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What Should I Do if a Company Merger Just Eliminated My Job?

What Should I Do if a Company Merger Just Eliminated My Job?

December 14, 2023

When companies merge or purchase other companies, it often results in the elimination of jobs in one or both companies. In Silicon Valley, two large companies have just merged, and the Silicon Valley Business Journal just posted this article:

Broadcom to eliminate jobs of 1,267 VMware employees based in Palo Alto

When these changes occur, companies often offer packages for people who have their jobs eliminated. The person may have many important life decisions to make on the personal and financial level. Fortunately, at Financial Journey Partners, we have been helping people through these kinds of transitions for decades. We are here to help you.

In the blog this month, we will discuss:

  • Let’s Start with Your Severance Package
  • This is a Time of Exciting Possibilities
  • What about my Stock Options and 401(k)
  • What Should I do Next?

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Let's Start with Your Severance Package

When large companies merge, they often offer a severance package to those leaving because their job was eliminated. We have seen packages offered to employees with 3–12-month salary. If you are in a financial position and ready to retire, this money is a great bonus to send you off into your retirement. If you financially need to continue working, this money can help pay your living expenses until you find your new job.

If you are nearing retirement, the important question is “Are you in a position financially to be ready to retire now?” We think the best way to answer this question is to have a financial advisor complete a comprehensive financial plan for you. For most people, the only way to do this analysis properly is with modern financial planning software. This is something we do regularly for our clients. If you are in this position, we recommend you work with a financial advisor to see if you can financially afford to retire now.

If you are not near retirement age, then you have lots of opportunities in front of you. You might decide to take a few months off with your family and kids. You might also decide to take time off over the holidays to enjoy the festivities. Soon, it will be time to begin looking for your next job opportunity. If you enjoyed your last job, you may want to look for a similar job at a new company. If you are ready for a new challenge, this change may provide you the opportunity to look for a different type of job or to change careers. It is becoming more common today for people to work in several different types of jobs and industries during their careers.

This is a Time of Exciting Possibilities

We believe that major changes in life open the possibility of exciting new opportunities. Start thinking about what’s most important to you. We encourage you to set big goals and dream big. What would your ideal situation look like?

After you have gotten clear on your goals and dreams, it is time to work on your plan to accomplish these things. It is time to complete a comprehensive financial plan to evaluate your options and select the best path for you. Your financial plan and financial advisor should empower you to make smart decisions aligning your money with your goals.

Ultimately, your plan should leave you excited, to do what you want to do, so you can Enjoy the Journey. If done right, your plan may also help you do the things that you want to do and do them sooner than you ever thought possible.

What about my Stock Options and 401(k)?

Congratulations if you have stock options. If you leave the company, you may lose some of them or you may have to make decisions now regarding what to do with them. If you have a 401(k) plan and you are retiring, you will likely want to roll it over to an IRA at a financial firm of your choice. If you plan to continue working, you may consider taking your money with you and rolling it over to your 401(k) at your new company.

If you have questions in this area and are unsure what to do, we recommend you consult with a financial advisor.

What Should I Do Next?

The number of decisions you need to make in the next few months may seem overwhelming. If you need assistance, we can help. We have been helping people through these types of transitions for decades. If we are not the best ones to help you, we will do our best to find someone that is.

We have just written a new book to help people through these kinds of life decisions. Learn more about it below. If you want to talk with us now, visit our website and schedule a free consultation. If you are not in this situation, but you know someone that is and you want to help them, then we encourage you to introduce them to us.

We wish you success and happiness in your future and remember to Enjoy the Journey.

SCHEDULE A CALL TODAY 

Our New Book is Now Available on Amazon



Elaine and Scott Manley's new book Enjoy the Journey – Successful Retirement Strategies and Stories, is now available on Amazon in three formats: Kindle eBook, Softcover, and Hardcover.

If you would like a hardcopy version of the book, contact your FJP Wealth Manager and we will provide our clients with a complimentary copy of our new book.

We wrote this book to help people make the transition from working full-time, to the next phase of their life, no matter what that next phase may be.

Elaine, Scott, and Linda have spent decades helping clients make this important life transition and they share what they have learned in this new book. There are also real client stories from clients who have made this transition successfully and a few who did not. Our clients have been reading the book and giving us great feedback. 

"We believe you can retire with more clarity and confidence than you ever thought possible."
- Elaine & Scott Manley

 



Financial Journey Partners

Financial Journey Partners - Partners in Your Financial Journey®

Our Financial Journey Partners office is based in San Jose, California. We have clients that live in many states across the country. If you have questions about your investments or financial situation, call us to schedule time to talk about your specific situation.

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The reviews expressed are regarding the book "Enjoy the Journey: Successful Retirement Strategies and Stories" and are not regarding investment advice or services received from Mutual Advisors, LLC DBA Financial Journey Partners. The reviews are not from clients of Financial Journey Partners and there was no compensation provided for such reviews.

This book is for educational purposes only. It does not make specific recommendations to buy or sell any securities or give specific investment advice. Views expressed are those of the authors and do not reflect the views of Mutual Advisors, LLC, Mutual Securities, Inc. or any of its affiliates (collectively "Mutual Group"). Clients and prospects are under no obligation to purchase the book.

Revenue generated from the publishing or selling of the book are paid directly to the authors as outside business activity and are not considered part of the investment services offered through Mutual Group. Mutual Group receives no portion of the revenue generated by the publishing or sale of the book.