Not many people who have just been fired will tell you that it was one of the best things to ever happen to them.
I would be among that group. When I was fired, I was shocked, confused, stunned, angry, and a bit lost.
Early in the process of dealing with it, I thought it was one of the worst things to ever happen to me.
But over time things have a funny way of working themselves out. Now I consider getting fired to be one of the best things to ever happen to me.
Let me tell you why…
Setting the Scene
I detailed what led up to the firing as well as the dirty deed itself in The Day My Most Valuable Asset Took a Hit, but let me add a few more points:
- I did “love” the job, but it’s mostly because I am a type-A person. I had always wanted to be the president of a company and see if I really had what it took to succeed.
- We were having success (we had the best sales year in company history in 2014 and 4th highest profit year), which was great. Of course businesses are meant to grow, so success this year means a higher hurdle to jump over next year.
- The pressure was immense — like nothing I’d ever felt (and I worked for some intense Fortune 500 companies). When the livelihoods of 800 people are your responsibility, you feel the burden to succeed. (And when you have 800 people you often have to babysit because even adults do stupid things at work, that’s stressful as well.)
- Add to this that it was a retail business and that just notches the pressure up. In retail you get a report card every day (the previous day’s sales, etc.) that tell you if you’re a hero or a bum. Then you have to fight another day to make the next day great.
- Plus the business was in a dying industry that was being killed by Amazon, a variety of other much larger competitors, and changing technology that we couldn’t afford to purchase.
All this and much more added up to one thing: S-T-R-E-S-S. Big-time stress…
Overcome by Stress
How did this stress manifest itself? A few ways:
- I couldn’t sleep. My mind was always turning, my phone was always on, and I was always working (whether there or not). How could I even hope to sleep well?
- My fitness tanked. I still worked out (up at 5:30 am to swim at 6 am several times a week), but we ate out a lot since I was often busy and I was pumped up on soda and coffee to keep going.
- My family relationships suffered. Why? One word: time. I was at work either literally or figuratively for most of every day.
- When I was home and not working I spent my free time zoned out. All I wanted to do was something mindless like watch TV or a movie. I needed to shut my brain off and relax as best I could because I knew the next day (or even next hours) were going to require me to give my all mentally and physically.
I think you get the picture. Lots of success at work but a ton of stress and many sacrifices.
What the Firing Did
So while the firing looked like it was something bad (which was how I took it initially), here is the series of good events that it unleashed:
- I looked over our finances in detail and started to realize we were already financially independent. I say “started” because I still thought I needed to hit the “magic” $4 million net worth number I had estimated many years ago. Plus we lived in Oklahoma and I knew I did not want to retire there. (No offense to those in OK, but it wasn’t my cup of tea, especially in May when our lives were on the line.) This was a good thing.
- As I began to network and look at job offers, I found one in Colorado. I had always been impressed by the state though I didn’t know a lot about living in it. After getting to know CO a bit better and liking the job (at least what the promised job was), we decided to move. This was a very good thing.
- When it became apparent that the job I was promised wasn’t the one I actually got, I began to look at our finances again. This time I lived in a place I would want to retire and the decision became an almost no-brainer. So a bit over a year after we got here, I retired. This was an awesome thing!
- Then being retired led to a whole host of great things, many that you’ve read about in my retirement updates.
So what appeared to be one of the worst events in my life actually set in motion a series of events that has given me a great life that I could never have imagined a few years ago.
Lessons Learned
So why did I want to write about this? A few reasons:
- I think it’s good for me to share now and then about my failures (like being fired). There’s so much on this site that seems to be me talking about how great I’ve been at one thing or another. A little humble pie is good every now and then. If you want more, see My Worst Money Mistakes and An Investment Gone Bad.
- If you ever find yourself fired, know that it’s ok to grieve for some time. Let it work its way out. Also know that your life (and career) is not over. If you’ve built your network and insured your career, you’ll probably be fine.
