Chapter 2Chapter 2

Financial Aspects of Financial Aspects of

Career PlanningCareer Planning

Job or Career?Job or Career?

Job--an employment position Job--an employment position obtained mainly to earn moneyobtained mainly to earn money

Career--a commitment to a Career--a commitment to a profession that requires profession that requires continued training and offers a continued training and offers a clear path for occupational clear path for occupational growthgrowth

Tradeoffs of Career Tradeoffs of Career DecisionsDecisions

MoneyMoney Personal satisfactionPersonal satisfaction Family timeFamily time Leisure timeLeisure time FreedomFreedom People you meet and work withPeople you meet and work with

Career Training and Skill Career Training and Skill DevelopmentDevelopment

Potential earning power (the Potential earning power (the amount of money you may earn amount of money you may earn over time) increases with your over time) increases with your education, your field of study education, your field of study and the job marketand the job market

Categories of trainingCategories of training – Technical skillsTechnical skills– General skillsGeneral skills

Personal FactorsPersonal Factors

What do you do best?What do you do best?– Aptitudes are the natural abilities that Aptitudes are the natural abilities that

people possesspeople possess What do you enjoy?What do you enjoy?

– Interest inventories determine the Interest inventories determine the activities that give you satisfactionactivities that give you satisfaction

Does your dream job exist?Does your dream job exist?

Making Career DecisionsMaking Career Decisions Assess and research personal goals, abilities and Assess and research personal goals, abilities and

career fields.career fields. Evaluate the employment market and identify Evaluate the employment market and identify

specific employment opportunities.specific employment opportunities. Develop a resume and cover letter; apply for Develop a resume and cover letter; apply for

available positions.available positions. Interview for available positions; assess your Interview for available positions; assess your

interview performance.interview performance. Evaluate financial and other factors of positions you Evaluate financial and other factors of positions you

are offered.are offered. Plan and implement a program for career Plan and implement a program for career

development.development.

Social InfluencesSocial Influences

Demographic trendsDemographic trends– More single and working parentsMore single and working parents– More leisure timeMore leisure time– More elderly peopleMore elderly people– Expanded demand for employment Expanded demand for employment

training servicestraining services Geographic trendsGeographic trends

– Influences earning level, cost of living Influences earning level, cost of living and standard of livingand standard of living

Economic Conditions

Interest ratesPrice changesDemand for goods and services

Trends in Industry and Trends in Industry and TechnologyTechnology

Decline in manufacturing employmentDecline in manufacturing employment More opportunities in service industriesMore opportunities in service industries

– Information technologyInformation technology– Health careHealth care– Business servicesBusiness services– Social services Social services – Sales and retailingSales and retailing– Hospitality and food servicesHospitality and food services– Management and human resourcesManagement and human resources– EducationEducation– Financial servicesFinancial services

Obtaining Employment Obtaining Employment ExperienceExperience

Part-time employmentPart-time employment Volunteer workVolunteer work Internships-receiving training by Internships-receiving training by

working with people who are working with people who are experienced in a particular fieldexperienced in a particular field

Campus projectsCampus projects

Career Information SourcesCareer Information Sources Library materialsLibrary materials Media career informationMedia career information Online sourcesOnline sources Career development officeCareer development office Networking-the process of making and using Networking-the process of making and using

contacts to obtain and update career informationcontacts to obtain and update career information– Community organizationsCommunity organizations– Professional associationsProfessional associations– Business contactsBusiness contacts

Informational interview-a meeting at which you Informational interview-a meeting at which you gather information about a career or an organizationgather information about a career or an organization

Identifying Job OpportunitiesIdentifying Job Opportunities

Job advertisements Job advertisements Career fairsCareer fairs Employment agenciesEmployment agencies Job creation--developing an employment Job creation--developing an employment

position that matches your skills with the position that matches your skills with the needs of an organizationneeds of an organization

Visit the companyVisit the company Telephone directory Telephone directory Web searchesWeb searches Talk to peopleTalk to people

Applying for EmploymentApplying for Employment

Resume--a summary of education, Resume--a summary of education, training, experience and qualificationstraining, experience and qualifications

Cover letter--the correspondence you Cover letter--the correspondence you send with a resume to communicate send with a resume to communicate your interest in a job and to obtain an your interest in a job and to obtain an interviewinterview

Interview--the formal meeting used to Interview--the formal meeting used to discuss your qualifications in detaildiscuss your qualifications in detail

Accepting an Employment Position

Corporate culture--refers to management styles, work intensity, dress codes and social interactions within an organization

Salary is influenced by your education and training, company size and salaries for comparable positions

Evaluating Employee Benefits

Child care benefits and leaves of absence Elder care benefits Flexible work schedules Telecommuting Legal assistance Counseling for health, emotional and

financial needs Exercise and fitness programs Cafeteria-style employee benefits allow

workers to base their job benefits on a credit system and personal needs

Tax Considerations

Tax-exempt benefit is one on which you won’t have to pay income tax

Tax-deferred benefit requires the payment of income tax at some future time, such as at retirement

Employment Rights

A person may not be discriminated against in the employment selection process

Minimum-wage and overtime pay legislation apply to individuals in certain work settings

Worker’s compensation, social security and unemployment insurance are required benefits

Changing Careers

Low motivation toward your current work Physical or emotional distress caused by

your job Consistently poor performance evaluations A lack of social interactions with coworkers Limited opportunity for salary or position

advancement A poor relationship with your superior

Job Termination Maintain appropriate eating, sleep and

exercise habits Get involved in family and community

activities Improve your career skills through personal

study, formal classes, or volunteer work Target your job search to high-growth

industries or small businesses Consider opportunities with nonprofit

organizations, government agencies, temporary employment, or consultant work

Target your skills and experience to the needs of an organization