2007 so I started doing IM and was making alright working with a local broker, had my license placed, generated leads, another LO closed the loans...and split commissions...

Anyway, the broker folded three weeks ago as well as a realtor I was working with, which means I just lost a huge part of my income in the last 4 weeks...leads are becoming more and more scarce...but I'm not totally giving up, just trying to rethink and restrategize while I revitalize my approach to online earnings...as we say in Hawaii regarding mortgages, February is our Christmas when everyone starts refinancing and gearing up towards the summer buying season...

In fact, I'm hurting so bad after losing two income streams, my friend is offered to hire me full-time with a base pay + commission to work at his place (And I'm seriously contemplating it)...and yep, I can add my own IM twist to it too, hehehe...

Goodluck to you all

just got back from work. the regional VP was on-site today to talk to the hourly about future operations. the plant is staying open for now. the nice part was where he told them all that every management person had been offered a buyout & that they didn't really need any management people to continue operations. he stated the company was hoping they'd all take the package and just leave, otherwise layoffs would be necessary... guess i know where i'm not wanted.