Career breaks are slowly gaining popularity and becoming more widely accepted as more people prioritise their well-being, mental health, and life outside of work. Even with remote work options, traditional jobs still lack the flexibility to structure your day exactly as you wish, making career breaks an appealing opportunity to regain control over your time.

Fortunately, some companies offer career break or sabbatical policies, allowing you to take time off while retaining your employment, ensuring you have a place to return to once your break ends. Alternatively, you might choose to resign altogether and step directly into the unknown.

Regardless of the approach, it’s important to reflect on your circumstances and determine whether a career break is the right move for you, as well as the key signs that indicate you might be ready for one. Let’s explore that below.

Confidence in Meeting Your Financial Obligations

Before finalising your decision to take a career break, you should first assess your financial situation, as the last thing you want is to jeopardise your stability. Trading job-related stress for financial stress is not the goal here.

A key indicator that you might be ready for a career break is your ability to comfortably meet financial obligations, such as mortgage or rent, monthly bills, car expenses (fuel, tax, insurance, MOT, servicing), groceries, childcare, and additional spending on household repairs, replacements, or personal treats, throughout your break. This ensures you won’t find yourself in financial panic or at risk of losing what you’ve worked hard for, like your home or car.

Additionally, be mindful of the rising cost of living, which can easily exceed your planned budget expectations.

Achieving Your Medium-Term Financial Goals

A career break will inevitably impact your financial goals, so it’s crucial to assess whether now is the right time to pause your savings and potentially draw from them. Medium-term financial goals, such as saving for a mortgage deposit (if homeownership is your goal), a new car, an emergency fund, or future investments, can take years to build but may deplete within months when stepping away from work and your primary source of income. Before making the decision, ensure you’re fully prepared to take that financial hit.

The ideal approach is to continue working toward your medium-term financial goals while also setting aside a dedicated sum specifically for your career break. Additionally, it’s wise to factor in unforeseen circumstances, such as an extended job search if you won’t be returning to your previous role. By planning ahead, you can maintain financial stability, avoid the stress of rebuilding savings over several years, and seamlessly pick up where you left off, allowing you to focus on turning major goals like homeownership or purchasing a new car into reality after your break ends.

A Solid Plan for the Future

What is motivating your decision to take a career break? What do you hope to gain from the experience? Ideally, you’ll have a solid plan, or at least a clear idea, of how you intend to spend your time so that it feels meaningful rather than wasted. Are you looking to pick up a new hobby, travel, learn a skill, work on a personal project, or start a business?

Whatever your goals, it’s important to map out what you’ll need in advance and account for additional costs. Will you need equipment for that new hobby? Have you factored travel expenses into your financial planning? Is there a cost attached to learning a new skill? How much have you set aside to invest in your business idea?

Avoid unexpected financial strain by thinking ahead. Build a plan, assess all financial implications, and ensure it aligns with your long-term financial stability.

Comfortable with Uncertainty

When taking a career break, you’ll need to be comfortable with uncertainty and prepared for the unexpected. Life outside traditional employment can be unpredictable, and you may experience more ups and downs than you’re used to, but if you stick to your plan, it will all be worth it.

Try to embrace the unknown and see it as part of the journey. Having your finances in order will provide reassurance and help you navigate any uncertainties with confidence.

Maximising Career Opportunities to Date

The best time for a career break is after building a strong professional network and advancing your career to a level where your experience is highly regarded in your industry, ensuring a solid foundation to fall back on if needed.

Lastly, it’s important to consider your emotional readiness for a career break, as stepping away from a job that once defined you can bring a sense of lost identity. But remember, you are more than your career, and there are countless ways to express yourself beyond work.

Fear may creep in once you take the leap, but that’s completely normal and expected. You’re stepping into a new experience that not everyone can relate to, and with that comes a level of unpredictability. Having a strong support system, whether it’s family, friends, or a trusted advisor, can make all the difference.

And if you feel like you don’t have that support, don’t worry! Join The For Lifestyle Change community, and we’ll be here to support you. Comment below if you’re considering a career break this year!

Avoiding financial pitfalls is just as important as planning your career break wisely. Check out my post on avoiding money mistakes here.