Lorenzo New spent 15 years working in the mortgage industry, his last stint at a subsidiary of Lehman Brothers. By 2007 the business was changing, "and my blood pressure was through the roof," he says.
So, reviving a long-held dream of working as a diplomat, he applied to the State Department's foreign service -- a career move he knew would likely require taking a serious pay cut.
By getting the salary scoop. In doing research on the State Department site, New found that foreign service salaries start in the mid-five figures but can eventually reach six figures.
By doing a cost-benefit analysis. At Lehman, New made $150,000-plus. So joining the foreign service would require a lifestyle change. But single and mortgageless, he figured the adjustment would be worth it: "This isn't as lucrative, but how many jobs allow you to live all over the world?"
By laying the groundwork. While still working at Lehman, New cut back on meals out and vacations; later he downsized his apartment. After months of interviews and exams, he was accepted into the foreign service in May 2009. New -- who reports to his first overseas post, in Taiwan, this month -- says that having gotten used to living on less made it easier for him to adjust to the lower government salary.
The reality is, most career changers must take pay cuts, at least initially, says Catherine Jewell, author of "New Résumé, New Career." So know what you're likely to earn before you get serious about a move. (Get an idea at PayScale.com.) "Then assess whether it's realistic for you," says financial planner Ellen Siegel. Not sure? Try living on the lower income six months before making a switch.
Secret 1: Show how your talents translate
Secret 2: network outside the box
Secret 3: get the skills you need on the cheap
Secret 5: turn your passion into an asset
|Overnight Avg Rate||Latest||Change||Last Week|
|30 yr fixed||3.80%||3.88%|
|15 yr fixed||3.20%||3.23%|
|30 yr refi||3.82%||3.93%|
|15 yr refi||3.20%||3.23%|
Today's featured rates:
|Ford Motor Co||8.29||0.05||0.61%|
|Advanced Micro Devic...||54.59||0.70||1.30%|
|Cisco Systems Inc||47.49||-2.44||-4.89%|
|General Electric Co||13.00||-0.16||-1.22%|
|Kraft Heinz Co||27.84||-2.20||-7.32%|
Bankrupt toy retailer tells bankruptcy court it is looking at possibly reviving the Toys 'R' Us and Babies 'R' Us brands. More
Land O'Lakes CEO Beth Ford charts her career path, from her first job to becoming the first openly gay CEO at a Fortune 500 company in an interview with CNN's Boss Files. More
Honda and General Motors are creating a new generation of fully autonomous vehicles. More
In 1998, Ntsiki Biyela won a scholarship to study wine making. Now she's about to launch her own brand. More
Whether you hedge inflation or look for a return that outpaces inflation, here's how to prepare. More