I Took a Major Pay Cut and I Survived

I'm really shocked at how efficient this new life phase has forced me to be -- and how tolerable it actually is.
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I spent almost four years employed by a dot com in the travel industry and life was sweet. I had a competitive salary, received annual bonuses and raises, took sexy vacations, and had a nutrition coach in addition to a membership to a pricey sprinting club. I also had a pretty serious social dining and shopping addiction that didn't often go unsatisfied.

And then I lost my job. It didn't faze me much. I spent $200 to get my hair braided, trained with my sprinting club three times a week, and went to the gym the other four days. I went sailing in Croatia with friends (full disclosure: the trip had been paid for over the course of 10 months so why not go?). And then, I went on a vacation with my family and posted up at a J.W. Marriott resort for the weekend. My severance wasn't that big, and in between collecting unemployment I worked part time as an entry-level bartender. I was still only operating on a fraction of my former income but I was bent on maintaining my quality of life.

Fortunately, I was only out of work for three months before I received an offer. The salary was considerably less than I was making, but it was still workable -- and it was in the public sector so it would qualify for the federal student loan forgiveness program, which was my whole reason for considering it in the first place. Still, I was in the interview cycle with another company. It was an agile, little marketing agency and I was vying for a social media manager position. The salary was on par with what I'd been making before, and it was such a chic environment that I knew my wardrobe would be appreciated. It was sort of the dream job I'd been hoping for once I started actively interviewing. I called them back and said I'd received an offer elsewhere, but I wanted to know if they were interested in me as well. Long story short, they said no. I was dejected, shocked, and appalled (because the interviews seemed to go so well!) but I still called the first company back and accepted their offer.

It took a day or two of soul searching but I realized that things worked out the way they were supposed to. Over the summer I launched a kids coding workshop series that I probably couldn't sustain if I were resigned to working agency hours. Also, I promised myself that I wanted to advance my coding knowledge so I could eventually do some freelance front-end design work. Finally, if I'd taken the agency job, I'd be stuck paying back my $100k+ in student loans for the duration. The job I'd accepted made room for all of the things I said I wanted for myself. I just needed to learn how to live on less. I wasted A LOT of money over the years, but taking a large paycut forced me to be more deliberate in where I allocated my dollars. That meant no more dining out during the week, a hard stop on shopping (my LeTote membership was okay, though), and I needed to already have the money saved if I wanted to travel. I'm still in that pricey sprinting club but my premium cable channels and a few other subscription services had to be cut in order to keep it.

I already resolved to bring my lunch every day and I thought I was making strides. But after my first three days of work, I realized that I was spending $3.48 in tolls each way on my commute -- and that still didn't account for the fact that I'd likely end up filling the gas tank twice a week. I was gobsmacked at the idea that I'd be spending $110 a week in transit so I did what any reasonable, New York-raised person would have done. I rode the train. Even though it involved me catching a 7:05 a.m. train, when I would normally be in the shower at that time, I was at my desk by 8.30 a.m. -- the same time I arrived when I drove. At first I was concerned about the walk between the train station and the campus but it was barely a half mile. My all day GoPass was $5 and I used virtually no gas getting to the train station. It was like having an epiphany. All that's left for me now is to settle into a routine.

These days I cook enough protein at dinner to bring along with my lunch salad. If I'm really bad ass, I'll have a protein shake before leaving the house. I read on the train and apply my makeup in the bathroom at work. I have coffee and an apple at my desk after I ditch my sneakers for proper shoes. My only real "worry" these days is deciding if I want to continue carrying my stuff in a backpack or do I want to use my red leather tote instead because it's the more stylish thing to do.

I'm really shocked at how efficient this new life phase has forced me to be -- and how tolerable it actually is.

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Quia Querisma is the globetrotting, techie-fashionista who writes about travel, style, and sometimes cocktails at MyJetSetStyle.com.

