First Own your Failures, Then Own your Success
March 31, 2021
By Matt Miner, MBA, CFP®
“Why’d you leave the equipment industry?” is a question I hear from time-to-time. For the first time ever, here’s the story of my big failure in four parts:
1. I ignored my gut as I made a life-altering decision.
2. I adopted hope as my strategy – hope it would work out, hope the organization’s culture would change, hope the business results would change.
3. I failed to take positive action at the earliest possible moment to address the problem. I waited to be acted on by events.
4. I failed to deliver the results the business wanted.
It was the interview with Nick Palmisciano and Albert Chou that prompted me to tell this story publicly for the first time.
IGNORING MY GUT
Let me give you the setup. 2012 was a banner year. I enjoyed solid success in my work, and I loved life in North Louisiana. The big trade-off at that time was being subject to frequent relocation to places we did not prefer to live, which is a pretty big piece of your life to sacrifice on the altar of a corporate career.
Coming out of business school, Charity and I made the decision to give up control over our location in order to grow my managerial experiences. After ten years we would find an off-ramp to an executive position with a private company where I’d have PnL responsibility. The company would have to be located in Raleigh or Tucson, two places with people we love.
In January 2013 I received a call to discuss a new role as general sales manager for a large ag equipment dealer in North Carolina. The role under consideration was almost exactly what we’d said was our goal. It made total sense to take a careful look. Here was an opportunity, five years earlier than anticipated.
I met with the search consultant, and he was enthusiastic. He put me in touch with the then-CEO and we shared our first phone call on the Bluetooth speaker as Charity and I drove to a date-night supper at Restaurant Cotton in downtown Monroe, LA. The call went well. I hung up and we looked and each other and said, “This could be it!” So far, so good.
I flew to Raleigh and met with the company, including the CEO, other managers, and two members of its board. Through that visit, I developed a creeping sense that my personal values might be in tension with the organization’s values, but I wasn’t ready to give up yet. On paper, this was a dream job.
I determined that if I could negotiate the comp I wanted, I was gonna swing at this pitch.
We completed a detailed, careful negotiation of my contract. They got a solid hire, and I had an agreement I was thrilled with.
And here was my first failure. I ignored my gut – that I was not a cultural fit for this organization. I allowed myself to be led by the nose when I got the money I asked for. That’s key takeaway number 1: Trust your gut, regardless of the money.
HOPE AS A STRATEGY
I went to work with the dealership in June 2013. Early days on the job confirmed what my gut already told me: I didn’t fit with this organization’s culture. However, it was boom times in the industry and everyone was making a pile of money. I finished my first several months on the job riding the coattails of a successful 2013. My annual review was very favorable.
In 2014, the dealership again posted record results and my comp plan delivered the dollars I craved. My 2014 annual review was the most complimentary I’d ever received. The Miners cleared the student loans and saw our net worth accelerate at this time.
Also in 2014, the ag equipment industry entered a massive downturn and my employment contract expired. I was an employee at-will.
Although this job ticked some major boxes for myself and family, I quickly saw I would have to remain hopeful for other checked boxes. I hoped the organization would change to accommodate my personality and strengths. I hoped the ag industry would take an upturn and a return to growth would make everyone happier. I hoped I’d come to love the job, even though the role became more painful, not less.
FAILURE TO ACT
Something else happened at this time too. I became 100% persuaded I was with the wrong firm (and maybe the wrong industry) based on personality, job expectations, and fit. With my contract lapsed, I was free to leave anytime.
Nevertheless, I stayed for three-and-a-half more years. I was working a ton of hours in a place I didn’t fit and couldn’t make the contribution they required. This was an unconscionable use of their resources and my life.
As the industry crashed so did my comp. Soon I was earning less than what I’d left to take the new job – something that had never happened to me before.
I was not a happy man during this period. I was reading Mr Money Mustache, listening to Radical Personal Finance, and writing about life and money topics at Design Independence. I attended FinCon at my own expense, using precious vacation days.
