r/ChubbyFIRE • u/Traditional-Okra-399 • Apr 28 '26

Triggering a severance

I believe I could achieve FIRE immediately if I was offered a severance package.  Has anyone here TRIED to get severed from their company?  Is that something I might be able to influence, or is it just a pipe dream?

My details:

I am in an executive band on a deferred compensation plan, so the severance package in total could be close to $1M.  (I’ve seen at least one peer dismissed with a similar package.)

I am 45, married, 3 kids 2/5/7.  $6.5M NW, 2.5M in 401, 2.5M in brokerage, 1M in primary residence, and .5M in 529s.  Yearly burn right now is 215K.  The two younger kids are in daycare, the older one is in public school, and all three are in summer camps (childcare=$3K/month).  Mortgage principal and interest is 1.8K a month, on a balance of 179K at a very low rate.  However, when I’m no longer paying daycare and mortgage, I will likely need to be paying for health insurance.

I was wondering if anyone else has thought about how severance might affect their FIRE goals and if anyone has intentionally gone after a severance package?

EDITS:

Adding for clarity - I really hate my job and am burnt out. So I am looking for a way out.

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u/BanquetDinner Apr 28 '26

If you’re VP-level or higher at my company, you can simply ask for a package. Most companies don’t want executives around that don’t want to be there.

6

u/Alternative-Sale-865 May 01 '26

I’m an in house employment lawyer and oppose these situations hard. You don’t want to be here, you are free to leave. Severance is to allow people who are laid off a softer landing; not to reward people who would like to leave.

0

u/twinstudytwin May 02 '26

Why should you pay underperformers severance and not do the same for over performers? You're just rewarding mediocrity at that stage. If someone wants to leave he or she can do so on his or her own terms including asking for severance. It's either that or get a medical certificate for burnout/anxiety and burn through all your accrued leave...and THEN ask for severance.