Sabbaticals, Career breaks and Mini Retirements

[thriftyc]

At 44, I am at a base level of Financial Independence on the 4% SWR.  I am not mentally ready to completely retire yet but also don't think I can last much longer in my current pressure cooker of a job.  Thinking of retraining to a lower pay and less stressful job.  Also thinking about taking a sabbatical (career break) for 2 years or so, then figure out what to do.

For those of you who quit their job to go on an extended sabbatical or career break, how did it benefit you, or hurt you?  What did you use the time for?  How did future employers react?

[undercover]

To quote yourself from another post of yours:

Good job quitting, I have quit two jobs in my life (one over 6 figures) without another to go to because I was not happy.  It's always worked out better and will for you too.

(I know that further input will most definitely be of use to you, I'm just saying that you already know the answer of what to do).

[Khan]

You might be interested in:
https://livingafi.com/2015/08/04/taking-a-gap-year/
https://forum.mrmoneymustache.com/post-fire/early-retirement-vs-serial-mini-retirements/

I'm planning to do it myself within the next 3 or so years(~33), probably around 1/2 to FI. I'm probably going to come out of it with a degree though. Check the Freakonomics podcast episode "The upside of quitting"
http://freakonomics.com/podcast/new-freakonomics-radio-podcast-the-upside-of-quitting/

[RedmondStash]

I've taken many breaks between gigs, sometimes a few months, sometimes a few years. I've never had trouble finding a new job, as long as I kept my skills current. The idea of a sabbatical is a good one; I'm about to go on a 3.5-month personal leave of absence from work, which I consider a sort of sabbatical. I think they're really good for a) seeing how well you can keep busy when you're not working, b) evaluating your actual spending when you're not working, and c) generally recharging.

It may depend on your field; I'm in IT and video games. I've always had good reasons to give for my break, like making my own video game or writing fiction or teaching myself valuable and relevant skills. But honestly, I've worried about people asking about my time off from work far more often than it has actually come up in an interview. Mostly they just want to know if you can do the job and be an asset to the company. Prove that, and you're home free.

But it doesn't hurt to have a good reason in your back pocket, just in case they do ask. "Taking concentrated time to learn new skills" generally goes over well.

[arebelspy]

At 44, I am at a base level of Financial Independence on the 4% SWR.  I am not mentally ready to completely retire yet but also don't think I can last much longer in my current pressure cooker of a job.  Thinking of retraining to a lower pay and less stressful job.  Also thinking about taking a sabbatical (career break) for 2 years or so, then figure out what to do.

For those of you who quit their job to go on an extended sabbatical or career break, how did it benefit you, or hurt you?  What did you use the time for?  How did future employers react?

You have the money.  Take a break and think about life, and what you want to do with your next 4 decades.  You have a lot to offer, but are you 100% sure your current place is the best for you?

Take a break.  :)

[ol1970]

I "retired" at 44 with a Fire multiple way over 50x on a very luxurious to me budget.  It's has absolutely changed my life and the way I look at things both personally and financially.  I've traveled the world, reconnected with fiends, gotten into the best shape of my life...and surprisingly found out that I spend about half of what I had planned for.  In short life is pretty spectacular. 

That being said, I'm most likely starting another business that most likely will be successful again, but I'm no longer doing it for the money, I'm doing it for the fun and sense of accomplishment I'll get out of it.  Do not hesitate and squander anymore time thinking about it...as Red said in Shawshank Redemption "get busy living!"

[CatamaranSailor]

I took a year off after working several high stress jobs. I was no where near FIRE, but we were debt free, had FU money and my wife was working and carried our insurance. She was absolutley fine with me taking the break (having been front row of the several near nervous breakdowns thanks to insane bosses, long work weeks and general unhappiness she was more than fine). Traveled with my son for 2 months, rode my bike and refinished our basement. Ended up walking into a great position that I really enjoy. I understand fully I gave up $100k or so in income, however I wouldn't trade those memories with my son for anything and it's a very real posiibility I'd have dropped dead of stress had I not done it.