I was an executive in one industry, yet I was putting all my mental and emotional energy into learning about personal finance and financial planning. And I failed to take decisive action to make change in the task where I spent the largest part of my time! What was I thinking?
My first failure was not trusting my gut – a failure of judgment. My second failure was making hope my strategy. My third failure was failing to take positive action to make change, thereby persisting in a failed decision for a long time after I knew change was needed. This was a failure of will.
FAILURE TO DELIEVER
My fourth failure was not delivering the business results needed by the organization. It’s this last failure Nick’s words nudged me to acknowledge, and what motivated me to tell this story.
There were successes along the way or I never would have remained on the payroll almost five years, but I want to set the record straight in my own mind: There were many reasons this particular job didn’t work out. But the critical failure in the business’s eyes was not delivering the results they hired me for.
Here’s a truth you can take to the bank: Things that can’t go on forever eventually stop.
On April 13th, 2018, in management guru Jim Collins’s words, I was “ejected like a virus.” I met with the CEO and new COO and received news many corporate employees receive at some point in their careers: The firm was going through a big merger and I would no longer be general sales manager.
Getting fired landed like a punch in the gut.
I drove home and told my wife my news. She responded with a spirited declaration of support for me, expression of confidence for our future, and relief on behalf of our family. Charity is the best.
I explained what was going on to my children. The possibility of such a change was news to them. What would happen to us? I was glad to be able to tell them that because of careful planning and saving, nothing would happen to us. I just wouldn’t work at the old place any more.
That evening was an emotional low point in a trajectory begun when my dad died in 2013 just as I made the work change I’ve described on this show. From 2013 to 2018, I did this job for five years until the unceremonious conclusion of my tenure there. These experiences made me much more sympathetic and understanding of others going through suffering, and I am incredibly grateful for that result. They also marked the end of my naïve expectations that everything I tried was likely to go well. I’ve adopted a more circumspect and cautious outlook over the last half-dozen years.
But the best thing about Friday April 13th, 2018 is all that’s happened since.
MOVING FORWARD FROM THE LAYOFF
I’d been trail running with Josh Self, owner of PLC Wealth, for about a year by this time, and Josh, Mike, and I had already discussed the possibility of getting together. Though Josh did not plan to hire me in 2018, by God’s grace he was open to re-thinking his timescale. I started with PLC Wealth as a brand new wealth planner on June 3rd, 2018.
I felt like I’d finally come home. I began serving clients immediately. I completed my series 65 securities license in summer 2018 and earned my CFP marks toward the end of 2019. In 2020 business has grown rapidly. I also launched the podcast.
Sometimes Charity asks me, “Do you ever think about the fact that you get to go to work every day and do exactly what you love?” The answer is yes! And nearly three years into this career, I couldn’t be happier.
There’s lots more that could be said about the conservative financial plan our family had in place before my layoff that enabled such a smooth transition through a drastic career change. And I could tell you about feeling awkward starting a new thing at age 38 with many of by b-school colleagues hitting their stride with promotions to director, VP, and in some cases to the very highest levels of companies.
For today, I want to bring the focus back to things you must have in place before your layoff, and things to do in the immediate aftermath of the event that may help.
BEFORE THE LAYOFF
You’ve got to keep your professional relationships fresh so when you get in touch with your network to let them know you’re available they don’t think of you as a fair weather friend.
It’s imperative you put your big emergency fund in place asap.
You need the right amount of privately owned life and disability policies. Without your former income, you won’t be able to qualify for these insurances during a layoff period, and if your new job doesn’t pay as much as the old one, you won’t qualify for as high of coverage later, either.
KEEP A COOL HEAD, AND DON’T BURN BRIDGES
1. Seek advice from a mentor, trusted advisor, and corporate or employment attorney.
2. Negotiate any severance offer you receive. If you don’t receive a severance offer, request one. The severance offer may give you some opportunities for tax planning via income timing. Take advantage of any available planning opportunity.
3. Make sure you understand all the HR paperwork related to benefits you’ll leave behind, especially health insurance, but also your 401(k) or other pension plan.
