What do you think I should do?

[Decisionstobemadeheyeyeyeyey]

I got made redundant (with only a small payout) from a job that paid £51k. Senior level jobs in my sector, in my region, don't come round very often, so I made plans to set up my own business which would also allow me to spend more time at home with my DC (I'm a single parent).

Of course, there is a lot of work involved in setting up a business and it could be some time until I am earning a good amount. I may be entitled to some benefits in the meantime. Even so, I probably won't ever exceed £30k gross but I wouldn't have to pay much in childcare costs and I would have plenty of time at home.

I've just been offered a job back in my old sector. They are offering almost £10k less than I was on. They can't pay more so there is no negotiation to be had there. Another job that pays closer to what I was on might not come up for a year or two. In time, my salary could increase.

Although it's a drop from what I was on, it's more than I would be able to earn in my own business and I am not in a strong financial position at the moment.

The problem is that when I look at the cost of the commute and childcare, they add up to £10k a year That means my take home probably wouldn't be different in the end.

The advantage in this job is that it offers security and a guaranteed income, whereas my own business could take some time to build up and I wouldn't have a guaranteed income. If I run my own business I will have more time with my DC but also have to deal with the stresses of setting up and growing a business.

I have the weekend to decide. What would you do?

Take it and build up your business on the side

Weren’t you having to pay for childcare before?
I would take the job, and I am generally very pro-risk. I’m just not sure the risk will be worth it for you or pay off in the long run. Unless you’ve always had a burning desire to have your own business, but if you’re considering this job (as you are) then I’d suggest the desire probably isn’t strong enough.

I was paying for childcare and a commute before but as I had been doing it for so long and it was a necessity I didn't question it but I was also earning £10k more so it didn't have such a great impact.

I don't have a burning desire to run my own business but it might make me happier if I get it right. It's a bit different from the work I was doing.

I suppose I should take the job. I'm not sure if I will have the time or energy to build up my business on the side but I should do so I have it as an option I can fall back on.

Will tax credits for childcare perhaps kick in at a lower income rate ?

I would need to do some research on childcare and tax credits based on that salary. I'll look into it tomorrow. Thank you.

I think it takes huge energy time effort hard work and passionate dedication to get a new business up and running. New start ups typically take three years to start to turn a net profit. So because you have children to raise I think perhaps you should take the job.

I'd turn it down and stick to your business

I would take the job.

I’d take the job and look at any financial assistance I was entitled to. Also see if they will let you work from home one or two days a week so you can cut your commuting costs. Then keep looking for another job.
Childcare costs won’t be forever.

At 41k, youre not going to be eligible for any benefit supports including childcare via uc or tax credits - which are closed to new claims.

It took me 18 months to start earning any profit when I started my business.

Do you have the financial cushion to allow you to live for 18 months to 2 years with no profit? That's probably how long it'll take to see whether your business idea is a goer.

If not, you should probably take the job and work on your business at evenings/ weekends.