Go for it.

[Bicycle_B]

I got fired four years ago and haven't gotten a "real" job since.  Took a while to realize I was near FI, thought I was just procrastinating because I could get away with it for the moment.  Now it feels great to realize I'm good for the next couple of decades (yes, it's easier to earn the remainder soon, I should get going... endless loop...)  Technically I need another 50k or so, or to cut about $2,000/year, and could be vulnerable to increases in US health insurance premiums.  Because I actually do procrastinate a lot and and am not completely confident, have not fully given myself the benefits.  Working on that part. 

So... maximize the pleasure in your break!  Worst case, you have 15 years to figure something out.

[arebelspy]

I got fired four years ago and haven't gotten a "real" job since.  Took a while to realize I was near FI, thought I was just procrastinating because I could get away with it for the moment.  Now it feels great to realize I'm good for the next couple of decades (yes, it's easier to earn the remainder soon, I should get going... endless loop...)  Technically I need another 50k or so, or to cut about $2,000/year, and could be vulnerable to increases in US health insurance premiums.  Because I actually do procrastinate a lot and and am not completely confident, have not fully given myself the benefits.  Working on that part. 

So... maximize the pleasure in your break!  Worst case, you have 15 years to figure something out.

Yep. And since 4% was just about the worst case historically for the US, odds are you may not need to cut or earn more at all, that a higher SWR will be fine.

Especially given we have the hindsight of those 4 years; 2013 seems like a good time to FIRE in terms of sequence of return.

[Lmoot]

I took six months off working full time (5 years at job) when I turn 30. For little other reason other than I knew I wanted to take a break when I turned 30. It was my birthday present to myself. To prepare, I rented my house out to coworkers/friends, moved in with family, then went to Africa for 2 months. Got back, continued working at my PT job at a zoo, and took on a seasonal gig as a tour guide in a tourist spot. Between the part-time job, the seasonal gig plus tips, and rental income, Not only did I not spend any savings, but I was able to add to savings.

5 months later I got offered a position (where I am now), with a month delayed start date, so I got to play hooky for an extra month. I will remember 30 fondly sigh.

 Anyhow,  I love the idea of mini sabbaticals scattered throughout my working life, vs retiring super early, so I am focusing on passive income such as rental property. Ideally by my 40th, I will be able to meet savings goals via passive income, and fund my expenses and play money via minimal active income like PT work, or seasonal gigs.

[sea]

I've taken a sabbaticals/few mini retirements which were really more of tasters. On the upside, I know now I don't have to worry at all about filling my time when I'm not doing paid work, and would love to be in your position.  On the downside, it does make working harder and giving up my time.  The last time I did, it took me longer than ever did before - 4 months - to find a job.  I had been traveling for a year, and working in a totally different industry for a year before that.  Some employers looked upon it negatively, but ultimately I really don't want to work somewhere that did.  When I was rehired back into my industry, my hiring manager told me my travels sounded super cool, wished she could do it and alluded to me getting an inheritance or something like living off one's savings was completely unimaginable.

[sokoloff]

living off one's savings was completely unimaginable.

For most people, it is unimaginable.

[Valhalla]

A friend of mine quit a nice paying job (nowhere near FIRE though), to travel the world.  After a few months got burned out on travel, and tried to get old job back.. nope.

Been jumping around a series of not-so-good paying jobs now while regretting losing the old job. I remember my friend being so jovial "sure they'll take me back.. they said they would save my spot"... and HR won't even take his calls, lol.

That's one minor data point though.  Sounds like for most people it does work out in some positive way.

[KarefulKactus15]

This whole thread was at a good time...


I too am attempting to organize a 1 year leave from my job.    If I get lucky I will be able to go out on a personal leave so its not dramatic as  handing in  a 2 week notice.


Either way I hope to decompress, finish remodeling a house Im working on and find a new job... lol 

Life is too short to be unhappy.