AFTER THE LAYOFF
1. Consider claiming unemployment (I never did this).
2. Make appropriate emergency adjustments to your budget.
3. Get new or COBRA health insurance in place.
4. Take a little time – one or two weeks – to get your feet under you and recover your emotional equilibrium. Then bring massive energy, focus, and enthusiasm to your job search until you get the next thing lined up.
5. Don’t be afraid to consult part time during any unemployed period.
6. You’re not too good to side hustle for income – being busy helps mentally and emotionally, and income never hurts.
7. Get exercise, sleep, and good nutrition!
With this plan in place, you’ll be on the road to your new, better gig in short order. I wish you all the best!
TRANSCRIPT
[music]
[00:00:02] Matt Miner: This is lucky Episode 13, and was prompted by Nick Palmisciano's words last week. "If you don't embrace your failures, you can never own your success."
Hey, and welcome to the Work Pants Finance podcast. I'm Matt Miner, your money guide. Work Pants Finance is the show for MBAs, entrepreneurs, and other professionals who want their financial plan to work as hard as they do.
[music]
Now, here's your money guide quick tip. Last week, Nick referenced stoic philosopher, Marcus Aurelius. Today, I go back only as far as the Enlightenment, when Voltaire said, "Who is so wise as to learn from the experience of others." This episode's your big chance to learn from a time when I went splat. It's called First Own Your Failures, Then Own Your Success. You can read more at workpantsfinance.com/13.
I had a big fail once. I don't mean to imply that I've only failed once; that's pretty much of a daily occurrence. But as it relates to life and money, one circumstance stands out from the rest as a failure. Today, I tell that story of one failure in four parts on my part. First, I ignored my gut as I made a life-altering decision. Second, I made hope my strategy, hope it would work out, hope the organization's culture would change, hope the business results would improve. Third, I failed to take positive action at the earliest possible moment to address the problem. I waited to be acted on by events. Fourth, I failed to deliver the results that the organization wanted. Now, let me give you the setup. 2012 was a banner year.
I'd enjoyed solid success in my work, and I love my life in North Louisiana. The big trade-off in my world at that time was being subject to frequent relocation to places we did not necessarily prefer to live, which is a pretty big piece of your life to sacrifice on the altar of a corporate career. Charity and I made the decision coming out of business school to trade away control over place for no more than 10 years in order to grow my managerial experiences.
Then we'd find an off-ramp to an executive position with a private company, right at P&L responsibility, and could work in an industry I enjoyed. The company had to be located in Raleigh or Tucson, two places that we have people we love. In January 2013, I received a call to discuss a new role as General Sales Manager for a large ag equipment dealer in North Carolina.
The role under consideration was almost exactly what we'd said was our goal. It made complete sense to take a careful look. Here was an opportunity, five or six years earlier than we'd anticipated. I met with a search consultant and he was enthusiastic. He put me in touch with the then CEO, and we shared our first phone call on the Bluetooth speaker as Charity and I drove to a date night supper at restaurant Cotton in downtown Monroe, Louisiana.
The call went well. I hung up, and Charity and I looked at each other and said, "This could be it." So far, so good. I flew to Raleigh and met with the company, including the CEO, some other managers, and two members of its board. Through that visit, I developed a creeping sense that my personal values might be in tension with the organization's values, but I wasn't ready to give up yet.
On paper, this was a dream job. I determined that if I could negotiate the comp I wanted, I was going to swing at this pitch. We completed a detailed careful negotiation in my contract. They got a solid hire, and I had an agreement I was thrilled with.
Here was my first failure. I ignored my gut that I was not a cultural fit for this organization. I allowed myself to be led by the nose when I got the money I asked for.
That's key takeaway number one, trust your gut, regardless of the money.
Well, from there, I went to work with that dealership in June 2013. Early days on the job confirmed what my gut already told me. I did not fit with this organization's culture. However, it was boom times in the industry, and everybody was making a pile of money. I finished my first several months on the job riding the coattails of a successful 2013.