12 Things Every Woman Should Know About Money
From Alexa von Tobel(01 of12)
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Diversify Your Investments“Don’t put all your eggs in one basket” can be applied to investing. Spread your money to minimize your risks if a company doesn’t perform as well as expected. This way, you’re also exposed to different assets and will get more gains for your future. Watch. (credit:Alamy)
From Suze Orman(02 of12)
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Make Small Changes To See Big ResultsOne of the biggest money hurdles is getting in control of your money. Instead of making drastic changes -- and falling off the wagon -- track your spending and incorporate new habits slowly. Do you go to the movies once a week? Try going every two weeks. Grab a coffee at Starbucks each morning? Brew your own twice a week. The small savings will add up. Watch. (credit:Alamy)
From Maria Bartimoro(03 of12)
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Know How Much To Save And How Much To InvestIf you’re ready to get your feet wet into the stock market, start slow and keep building. You want to be able to put your money into an account and not have to withdraw it. Forget rock-bottom savings account rates for all your money -- put 20 percent into a savings account and the other 80 percent into the stock market. As you get closer to retirement age -- and less willing to take risks with your retirement money -- the percentages will become 50/50. Watch. (credit:Alamy)
From Alexa von Tobel(04 of12)
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Take Advantage Of Compounding InterestToo often, women forget about the power of compounding interest. The earlier you start saving, the less you’ll have to save in your 40s and 50s for retirement. It’s not magic, just math. Watch. (credit:Alamy)
From Alexa von Tobel(05 of12)
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Negotiate A Higher SalaryIt’s critical to negotiate your salary -- no one else is going to do it for you. Research what people in similar industries and job roles are making, and present it to your supervisor. If your company can’t provide you with more money, you can still negotiate: can they provide you with more vacation days or allow you to work from home once a week? These extra perks might offset a lower paycheck. Watch. (credit:Alamy)
From Suze Orman(06 of12)
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Forget About Cashing In Your 401kIf you think of the money sitting in your 401k as an emergency fund or savings account, think again. Withdrawing money early will result in paying taxes just like you would your normal paycheck. Additionally, you will pay both a 10-percent federal tax penalty and a state tax penalty. Watch. (credit:Alamy)
From Trae Bodge(07 of12)
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Save Money On Your Online ShoppingMake saving money when shopping online a breeze with Bodge’s favorite app, Invisible Hands. This handy program does the price-checking research for you, and will alert you when a different site has a better price -- or let you know that you’ve found the best deal. Watch. (credit:Alamy)
From Maria Bartiromo(08 of12)
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Avoid Financial Rip-OffsWhen choosing what to invest your money in, if it looks too good to be true, it probably is. Remember that you’re investing and saving for the long term, not to get rich overnight. Watch. (credit:Alamy)
From Alexa von Tobel(09 of12)
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Decide Whether To Rent Or BuyBuying a home is not only an investment, but a permanent tie to a location. More importantly, it can limit job opportunities by making you location dependent. If you’re uncertain about whether you’ll be in the same city in 5-8 years, it’s best to rent. Watch. (credit:Alamy)
From Trae Bodge(10 of12)
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Cut Back On What You Want, Not What You NeedIdentifying what you need versus what you want is an easy way to cut back on spending. You need food -- but ordering out instead of eating the leftovers in your fridge is a want. By being honest with yourself about what you actually need to spend money on, you can start to save. Watch. (credit:Alamy)
From Maria Bartimoro(11 of12)
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Don’t Pay Down Debt With More DebtIf you’re trying to pay down debt, avoid taking on more debt -- forget taking out a loan or getting a new credit card to pay another off. Instead, keep paying off debt as your priority, and with each paycheck, add a few extra dollars to your payments. There are no shortcuts, but making on-time payments above the minimum will help you pay your balances as soon as possible. Watch. (credit:Alamy)
From Trae Bodge(12 of12)
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Save At The Grocery StoreWhen you’re shopping for groceries, look at the unit price, not just the price per item. While that box of cereal might be $1 cheaper than the other brand, it might also contain less. Use this strategy for boxed items, meats and cheeses -- you’ll save more than by just looking at size differences or brand. Watch. (credit:Alamy)

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