- If you get fired realize that it may work out for the better. Mine is one story but I’ve heard from others that getting fired was a good thing for them as well.
- You need to have your finances in order. That’s the best career insurance of all — not really needing a job. The closer you are to financial independence, the better you can handle being fired. I’m sure I would have been much more panicked if I had been fired 20 years earlier since our finances were still in development at that stage.
Any one reading this who has been fired or known others who have? Was it good or bad?
Mark Hamilton says
Thank you for this story, I may very well be behind your timeline by a year or two. I live and work in London. I was made redundant 10 years ago from a bank after several years of running a loan operations department and offshoring, nearshoring and not sleeping etc. I was given a year’s salary as severance pay and immediately went into a job selling financial software and data for £10k more a year and 10 years later I’m earning nearly 3 times the comp. So it was one of the best things that happened to me. Now I am anywhere from 10-30 years older than all the salespeople in the office. I love the work, but hate the internal politics – but if I was made redundant now I could happily retire!
ESI says
Good for you! Sounds like you’re in a win-win situation.
The Physician Philosopher says
I haven’t been fired (yet), but I have thought about many of the things you mentioned in the stressful part of your job.
In what I do, people’s lives depend on me daily. I’ve always tried to make sure that I am well rested so that my patients didn’t have a tired physician keeping them from meeting their maker while the surgeon operates. That said, work life can be all consuming if we let it be, and I got to the point where I realized I was putting in so much time on clinical work and research, that I was missing out on a balanced home life. I am still working on fixing that.
Glad to hear you made lemonade out of the lemons you were given. I’ve always contended that the best asset allocation (Even for doctors) is not disability insurance or life insurance. It is good financial planning and good behavioral discipline. This is followed quickly by side hustles (other income streams not dependent on your job). You are a great example of both of these things.
TPP
ESI says
I can’t imagine the stress doctors are under…
The Physician Philosopher says
I put it this way to my wife…
It’s just like everyone eles’s jobs… We have gossip, drama, and everyday work-life stress. We just also have the potential consequence of hurting other human beings and their families when we make mistakes.
Ironically, it’s not usually that last sort of stress that drives people out of medicine. It’s the other stuff that is the same as everyone eles’s jobs (if they have it).
TPP
Ron says
Awesome story. I am 51, worked everyday of my life since I was 13. I’ve never looked for a job because people always “asked” me to work for them.
After being a COO for nearly 15 years, running a $400 million enterprise with 2,300 lives in my hands everyday, I was terminated about a month ago. I did nothing wrong, in fact our company was the most successful financially out of all of them in the family of companies. It was pure politics and downsizing. Plain and simple.
You’re right. I need more time to heal. But I am financially independent and can see an awesome new life coming just around the corner.
Most likely, I will fully retire. I’ve always been athletic and active, but just like you the stress and business affected my wellness.
Well, no more. Thanks for sharing. Great therapy.
And to everyone, NEVER rely on anyone else. Make your own financial independence. And don’t think it can’t happen to you, because it just may.
And if it does, see it as the biggest blessing ever.
ESI says
You will be all right — and probably better off in the end. All my best to you…
Accidental FIRE says
When something is causing you that much stress and impacting your health (job or otherwise), it’s best to find a way out. Health is everything. They helped you with the way out 🙂
ESI says
It’s true.
And I’m so stubborn (and determined) that I would have never quit — I would always want to do better than I did the last year. I’d likely still be there if they hadn’t decided otherwise.
Laura says
My company “eliminated my position” last December. My company was doing well also. But, they eliminated a lot of positions of those over the age of 50 who had been with the company a long time. I am 54. I can’t complain, however. With the 6 months severance package and my network of contacts, I began working only 1 month after my last day. I am now a self-employed IT/management consultant with the opportunity to put $55K a year into my retirement! Unfortunately, I got into the financial independence movement only a few years ago, so I can’t retire yet. But, I love the work I’m doing and look forward to retiring once my youngest child (she’s 11) graduates high school.
