A big exit from an entrepreneurial endeavor can be the perfect opportunity to embrace a new lifestyle, especially if one is feeling burnt out and ready for a life of leisure. But even for those who have more than enough to comfortably retire, a few people, the pair of “golden handcuffs” can keep one “stuck” in the corporate world for longer, perhaps far longer than one would have ever imagined. Indeed, it’s hard to turn down more cash, even if one knows they have enough.
Though there’s no right answer for everyone, I do think that priorities must be weighed before one commits to the new path forward. For someone with a $6 million nest egg, there may be no income that convinces one to stick around another few years.
For others, a six-figure income could be enough to stop one from ever retiring! As long as priorities are met and goals aren’t shot down, there’s no issue with pursuing even more money. At the end of the day, more money does not necessarily equal more happiness. And for someone who already has enough, perhaps maximizing time with family is more valuable than shooting for an extra zero at the end of one’s bank account balance.
Key Points
This individual may find it tough to retire as a recruiter who just served them up a pair of golden handcuffs, a high-paying C-suite job, on a silver platter.
More money isn’t always the better move, even for someone who’s relatively young.
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How nice of a pair of golden handcuffs does it take to delay an early retirement?
In this piece, we’ll explore the case involving a Reddit user in their 40s, with three children, and a massive $6 million nest egg. They just left a small, successful tech venture and are wondering if it’s worth it to delay their “fat FIRE” dreams by giving in to a recruiter who’s offering a rich $500,000 salary for a C-suite job.
Indeed, it’s hard to turn down half a million. But with a high-earning spouse (they’re also pulling in a six-figure sum) and children to care for, the big question is whether it’s time to call it quits for good from work or if there’s an “encore” presentation of sorts to give that nest egg a nudge closer to the eight-figure mark.
It’s not all too easy to turn down half of a million dollars, even if you’ve got $6 million saved up.
It’s not just the $500,000 salary that could drag our Reddit user back into the pair of golden handcuffs, but the status that accompanies a C-suite job title. Indeed, you could buy quite a few extra luxury goods and exotic vacations with that extra cash. But with young children at home and more than enough to retire as soon as possible, I think there’s a bit of a dilemma here. Sure, the extra cash to splurge would be nice, as too would the status boost from the new role. That said, a C-suite job isn’t going to be easy. In fact, it may even be more time-consuming and stressful than the Reddit users’ prior job.
In any case, I’d have a sit-down with the family before making a move. Unless one is itching to get back to work, I’d say there’s more than enough in the bank to retire now as a stay-at-home dad than jump into the deep end with a high-paying, high-stress position that may further contribute to burnout. It’s not easy to say no to $500,000, unless, of course, you’ve already 12 times that amount. In any case, chatting with a financial advisor could also be a wise move as one re-evaluates their lifestyle and expenses. Since the individual’s partner is still at work, I view retiring as the better move, but that’s just my humble opinion.
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The post After a big tech exit, I’m being recruited for $500,000 C-suite jobs – do I need to work or is our $6 million enough? appeared first on 24/7 Wall St..
