Financial Planning

A Financial Guide For Both Sides Of A Coaching Change

As the years go by, the world seems to move at a quicker and quicker rate. The internet and social media now allow us all to get “breaking news” in a moment’s notice. Waiting for the morning newspaper or the local evening news is a thing of the past. Similarly, the change to the recruiting calendar and increased pressure to “win and win now” seemingly causes the coaching carousel to start earlier and to spin faster every year.

As a result, after the 2020 season, 17 FBS schools changed head coaches. There were 24 head coaching changes the year before. Also after the 2020 season, there were 60 coordinators that changed positions. That is almost a 50 percent turnover rate when considering the 130 FBS schools. Going into Week 11 of this 2021 season, nine FBS schools had announced plans for a change in leadership1, a number almost certain to rise before recruiting ends in February, although most of us realize that recruiting never stops. Ever.

For every coach that receives the call to move to another school which may be considered a promotion, there is another coach who packs up his office and faces the possibility that his next job may not be as highly sought after or as high-paying as the one he was just relieved from. So, we hope that this article serves as a guide on how to handle the “financial planning” side of a job change no matter which way the moving van is headed.

For Coaches Getting A Higher Paying Job

Boost retirement savings: Consider increasing your salary deferral into your school’s 403(b) and/or 457 retirement plans. For 2022, these plans allow individuals to defer up to $20,500 if you are younger than 50 years old.  Participants older than 50 years old can defer up to $27,000 into each plan.2 Reducing current income taxes and building a larger nest egg for future income purposes are just a couple of the immediate and long-term benefits that may come along with this adjustment.

Catch up: With additional cash flow and the ability to save, there is no better time to consider other ways to save for various financial planning goals. You may consider opening or making monthly additions to an investment or savings account that may not be focused solely on retirement. These “non-qualified” accounts usually offer great flexibility with both contributions and withdrawals, and they can help to create greater wealth over time.  You may also consider funding 529 plans which will help to cover education costs for your children or grandchildren.

Pay off debt: We have seen time and time again where “life happens” at the wrong time causing coaches and families to put major expenses on credit cards or to get behind on other debt payments. These types of loans typically have high interest rates, which means that making a minimum monthly payment will not reduce the debt quickly enough or perhaps not at all. Therefore, with additional monthly income, it may be wise to aggressively pay off and eliminate those debts that cause you or your spouse to lose sleep at night.

For Coaches Forced To Reset Their Career Path

Tighten up the budget: This may lead to difficult conversations and decisions with your family, but having a leaner budget may be inevitable if you take a lesser-paying job than you are used to. Reducing your budget may require living in a smaller home, driving a more modest vehicle, changing schools for your children, taking fewer family vacations, not eating out as often, and taking on different hobbies just to name a few.

Be smart about withdrawals: Reduced income may also come with a more frequent need to draw money from your savings and investment accounts. Depending on the amount and frequency of your needed withdrawals, be mindful that different types of accounts come with different guidelines and also tax consequences.

Be patient with housing: In most instances, getting a new coaching job results in a move to a new city or town. That means the search for a new home begins and is almost always conducted in a remote or virtual fashion. With the recent boom in real estate prices resulting from the pandemic, we encourage you to be patient when finding a new home. Also considering the unpredictable length of time in which you will live in that area, it may be best to rent a home for a while before making a large down payment and paying upfront closing costs associated with a new mortgage that comes with owning a new home.

Take Action

The tips outlined above are certainly not all there is to think about when changing jobs of your own accord or as a result of factors outside of your control. But the guide is at least a start.

We consider a job change to be a major life event. Every situation has a different set of unique factors to consider and decisions to make. That is why we strongly urge you to seek and rely on the advice of trusted advisors in regards to taxes and, of course, financial planning.

We are here to help you make the best decisions possible for you, your family, and your future. If we can be a resource during the coaching carousel season or thereafter, please do not hesitate to contact us at or directly at (502) 394-4094. We are happy to help you like we have helped and continue to help other coaches and families in similar situations.

About The Authors

Investment with Matt Kuerzi and Keith NorrisKeith Norris, First Vice President and Financial Advisor, and Matt Kuerzi, Vice President and Financial Advisor, are co-founders of The Derby City Group at Morgan Stanley in Louisville, Kentucky. They have combined over 40 years of experience helping families with their financial planning.3 In 2019, Matt was recognized by Forbes in their first ever list of “Best-In-State Next-Gen Advisors.” He can be reached directly at (502) 394-4094 or

Branch address: 4969 U.S. Highway 42, Suite 1200, Louisville, KY 40222

(1) Reference:


(3) Keith Norris, First Vice President, Financial Advisor, experienced in the financial services industry since 1997.  Matt Kuerzi, Vice President, Financial Advisor, experienced in the financial services industry since 2002. 

The information contained in this article is not a solicitation to purchase or sell investments. Any information presented is general in nature and not intended to provide individually tailored investment advice. The strategies and/or investments referenced may not be appropriate for all investors as the appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives. Investing involves risks and there is always the potential of losing money when you invest.

Tax laws are complex and subject to change. Morgan Stanley Smith Barney LLC (“Morgan Stanley”), its affiliates and Morgan Stanley Financial Advisors and Private Wealth Advisors do not provide tax or legal advice and are not “fiduciaries” (under the Investment Advisers Act of 1940, ERISA, the Internal Revenue Code or otherwise) with respect to the services or activities described herein except as otherwise provided in writing by Morgan Stanley and/or as described at Individuals are encouraged to consult their tax and legal advisors (a) before establishing a retirement plan or account, and (b) regarding any potential tax, ERISA and related consequences of any investments made under such plan or account.

Source: Forbes Magazine (September 2019).  Data provided by SHOOKTM Research, LLC. Data as of 3/31/19. SHOOK considered Financial Advisors born in 1980 or later with a minimum 4 years relevant experience, who have: built their own practices and lead their teams; joined teams and are viewed as future leadership; or a combination of both. Ranking algorithm is based on qualitative measures: telephone and in-person interviews, client retention, industry experience, credentials, review of compliance records, firm nominations; and quantitative criteria, such as: assets under management and revenue generated for their firms. Investment performance is not a criterion because client objectives and risk tolerances vary, and advisors rarely have audited performance reports. Rankings are based on the opinions of SHOOK Research, LLC, which does not receive compensation from the advisors or their firms in exchange for placement on a ranking. The rating may not be representative of any one client’s experience and is not indicative of the Financial Advisor’s future performance. Neither Morgan Stanley Smith Barney LLC nor its Financial Advisors or Private Wealth Advisors pays a fee to Forbes or SHOOK Research in exchange for the ranking.  For more information see

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