ESI says
Good for you! Sounds like you’ve landed on your feet — and then some!
Xrayvsn says
This is one of the major benefits of working towards financial independence. There are so many more options available and things become less catastrophic when they occur.
Most people are dependent on their primary wages and have little emergency fund to last more than a month or so, if that. For them, getting fired would be incredibly detrimental to their lifestyle, especially if they are over leveraged. This is when you hear stories of foreclosure, of repossession, etc.
The fact that you were financially independent (even if you didn’t know it at the time of firing) meant that you suffered no serious impact from a major life event that would have put a serious dent in most people’s plans.
Some people in my profession (physician) think they are immune from this because of their degree, but recently the place I work had let go 3 physicians that I am sure shocked them when they heard the news, so it can happen to anyone.
Patsy says
I 100% identify and agree with all you wrote. For me, it wasn’t being fired, but rather not being hired permanently in a position where I worked for a year (after being essentially promised the job and having left another job and moved across state lines for it). It was incredibly stressful, as I had missed the cyclical hiring window in my industry. This was a time of shock, confusion, grieving, anger and soul-searching (I had been feeling burnt out for a couple of years).
Thankfully, we had about 6 months’ worth of expenses saved up, so there was a cushion. We moved again to be with family and I was able to explore professional opportunities and activities (entrepreneurship, real estate investing) that I wouldn’t have otherwise. After a little less than a year, I was offered a role in my industry that was related to and built on my former one. That paved the way for my current job, which I love, pays better than the one I didn’t get, and is in a fantastic location.
The point is, without that hiccup in my career a few years ago, I wouldn’t have ended up where I am now, professionally and geographically. Looking back, getting the permanent position is the worst thing that could have happened to me! I was already burnt out, and it would only have gotten worse, as the position was a stressful one. I am SO grateful now that it didn’t work out, as what came after has proved to be so much better! Sure, there was a period of emotional turmoil, professional uncertainty and financial instability (from which it will take us a while to recover), but that very trial is what brought us to where we needed to be. Makes our past troubles worth it!
michael williams says
Isn’t it amazing when you can look back at something you wanted so much but didn’t get, and be relieved that you didn’t get it? That’s happened to me several times in my life, major things that I couldn’t make happen, no matter how hard I tried. And afterward, my life got immeasurably better just because those things didn’t happen. It’s almost like somebody was watching out for me. 🙂
Patsy says
Oh, absolutely! I fully believe that someone *IS* looking out for us, and knows better than we do what we need. Thank God for unanswered prayers! 🙂
Paper Tiger (aka MI 27) says
Somebody was watching out for you, preparing your steps and leading you to the plan he has in mind for your life over the one you may have come up with on your own. Yes, things do happen for a reason!
Proverbs 16:9
Fred says
A great read. I especially like that you talked about grieving. For whatever reason, we don’t want to admit grief. Men, especially, have a problem with it, looking at it as a weakness. Nonsense! Denial never works. Better to understand it, embrace it, get through it, and grow from it as you did.
We’re more stressed out as a society than ever, IMO. People underestimate what that stress does for the health, their families, and overall well-being.
Thanks for sharing so honestly.
Indio says
I was laid off from a director level position in Jan during a company RIF. The 6 month severance package softened the blow and gave me a chance to build a side hustle, hang with the kids, exercise, and spend the summer gardening and sailing. My volunteer activities with environmental and literary programs also got more of my time. Took an online course on artificial intelligence and just started another on kinematics.
The day after I was fired, I set LinkedIn to looking for a job and heard from about 40 recruiters, during the past 9 months.Through my network and as a favor, I helped a company with a project for free. A few months later they created a new role for me as a senior director. I start on Tuesday. School started for my delightful children (I hear one unloading the dishwasher right now without me asking ?) this past week so timing is perfect.
