How Much Is Too Much To Spend On Professional Development and Microcredentialing?
In my last few articles, I’ve written about how to future-proof your career with upskilling and microcredentialing and ways to figure out what your next industry credential should be. However, I haven’t talked much about determining how much to spend on these learning opportunities. Overspending may strain your budget, while underspending could limit your opportunities for growth. So, how do you find the sweet spot? Let's explore some key considerations in this post.
1. Assess Your Budget and Financial Goals
Before committing to any professional development expenses, take a close look at your budget and financial priorities. I had a professor in graduate school, who told me to save at least 1-2 months of salary each year for my annual professional development.
This seemed like so much money when I was first starting out my career- and it was! The point she was trying to make (I think…) was to teach us that if you want to get good at something, you need to invest in it. And 1-2 months of salary is a big enough investment to get you serious and committed.
I wasn’t at a place in my career where I could commit that much money to my development but I did get honest with myself on how much discretionary income I had, taking into account essential expenses, savings goals, and any existing debt obligations. It wasn’t much but I had something. I evaluated the potential return on investment of each opportunity for professional development and weighed it against my financial objectives.
Lastly, I am a firm believer that while investing in your career is important, it shouldn't come at the expense of your overall financial stability. So, I never put myself in a situation where I couldn't pay my bills because of upskilling or professional development. My financial health is very intertwined with my mental health, so for me, being financially stable helps the other aspects of my identity thrive.
2. Evaluate the ROI of Each Opportunity
Like I said, you are going to have to get intentional with what you are and are not spending money on. Not all professional development opportunities are created equal in terms of their potential return on investment (ROI). Some certifications or training programs may offer clear pathways to career advancement, higher salaries, or increased job opportunities, while others may provide more intangible benefits such as personal growth or expanded skill sets.
Be critical when you are evaluating the ROI of each opportunity by considering factors such as the cost of the program, the time and effort required to complete it, and the potential benefits to your career prospects. Prioritize investments that offer the greatest value relative to their cost.
3. Consider Alternative Learning Options
In today's digital age, there are plenty of affordable or even free learning options available online. Platforms like Coursera, Udemy, and LinkedIn Learning offer a wide range of courses and microcredentialing programs at a fraction of the cost of traditional classroom-based training. When I started out my career, I went to my local library and accessed LinkedIn Learning for free through them just by simply having a library card.
Additionally, many professional associations and industry organizations provide webinars, workshops, and other resources to support ongoing learning and development within their respective fields.These are either free or low cost so even though you might not be able to afford a full blown credential or attend a national conference, exploring these alternative options as cost-effective alternatives to more expensive activities still keeps you in a place to professional develop.
4. Leverage Employer Resources
I am in the education industry and while our salaries are lower than other industries, our benefits are very good. Many employers offer reimbursement or sponsorship programs to support their employees' professional development initiatives. Check with your HR department to see if your company has any policies or programs in place to help cover the cost of training, certifications, or microcredentialing. Taking advantage of these employer-sponsored opportunities can significantly reduce your out-of-pocket expenses and make investing in your career more financially feasible. It’s free money on the table, take advantage of it!
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5. Prioritize High-Impact Investments
When faced with multiple professional development opportunities, prioritize investments that align with your long-term career goals and have the potential to make a significant impact on your professional growth. If you aren’t sure of your goals, check out my recent article on Doing Self-Assessment With ChatGPT To Make Informed Decisions About Your Job Search and Career Development.
Focus on acquiring skills or credentials that are in high demand within your industry or desired field, as these are more likely to pay off in terms of career advancement and earning potential. My best advice to you is to avoid spreading yourself too thin by pursuing too many credentials or training programs simultaneously. Sometimes too much of a good thing is a bad thing. Instead, concentrate your resources on a select few that offer the greatest value and relevance to your career trajectory.
6. Seek Free Guidance from Mentors and Peers
Don't hesitate to seek free advice and guidance from mentors, colleagues, or industry peers who have experience navigating the world you are in. They can offer valuable insights and recommendations based on their own experiences and help you avoid common pitfalls or costly mistakes. Engage in free networking opportunities, attend free industry events, and participate in free online forums or communities to connect with professionals who can provide guidance and support as you navigate your own career development journey.
Final Thoughts…
At the end of the day, you need to do what is right for you holistically, professionally and financially. Determining how much to spend on professional development and microcredentialing requires careful consideration of your budget, financial goals, and career aspirations. And remember, if all you can afford is free options right now, that is ok too! Now is the time to get creative on how you move forward with no funds to invest and if jumping on YouTube to learn a new skill is where you are in life, own it and invest your time and energy, which are arguably the most important commodity we have to offer.
Additional Readings:
Signs You’re On The Wrong Career Path (And What To Do About It)
How To Future-Proof Your Career With Upskilling and Microcredentialing
Optimize Your Resume With ChatGPT Using These Simple Prompts
Meet The Writer!
Hi! My name is Nadia Ibrahim-Taney and I help people design happy and fulfilling careers through authentic career coaching. My expertise includes career exploration guidance, resume writing, interview prep and LinkedIn profile optimization. My pronouns are She/ Her/ Hers and as a member of the LGBTQ+ community, I focus on how diverse identities impact and influence folks holistically and professionally. Please connect with me on LinkedIn or at Nadia@beyonddiscoverycoaching.com
