I listen to the Dave Ramsey show, because I enjoy listening to people who are on their way out of debt or who have crossed the finish line. But sometimes people call in with other financial questions as well. One that always amazes me is “Should I take a buyout?”.

People call up after being offered $100,000+ to stop working at the place they work at, and they’re not sure what to do. I just don’t get it, because to me it’s a no brainer. I guess there might be extenuating circumstances, but…

I feel like if someone wants to PAY you to leave, then clearly they need to reduce their staff. Clearly they are also giving you a pretty hefty hint that staff reductions are in the immediate future.

So why not go now, with money rather than waiting around to potentially be laid off without a cent? (Severance is not a requirement, unless there is some type of contract or law in place that says otherwise.)

Better to leave on your own terms than on someone else’s. Better to leave ahead of the crowd. Better to leave with cash and (possibly) extended benefits. Better to leave and move on to a new opportunity, either on your own or elsewhere.

Maybe it’s just me, but I can’t think of a single downside to taking a buyout, with the exception of being someone who would be uninsurable without a full time job.

Am I missing something?