My annual review was very favorable. In 2014, the dealership again posted record results, my comp plan delivered the dollars that I craved. My 2014 annual review was the most complimentary I'd ever received. The Miners cleared the student loans and saw our net worth accelerated this time. Also in 2014, the ag equipment industry entered a massive downturn and my employment contract expired.
I was now an employee at will, that meant I could leave, or they could fire me. Something else also happened at this time. I became 100% persuaded that I was with the wrong firm and maybe in the wrong industry based on personality, job expectations, and fit. With my contract lapsed, I was free to leave anytime. Despite all that, I stayed three and a half more years.
I was working a ton of hours in a place I didn't fit and couldn't make the contribution they required. This was an unconscionable use of their resources and my life. As the industry crashed, so did my comp. Soon, I was earning less than when I'd left to take a new job, something that had never happened to me before. I was not a happy guy during this period.
Here I was reading, Mr. Money Mustache, listening to Radical Personal Finance, and writing about life and money topics at Design Independence. I attended FinCon at my own expense, using precious vacation days in the effort, and yet my day job could deliver nothing but challenge and pain. I was an executive in one industry, yet I was putting all my mental and emotional energy into learning about personal finance and financial planning.
I failed to take decisive action to make change in the task where I spent the largest part of my time. What was I thinking? These were failures two and three. I made hope my strategy, and I failed to take positive action to change my circumstances. I did both of these things for a very long time. I hoped the organization would change to accommodate my personality and strengths. I hoped the ag industry would take an upturn and return to growth and would make everyone happy. I hoped I'd come to love the job, even though the role became more painful not less as the months and years passed. Even though I was investing my attention, money, and time in a completely different industry, my first failure was not trusting my gut, a failure of judgment. My second failure was making hope my strategy.
[music]
Today's show is brought to you by Diesel Jack Media. If you're interested in marketing that doesn't suck and make some people hate you, go check them out. If you missed last week's interview with founders, Nick Palmisciano and Albert Chou, go back and listen to Episode 12 of the Work Pants Finance podcast.
[music]
My third failure was failing to take positive action to make change, thereby persisting in a failed decision for a long time after a new change was needed. This was a failure of will.
My fourth failure was not delivering the business results needed by the organization. It's this last failure that Nick's words nudged me to acknowledge and that motivated me to tell this story.
Of course, there were successes along the way, or I never would have remained on the payroll almost five years. I want to set the record straight in my own mind. There were many reasons this particular job didn't work out, but the critical failure in the business's eyes was me not delivering the results they hired me for. Here's the truth you can take to the bank. Things that can't go on forever, eventually stop.
On April 13th, 2018, in management guru Jim Collins' words, I was ejected like a virus. I met with the CEO and new COO and received news many corporate employees receive at some point in their careers. The firm was going through a big merger, and I would no longer be the general sales manager. Even though going to that job caused me pain, getting fired still landed like a punch in the gut. I drove home and told my wife the news.
She responded with a spirited declaration of support for me, an expression of confidence for our family's future, and relief on behalf of our family's schedule and emotional state. Charity is the best.
I explained what was going on to my children, the possibility of such a change was news to them. What would happen to us? I was glad to be able to tell them that because of careful planning and saving, nothing would happen to us. I just wouldn't work at the same place anymore.
That evening was an emotional low point. A trajectory begun when my dad died in 2013, just as I made the work change that I've recounted on this show. From 2013 to 2018, I did this job for five years until the unceremonious conclusion of my tenure there.
These experiences made me much more sympathetic and understanding of others going through suffering, and I'm incredibly grateful for that result.
They also marked the end of my naive expectations that everything I tried was likely to go well for the reason that I was the one trying it. I've adopted a more circumspect and cautious outlook for the past half dozen years.
The best thing about Friday, April 13th, 2018, is everything that's happened since then. I'd already been trail running with Josh Self, owner of PLC Wealth for about a year by this time. Josh, Mike, and I had already discussed the possibility of getting together. Though Josh did not plan to hire me in 2018, by God's grace, he was open to rethinking his timescale and I started for PLC Wealth as a brand new wealth planner, June 3rd, 2018.
