A mini-retirement can be a fantastic experience if you plan it well. If you’re unsure how to go about it, don’t worry. This article will guide you through the process.
Mini-retirements are becoming increasingly popular these days. Many people in the workforce feel exhausted and stressed and crave a longer break than a typical 2-week vacation. Whether you want to go backpacking, volunteer overseas, or learn a new language, these activities often require more time than your standard vacation allows.
For me, taking my first mini-retirement felt natural. After finishing university and writing my thesis, I desperately needed a break and wasn’t ready to jump into a full-time job. A year later, while working 40 hours a week, I felt the urge to take another extended break. I managed to negotiate a mini-retirement by taking unpaid leave. Here’s how you can do it too.
A mini-retirement allows you to take time off work intentionally to follow your passions, whether that’s traveling, volunteering, or starting a non-profit. Waiting until traditional retirement age to chase your dreams can mean missing out on many opportunities. That’s why I’m pursuing Financial Independence and Retire Early (FIRE). I want to enjoy life now, not just later.
Even if you’re not financially independent yet, you can still take a mini-retirement without significantly delaying your financial goals. It’s about integrating these breaks into your life to enjoy your 20s and 30s.
Start by thinking about what you want to achieve. What’s on your bucket list? Write down your goals and the reasons for your mini-retirement. Give yourself time to reflect so that your break is meaningful and aligned with your dreams, like traveling the world or learning Spanish on a Colombian beach.
For example, I took a three-month mini-retirement from September to December 2019 to travel, work on my blog, and take Spanish lessons. These activities brought me joy and fulfillment.
Budgeting is crucial for a mini-retirement. You need to know if you can afford it and how it will impact your financial goals. Most of your mini-retirement will involve unpaid leave, so planning is essential. Here’s how to create your budget:
1. Determine the length of your mini-retirement.
2. Estimate your total expenses, including accommodation, flights, transport, and food.
3. Add a 15% buffer for unexpected costs.
Having a clear budget will keep you motivated. Every time you save money by packing lunch or cooking at home, you’ll know exactly what you’re saving for. Track your progress monthly to stay on top of your finances.
When it’s time to negotiate your mini-retirement with your employer, preparation is key. Show that you’re a valuable employee and have thought through your plan. Make sure your employer is aware of your dreams before formally asking for time off.
For instance, my boss knew about my love for travel. When I formally requested a mini-retirement, I presented a well-thought-out plan, including how I would manage my work responsibilities before leaving. My boss approved my request without any issues.
Once you get the green light, go for it! Pursue your dreams unapologetically. After experiencing a mini-retirement, you’ll likely want more. It’s about spending your time intentionally, doing what brings you joy.
A mini-retirement doesn’t have to be a grand trip around the world. It can be a few months between jobs, an extended holiday, or time off to remodel your house. It’s about doing what makes you happy.
I’m on my second mini-retirement now, with many more planned. I want to travel, experience different cultures, and eventually work full-time on my own business. I’m working towards this by living on half my income, investing in passive income streams, and aiming for financial independence.
Mini-retirements help bridge the gap between your current life and financial independence. Don’t wait to chase your dreams. If they’re important to you, plan for them and make them happen now. Start with a mini-retirement of a month or two. Once you experience the benefits, you’ll never want to go back. Are you thinking about taking a mini-retirement? Have you ever taken one?