A long time ago, it became obvious to me that if it suits the bottom line almost everyone is replaceable at a job, even the founder (see papa johns). I worked hard to keep spending under control and grow income, which isn’t easy working in a field where women don’t have pay parity and there is a glass ceiling. Didn’t matter too much, though it did have infuriating moments, because the work was intellectually challenging and that was what I wanted most from a job.
I want to take the kids on a few big adventure trips (visit an elephant refuge in Kenya, dinosaur dig, Nepal, Galapagos, Chile) before they go off to college and this job will make it possible without digging into retirement stash.
So layoff gave me a chance to think about my next chapter and I put the time to good use. Next up is to find a partner who has similar interests.
ESI says
Sounds like you had a nice break and ended up better than before. Good for you!
Financial Verdict says
Thanks for sharing your story. Establishing financial independence gives you the comfort knowing that if the music stops at your job and you don’t have a chair, you’ll be just fine until you decide if and when you want to rejoin the workforce again.
michael a williams says
I had planned to work til age 70, collect full social security and pension, and retire very comfortably. Then we got new management who brought big changes, more work, shorter deadlines, and much more stress. Type A’s make the job their life, you avoid many activities because it might throw off your schedule or somehow detract from your ability to give your all to your job. You blow up at your spouse over small things when the stress peaks. The sudden changes at my job made me take a deep look at my budget and assets, and I had to ask myself, “Why am I still working?” At 62, I realized I already have enough to quit. So I made that decision, I’ll be out by the end of the year. Not exactly fired, but I don’t love my job like I did before, so it’s time to go. I’ll be giving up a few million (over my lifetime) by retiring earlier than I had planned. On the other hand, I’ve been working for 45 years, always at somebody else’s company, always had a boss. For the first time, I won’t have to do anything (except what my wife tells me to do!) So now I’ll have the freedom to pursue my own business, or go back to school, or just lay around the pool. The freedom is mind-blowing! On the other hand, I do experience occasional bouts of near panic attacks, just thinking about cutting the umbilical cord. The job is a safety net, and there’s a lot of stress that comes from not having it. I have to keep going over the numbers and proving to myself that we’re going to be all right. Logic can prevail over emotion, but it’s a battle!
Paper Tiger (aka MI 27) says
Michael, just by your comments I can tell you are going to be all right. Three years ago, at the age of 57, my corporate role was eliminated and I was dropped like a hot potato. It gave me the opportunity to start that new business you speak of. With some former peers as partners, we are now into revenue and beginning to hit a bit of a growth spurt. In the end, life really is what we make it. Don’t be the victim, be the victor!
Bad_Brad says
I got laid off after 11 years with my last company. I liked that company a lot and had plans to retire there. I had bought a house very close to the office to have a short commute. I was all in.
Getting laid off made me realize that this sort of thinking had caused my career to stagnate in a stasis. I had turned down an offer that would have paid more and been an advancement because it would have meant a commute. As a result, I was in my current job at a pay grade higher than the job required, not all that excited to go to work each day.
The layoff gave me a big severance check and I ended up with a big signing bonus from my new employer. So I came out ahead. But more than that, it pushed me off a cliff that I would not have jumped of on my own. I look at work differently now. I realize that to do your best work you cannot be afraid of getting fired. I also protect my work life balance more, I worked hours and hours at my prior job and in the end, it didn’t matter.
Also, the layoff gave me a whole summer off in beautiful weather with my wife and kids. My son and I had a standing appointment every afternoon to play baseball at the park. I taught him the fine points of pitching, he improved a ton. I spent time with my wife. We took day trips. I scrubbed my deck and painted my house. I learned to make a mean old fashioned. I learned to brew my own beer. I wish I could have that time again. I now think more about early retirement so that some day, I can.
FullTimeFinance says
Let me first say I love my current job and I suspect I’m one of those individuals who is deemed mission critical by current management, I.e. the end is unlikely.
