Okay, let’s get real. Career break is that unicorn that belongs only to rich celebrities or retired people. You are probably drowning in your student loan payments dreaming of a vacation in Kyoto or Patagonia. It is impossible right now. But don’t worry. It is not.
Here is what you can do financially speaking: if you stop drinking expensive coffee every morning, you will be able to save even more. Of course, I would never advise you to skip your favorite lattes in order to quit your job. No, you should eliminate those subscriptions. Unsubscribe from all those applications that make you feel guilty about spending money on them. They are Netflix, Hulu, Spotify, and the meditation app you downloaded once. After unsubscribing from all these applications, you will be surprised how much money you will free up. 💸
And here comes that boring but important part: you need to have a budget. Trust me; it is extremely difficult to achieve your goals if you do not see them. Get some app like YNAB or Mint that tracks every dollar you have. Think about your savings goal as the most important bill – it is due on the first day of each month. And the best way to pay it is to transfer money to your savings before paying any other bill. It will be hard at first, but then you will understand how entertaining it is to see your money grow. 🎯
Here comes the dreaded “D” word – debt. Debt is what keeps you chained and what prevents you from having a career break right now. First of all, you need to reduce your debt. High interest rate on the credit card is one of the biggest obstacles to a vacation on the beach in the future. Refinancing and debt consolidation may help, but in order to achieve this goal you need to have good credit rating. It is not fun but necessary step.
Second of all, you need to earn more money. It is an obvious statement but it is the key to many other things in life. Nine to five jobs won’t give you enough money to travel around the world, so you need to find other sources of income. Freelance writing, tutoring, or selling books on eBay will help you earn additional money. Every additional hundred dollars go straight into your “Freedom Fund”. You sacrifice your time now for future freedom. 🤑
Besides, you need to open a special high-yield savings account. Don’t place your money in the checking account from which it is easy to spend them on concert tickets. Marcus by Goldman Sachs or Ally Bank can offer you a pretty good interest rate. Call this account something motivating – “Quit the Rat Race” or “Operation Chill Out”. Visualization works!
Another thing you need to think of is the cost of your break. Will you travel or stay at home? In case of the former, look for the flights immediately and track the prices on Google Flights – they change drastically. In the latter case, you need to calculate the cost of rent and groceries during your break period and add 15% buffer to the final sum. You don’t want to find yourself broke in two months of break begging for your job back.
Finally, you need to choose the month and the year you are going to have a break. Write it on your fridge. Dreams without deadlines are just wishes. You are old enough to profit from such experience but young enough to afford it. Don’t wait for the perfect moment – it won’t come. Start saving right now. You will thank yourself later. ✌️