Whether you have decided now is the time to apply for your dream job, change fields, or you are looking to progress, starting a new job can be an exciting prospect. It could enhance your skill set, provide different working hours or even offer a salary increase.
Although a fantastic opportunity, changing jobs can also come with some unexpected costs. Of course, this does not mean you should turn down a brilliant position – it is worth paying for these costs to invest in your own career and development, but you may need to adjust your budget and spending habits to cover these extra expenses.
To help you prepare, here are the hidden costs of starting a new job.
Price of Relocation
While some companies will provide a relocation allowance when moving for work, this is becoming more unusual. As such, you will need to consider and account for relocation costs.
How much this sets you back will depend on several factors. For example, if you are single and living in a rental property, the associated costs will be relatively low. But if you own your home or have a family, relocating can become expensive, both in terms of outlay and time.
New Work Wardrobe
A new position with a different company can require a change of wardrobe. For example, if you have been working for a start-up, you may be able to wear casual clothing, but for a corporate role, you might have to invest in more formal pieces. Purchasing new outfits can be expensive and is often something people forget to budget for when changing jobs.
If your new role requires a longer commute, you may have considered how this additional time will impact your work-life balance, but have you thought about the cost?
A longer commute, whether by car or public transport, will probably be more expensive. From paying for extra fuel to taking a longer train journey, this hidden cost can eat into your new job budget, as well as your ongoing monthly salary.
Additional Car Expenses
For those who drive to work, there are more expenses than just additional fuel. For example, if your new role requires a longer commute, this means putting more miles on your car, leading to increased wear and tear.
Child and Pet Care
Does your new position involve more hours? Is it further away from home? Or will you be required to travel? If yes, this could mean spending more on child and pet care.
For pets, this may include dog walkers or day care. While for children, without friends and family who can help, you could expect to pay a large percentage of your salary for full-time childcare.
Fewer Staff Benefits
Lastly, when leaving your current job and starting in a new role, you may lose out on staff benefits. Until you pass your probation and become eligible for these schemes at your new company, this could include forgoing sick and holiday pay, a cost that could soon mount up.
While starting a new position is definitely something to look forward to, make sure to consider these costs, as it will help make the transition as smooth as possible.