By Ng Bee Wah

Q Through the years, I have seen some very senior colleagues being demoted. Many are still with the company as their options are limited.

It dawned on me that I would have to suffer a substantial pay cut should I one day be shown the door.

It worries me that the company could get someone else to do the same job for less pay.

I want to remain employable as long as possible - especially because, with my current pay, I could invest in myself. Hence, I am exploring other options, one of which is financial planning.

If I could invest my money soundly, I would be able to generate passive income and retire earlier. Could you advise me about the pitfalls to look out for?

A It would be great if everyone could make a career change without taking any risks. But that is not possible; to many, switching careers can be very stressful.

However, here are some pointers to consider that might help make your choice a less painful and agonising one.

First of all, consider the following: Do you still enjoy your current work, and is this work what you would want to continue doing for the next few years at the very least?

It might be worth your while to have an open discussion with your immediate supervisor and your human resources department about your skill sets and the career goals you want to achieve.

You might want to share with them your concerns, and give them an opportunity to understand and address them in ways that would meet your needs.

However, if you continue to feel that your opportunities are limited and you still wish to make a change, then it would be time to take the next step.

Your interest in switching to financial planning seems to arise from a practical need. Taking up courses on financial planning is a solid start. It would help you enhance your understanding of the industry and give you the time to consider carefully if it is really where you would like to build a long-term career.

However, while financial planning skills are good for long-term security, there are no guarantees in any industry and rewards are subject to market conditions.

You need to weigh the benefits of having a nine-to-five job that pays regularly against the problems of having one that varies in payouts. You must not expect your new job to pay you enough to replace the income you have been enjoying, at least not immediately.

On the other hand, people have taken on jobs that pay less but offer better opportunities in terms of career advancement or learning new skills, after taking into consideration their long-term career plans and the lifestyle benefits.

In any career switch, the initial learning curve is often steep, and you might need to put in a great deal of time and effort to understand the requirements of your new position. Hence, it is critical that you manage your expectations and be flexible in adapting to changes.

If you want to stay relevant and competitive in the marketplace, you need to continue upgrading yourself, whether you're talking about financial planning or other new skills.

Once you have decided what it is you want to do, stay positive and charge forward with your plans. However, until you are sure this career switch is truly what you want, it might be advisable not to quit your job immediately. Be patient as you wait for the right opportunities.

This article was first published in The Sunday Times on Jun 15, 2008