BOSTON–(BUSINESS WIRE)–It’s no secret that the last two years of the pandemic have caused many Americans to re-evaluate their lives – from health and family to finances and careers. Loyalty investments®in its commitment to helping its clients achieve their financial goals at every stage of their lives, today shares the results of its 2022 Career Assessment Study. The study examines how working professionals assess their next job change. career, the most significant benefits and how they balance monetary benefits against quality of work life.
The study finds that six in ten young professionals (61%) – those aged 25 to 35 – have changed jobs in the past two years or plan to change jobs in the next two years. That breaks down to around a third (37%) who have been in their current role for two years or less and almost half (44%) who expect to be at another company within the next two years.
“Young professionals are more diverse than previous generations and their approach to life, work and money is unique, especially as they face external events ranging from market volatility to inflation – many for the first time in their adult lives,” said Kelly Lannan, senior vice president. President, Emerging Clients, Fidelity Investments. “So it’s no surprise that this group is looking at the workplace in a new light. Of course, the financial benefits will always be important, but young professionals also increasingly expect to have more paid time off, flexible hours and meaningful work – and they are not afraid to change to achieve this expectation. .
While salary is generally the most important factor when someone is evaluating a job offer, the other top three financial considerations reported by young professionals include: medical benefits (54%); Retirement savings (49%); Bonus (34%). When it comes to non-financial benefits young professionals would prioritize in a job offer, they include: paid time off (59%); Flexibility of schedules / Remote work (65%); Professional development (28%).
Career prospects for university students are optimistic
For future university graduates, those in the class of 2022 or 2023, almost half (45%) feel excited about the approach to their degree. In fact, 44% expect to land a job that meets most of their requirements and 22% expect to land their dream job. Like their more experienced peers, these students prioritize the following financial considerations (aside from salary) when evaluating a job: 1) Medical/healthcare benefits (70%); 2) Retirement savings (54%); 3) Bonus opportunities (31%); and 4) Student Debt Assistance (25%).
Yet, at the end of the day, a much higher percentage of college students (61%) than professionals (48%) say they value factors that improve their overall quality of work life over financial benefits when evaluating work. ‘a job offer.
“The past two years have been a pivotal time for many life decisions, and many young professionals are still evaluating their current jobs – prioritizing increased pay, work flexibility and financial benefits like retirement savings,” added Lannan. “However, current college students place greater importance on their quality of worklife when considering their career path after graduation. At Fidelity, we understand that money touches every aspect of a person’s life, so while it’s important to feel that a business is culturally appropriate and there is access to growth opportunities professional, it remains essential to understand the financial implications of leaving or staying at work. »
Ready to move on to the next job? 3 financial tips to get your finances moving, too
- Consider benefits beyond salary: Of course, salary and bonus opportunities are essential when considering the total financial package of an offer, but don’t forget factors such as access to a retirement savings plan and consideration. of the employer; student debt assistance; health and medical insurance; and even the cost of living if the job requires relocation. Fidelity’s Job Posting Calculator helps quantify these factors for those considering whether to stay in their current position or move on.
- Negotiate your next job offer: According to the study, 58% of young professionals accepted their current job offer without negotiating, but of those who negotiated, 87% got at least some of what they asked for. It can be difficult for people to sell themselves, but Fidelity suggests candidates focus on the skills and the value they bring to the organization.
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Don’t forget your 401(k): When leaving a job for a new one, many professionals have four options for 401(k) or 403(b) retirement savings offered by their former employer:
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Rollover, i.e. transferring money from an old 401(k) to an IRA (Individual Retirement Account)
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Rollover – transferring money from an old 401(k) – to a new workplace retirement savings plan
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Keep it in the former employer’s plan
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Cash out
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According to young professionals in Fidelity’s Career Assessment Study, of those who had a workplace retirement savings plan, 30% chose to cash it in, meaning they could have done facing a 10% withdrawal penalty and that the money would have been subject to state and federal taxes. since they were under 59 and a half.
Fidelity encourages professionals to first understand these options and consult this comparison chart to determine which option may be best for their individual situation.
Choosing to stay in your current company? 3 tips to advance your career
Fidelity’s Life Event resources have a Networking and Career Moves section full of rich content for professionals looking to move forward. For people who have decided to stay in their current job, that doesn’t mean they have to settle for the status quo. Here are three steps to advancing careers.
- Track your earnings: For those seeking promotion, start gathering evidence on why they are qualified for a more advanced position. Build a portfolio of this work and have specific examples of goal achievement and business results. Don’t forget to highlight the praise received.
- Be a team player: Having strong professional references from peers and managers can go a long way towards advancing on the job. Willing to take on new tasks that will extend skills, show initiative and be proactive in proposing solutions to make improvements.
- Be vocal: It may seem obvious, but professionals need to let management know that they want to evolve. They should suggest an opportunity they have been looking for and let others know they are interested and start networking with the right people.
More loyalty resources for those considering a career change
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Explore Fidelity’s Life Events hub, an online experience designed to support professionals through life’s big moments. The Job Change section offers resources to help you take the next step in a career or successfully manage a job change.
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Do you have an old 401(k) from a previous employer that you don’t know what to do with? Consider and compare these options to find the right one for your specific situation and needs.
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Are you starting a new job? Professionals may be leaving money behind – so read this article from Fidelity Viewpoints Starting a new job? Make these money moves to stay informed.
Learn how Fidelity is helping the next generation of customers with education, products and services, and opportunities to engage in conversations about money on TikTok, Instagram, Reddit and other channels. Fidelity is also providing new career opportunities to thousands of people, including entry-level positions, hiring more than 16,600 new associates in 2021. The company will continue to focus on recruiting new talent in 2022.
About Fidelity’s 2022 Career Assessment Study
This study presents the results of a national online survey of a sample of 1,524 American adults between the ages of 25 and 70 who currently work full or part time. Additionally, 204 students graduating in 2022 or 2023 were also surveyed. Interviews for this CARAVAN® survey were conducted March 8-14, 2022 by Engine Insights, which is not affiliated with Fidelity Investments. The results of this survey may not be representative of all adults meeting the same criteria as those interviewed for this study.
About Fidelity Investments
Fidelity’s mission is to inspire a better future and deliver better results for the customers and businesses we serve. With assets under administration of $11.3 trillion, including discretionary assets of $4.2 trillion as of March 31, 2022, we are focused on meeting the unique needs of a diverse set of clients. Privately owned for more than 75 years, Fidelity employs more than 57,000 associates who are focused on the long-term success of our clients. For more information about Fidelity Investments, visit https://www.fidelity.com/about-fidelity/our-company.
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Be sure to consider all of your available options and the applicable fees and features of each before transferring your retirement assets.
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