A unique opportunity has presented itself at work and wanted some sage advice. Layoffs are pending at work. Rumor has it up to 20%. Which means if it is across the board, 1 or 2 guys in my group have to go. A little background first before I get to my question.
A couple of months ago I was pretty burned out and bored at work. FIRE is 4 yrs away and I have FU money, so I decided, I'm going to slow down. Told the boss I'm working 4 days a week or 0 days a week. I was willing to walk over this. In the end, they accommodated and I am now working 4 days a week for 20% less pay. One side benefit I hadn't foreseen is that my manager took me off of our day to day core projects because I was only available 4 days a week. I was bored because they were turn the crank projects that I had been doing for 6 yrs straight and no longer interesting or challenging. I'm the most experienced so I still help out from time to time on core projects, but it is no longer my daily function. Instead he put me on some future longer term development projects and have been having fun at work again. I learned by taking a chance, the rewards were better than anticipated.
Back to the layoff. I've been thinking a lot about Doom's
latest post on taking a gap year. His reasons for taking the sabbatical really speak to me. I've wanted to take a 6-12 month sabbatical for sometime, but was always too chicken shit to give up the cash firehose and was scared of the uncertain future. One scenario I can see playing out with the layoff, is that boss lets go of some people, development projects get cancelled, and since we are short handed, I have to go back full time and work on the core boring shit again. At this point going backwards would be a fate worst than being laid off. Given my years of service and based upon past severance packages, I roughly estimate my severance package to be worth about $50K after taxes. I've pretty much made up my mind to talk to the boss. I'm perfectly happy with the status quo. But if he wants me back to full time working on core projects, then instead he should put me #1 on the layoff list. Of course another scenario is that I'm expensive (although less so now with the 20% paycut), working part time, working on future stuff, and maybe have pissed off the upper management with my 4 day a week demand. I could already be #1 on the list. If I am let go, I won't need any tissues, and will immediately enjoy my forced sabbatical, although it is new territory and admit I will be a bit fearful.
What I'm wondering is should I go all in and just flat out volunteer to be laid off unconditionally? I'd love a sabbatical to do some things now instead of waiting for FIRE. I've made a list of things I would do during a sabbatical. Frankly the list is longer than could be accomplished in 6-12 months. I'd have to prioritize. But spending more time with the kids, home improvement projects, and some entrepreneurial type things are on there. My logical brains says I'd be nuts to give up a reduced hours job, that is fun, and pays a ridiculous amount of money. I would not likely reproduce all 3 of those conditions after a sabbatical. I'd delay my FIRE date for sure. With some home improvement expenses and increased non-subsidized ACA healthcare costs, I'd estimate, it would take 7-8 months to use up my severance package. I have $200K in taxable accounts beyond that if it went longer. On the other hand, my kids are middle school aged. Staying the course and FIRE'ing in 4 yrs, they will almost be out of the house. If I was to take a sabbatical, this is the time to do it, not when they are almost grown. I wouldn't be upset if I were forced into a sabbatical, and would volunteer to be laid off if they want me to go back to old work conditions. But why I am a so conflicted about a completely "voluntary" sabbatical? I haven't hit the 4% SWR, but I have FU money. My current WR would be 6.1%. I have been fairly risk adverse about these things. I realize I am incredibly blessed and this is a great problem to have. I'm not complaining. What would you all do if you were in my shoes? Should I take a chance again ask to be laid off for a "paid" sabbatical and have faith things will work out even better?