Still I contemplate just your situation. My exit would predicate nearly a year of severance and stock options and force me to reevaluate the next step. I’ve always fancied starting a business (not a side hustle but something with big potential). Making a high income as a w2 that you enjoy means there’s a big reason to not do it. If I were ever to lose my job I’m fi enough that I could play around with those business ideas with little financial risk. It could end good or bad but it wouldn’t hurt.
Vicki says
So….you guys are already rich. Lol whats the point of being on a site about “Steps to Wealth”?
Lol come on where are the real not-already-rich steps to wealth??
ESI says
Uh, the steps we share are the ones that made us wealthy.
Would you rather have tips from someone who is wealthy (and became so using the steps we discuss) or read articles from mainstream media, who are not wealthy and prefer to speculate on what they “think” will make someone wealthy?
The choice is yours…
RE@54 says
ESI, you are supposed to be still poor. That way people can say “Why bother, no matter what I do, I can’t save money”. Ha ha.
What is so hard for people to realize that it takes time to build up wealth? That is what all the Millionaire stories show. We all started either in the negative or near zero and slowly built up wealth. We all made stupid financial decisions and still built up wealth.
The lessons are on this website.
Mi-77 says
I have 45 years old. I had 8 jobs in my life, and I have been fired 8 times!!! There’s nothing wrong with that, as long as you learn something from every single one of those jobs. It might also be a blessing in disguise. You get to try out different jobs/industries and decide what your interest is, you are also learning from your mistakes, while your boss is paying for your mistakes 😛
https://esimoney.com/millionaire-interview-77/
Kevin says
I was just let go from my job a month ago. I knew it was coming and, really, I was ready for it to end. The stress had been mounting for years and I didn’t particularly enjoy the work I was doing.
The company I worked for closed after sixteen years, so I didn’t feel bad about getting fired. The owner of the company had died of a heart attack and I believe stress had a lot to do with it. I’m a firm believer that stress will kill people faster than anything else. Except for maybe getting hit by a train.
Besides, I think everyone needs to keep reinventing themselves and sometimes a good firing is what it takes to get moving in another direction.
Thanks for the good read.
Kevin
Snowdog aka MI-21 says
MI 21 here. My career has been quite the journey. I’m currently a very successful C-level exec and I’ve been fired 3 times. Fired by Company “A” due to downsizing and I made the list due to politics. 2 Kids in middle school, I jumped to Company “B” in a totally new industry for me. Worst job of my life, horrible people and culture. The stress level was off the charts and I was miserable. Like you ESI, I would never quit. Finally after 3 years I got fired. The only time I got fired that I deserved it. I was not the best fit for this gig. The day I got fired was my best day at this company. The relief was instantaneous, like I was a sick animal being put out of my misery. It also helped that college was almost fully funded for my kids and the NW was around $900K. Not retirement ready but it removed a ton of stress from the situation. While in my next job I jumped to Company “C” as a VP and soon got promoted to C-level. I did a great job but got fired after 3 years. CEO said ownership group wanted to go in a new direction with my role but gave no specifics. I loved this job and I was devastated at the time. However I quickly landed at my current company which has been an enormous blessing both financially and professionally. I love the company, the product and the people. I never would have had this opportunity if I did not get fired. And here is the punchline. While at this company, Company “A” contacted me and wanted to hire me back and join their C-suite. Then a year later, Company “C” CEO leaves to join another firm as CEO and wants to hire me to join his C-suite. You just can’t make this stuff up. Amazing journey. Totally different landscape now with NW over $3MM and kids out of college. Retirement is approaching fast as while I love my job the stress is still there. 3 big lessons here: 1) Build your brand by always doing excellent work. 2) Always take the high road and never burn bridges. 3) Always build and maintain your network. Although I’ve been fired a few times I’ve never missed a paycheck, always landed on my feet and I feel it’s due in large part to this. Your professional reputation is extremely important.
MrFireby2023 says
Like the author I have worked in retail for the entirety of my car (automotive business). I’ve suffered through the same pitfalls; always working, zoned out while home on my day off, etc.