I felt like I'd finally come home. I began serving clients immediately. I completed my Series 65 securities license in summer of '18. I earned my CFP marks towards the end of 2019. In 2020, business has grown rapidly when I watched this podcast. Sometimes Charity asks me, "Do you ever think about the fact that you get to go to work every day and do exactly what you love?" The answer is yes. Two and a half years into this career, I couldn't be happier.
There's lots more that could be said about the conservative financial plan our family had in place before my layoff that enabled such a smooth transition through a drastic career change. I could tell you about feeling awkward, starting a new thing at age 38 when many of my B-School colleagues were really hitting their stride with promotions to director, VP, and in some cases, to the very highest levels of the management of companies.
I may do a show on all that some other time. For today, I want to bring the focus back to things you must have in place before your layoff, and things to do in the immediate aftermath of the event. Before the layoff, you've got to keep your professional relationships fresh, so that when you get in touch with your network to let them know you're available, they don't think of you as a fair-weather friend.
It's imperative that you put your big emergency fund in place ASAP. You also need the right amount of privately owned life and disability insurance because without your high income, you won't be able to qualify for these insurances during a layoff period. If your new job doesn't pay as much as your old one, you won't qualify for as high a coverage there either.
Now during the process of getting laid off, which by the way is terrible, keep a cool head and don't burn bridges. Seek advice from a mentor, trusted advisor, or corporate or employment attorney. Be sure to negotiate any severance that you receive. If you don't receive a severance offer, request a severance offer.
The severance offer may give you some opportunities for tax planning via income timing, offering you a lump sum payment, or a payment in two parts. Be sure to take advantage of any available planning that you can do. Make sure that you understand all the HR paperwork related to the benefits you'll leave behind, especially your health insurance, but also your 401(k) or other pension plan.
Then, after the layoff, consider claiming unemployment, something I never did, but you may want to do. Be sure to make appropriate emergency adjustments to your budget. Get your new COBRA or other health insurance in place, and then take a little time, one week, maybe two, to get your feet under you and recover your emotional equilibrium.
Then you need to bring massive energy, focus, and enthusiasm to your job search until you get the next thing lined up. Don't be afraid to consult part-time during any unemployed period. This will provide income and may put you in touch with helpful people. You're not too good to side hustle. Being busy will help in every way, and money coming in never hurts. Last but by no means least, get the exercise, sleep, and good nutrition that your body needs to be healthy.
[music]
Today's show gives you the chance to learn from a failure I caused. Key takeaways are, first, trust your gut. Second, hope is not a plan. Third, once you realize that you need a change, make the change. Fourth, results matter, intentions and obstacles don't. I was further encouraged about the importance of today's episode.
As I read Ben Horowitz's The Hard Thing About Hard Things, recommended by Steven Valencsin on this show a few weeks ago. I'll call that book an expanded dissertation on the same topics as today's show. If you want more, check it out.
[music]
This week's Flashback Friday show features the first half of my interview with Joshua Sheats. Joshua and I discuss emergency funds, disability insurance, and the journey to financial independence. Until then, this is Matt Miner, encouraging you to make a financial plan that works as hard as you do.
[music]
[00:14:05] Female Speaker: Matt Minor is a fee-only fiduciary financial advisor and founder and CEO of Miner Wealth Management, a North Carolina registered investment advisor, where Matt provides personalized, unconflicted advice to clients for a fee. He's also my dad, so please be nice when you talk to him. Matt is a certified financial planner professional and holds a Series 65 securities license.
He earned his bachelor's degree in finance from Arizona State University and his MBA from Duke University's Fuqua School of Business. Work Pants Finance is Matt's financial media business where he talks about work, entrepreneurship, kids and money, taxes, investing, and other personal finance topics. Workpantsfinance.com exists to share wisdom and provide general financial information.It is not financial tax or legal advice. If you are an individual and probably need personal advice for your specific situation, you should consider building relationships with helpful, caring, and competent professionals who understand your unique context and can provide advice that is tailored to your needs.
[00:15:00] [END OF AUDIO]