Comments on: How to Quit Without Having Another Job Lined Up

on 3/17/2008 Also be aware that if you go back to school for a graduate degree and come out making more than a certain amount of money(I believe it is currently at $65k) per year, the interest from your student loans is not tax-deductible. I'm still trying to fight that after 4 years, so if anyone knows better, now - as I'm working on my taxes yet again - is a good time to tell me!

on 3/13/2008 Thanks for pointing out the contradiction.

Let me clarify that: It's my belief that educational loans are okay -- it's good debt at relatively lower interest rates. So if you quit your job to go back to school to enhance or change your career, take out an educational loan.

However, if you're just quitting your job and not going to school, taking a personal loan or using credit cards to cover your living expenses while unemployed is not recommended. Personal loans and credit cards have higher interest rates and will make your life more difficult since you'll be fighting to get out of debt. You need to save enough money or have an alternate source of income before you quit your job without having another job lined up.

on 3/12/2008 The advice seemed to contract itself in the tips and warnings, by advising someone not to go into debt if they are quiting, but in the same breath, says it's OK to go into debt if you're going to school.