In my business (car business) getting fired is a badge of honor and I’ve been fired several times! For the past several years I’ve been a sales trainer in the same line of work. I work less, have weekends off and Istill earn the same six figure I did before. All I can say about now is that I am working hard toward my early retirement.
jay says
Great stories!
I think about this stuff all the time. i.e. what to do if I got fired, pro active quitting, etc.
I was just reviewing my finances today (monthly activity) and on paper, based on my assumptions (and I try to be conservative), I could leave the work force today (approaching 57), go on a dreamed of cross country trip (10k allocated to it), and spend about 6k per year (increasing with inflation) on annual vacations.
I haven’t pulled the trigger on long term care. Can’t get comfortable with that yet.
Yet, I don’t know if I can bring myself to quit. i.e instead of increasing my wealth (comfortable with that), I would be decreasing my wealth. I would also increase my expenses due to health care. Difficult to contemplate.
I could get laid off at some point for many reasons we all know about, but I may not.
I am hoping to move ahead with it (quitting), perhaps by early next year.
I have had a pre existing health condition and life is short, so I really don’t want to slave longer than reasonably necessary. I still would attempt to do consulting.
Like many others, the job is intense and stressful, including possible lawsuits from unhappy clients, since firm I am with is a bit slow to take care of things.
That is, my situation is that I am very conscientious and diligent and the office culture consists of people doing work they want to do and sweeping the challenging things under the rug.
The benefit of getting fired is possible severance, but it can be psychologically hard.
Thanks to the community for the discussions.
Patrice | Financial says
I refer to the time I was laid off as my “sabbatical”. It sure was a blow to my ego though.
In the end, it was not good for my finances and I really enjoyed working for the company, however there was an unexpected benefit to me losing my job. I was able to spend significant time with someone close to me who was very ill before he passed. It reminded me that money can’t fix everything and sometimes other things need to come before work and money.
Leon @ Make Save Invest Money says
Great post.
I have never been fired, but I know many others who have.
They all have landed on their feet eventually, but most were not financially prepared.
So they needed to resort to debt to keep them going for the months until they found a new job.
My wife and I are financially prepared should either of us get fired.
Jude says
Nice post!
It is important to find the lessons you can learn from a situation that doesn’t go your way. And it is easier to find those lessons if you are financially prepared when something like losing your job is the situation.
Laurie@ThreeYear says
Mr. ThreeYear’s being laid off led us to wise up about our finances. Before that, we were the typical debt-carrying suburbanites who were making stupid financial decisions. But when he got laid-off, we wised up fast. Without that wake-up call, we’d probably still be floundering financially. I’m grateful for the perspective it gave us of what was really important.
Mark says
In reading this, you actually gave me an idea for a blog post, the first time I was fired. I hadn’t reached the pinnacle of success you had it was my first Accoumting job. I was not financially independent. In fact, we were relatively poor but it was a traumatic experience.
Phillip says
I got fired in 2001 during the dot-com bust. Was out of work 11 months before I got an offer with lower pay and title way across the country (DC to Seattle). Honestly, I don’t think anything really good or bad came of it. I stayed in the same industry and function (this is what I wanted) and just moved on. During my “break” I wasn’t really able to travel due to family obligations nor was I particularily interested in side hustles or trying something new in my career. Maybe it was a missed opportunity but water under the bridge now.
Financial Pilgrimage says
It seems like many say that getting fired was the best thing for them long term. After the shock wears off and grieving is complete there seems to be a level of clarity. Glad everything has worked out for you
Steve says
Good points all around on this. I’ve had a 37 year career in sales and sales management, and with a few exceptions, every firing lead to a better position and career path. Its never easy, but once you realize that not all terminations are a result of your personal shortcomings (change in management, downturn in business, restructuring, ETC.) you become free to re-evaluate your skill sets and what’s important in life and career.