Key findings:

80% of respondents indicate the state of the economy is impacting their decision-making when it comes to taking time off this summer
37% of respondents are taking less time off this year than last year
60% of respondents are not planning to take any time off at all
86% of the respondents stated that an extra $300 to $500 would allow them to either take time off, extend their time off, or do more with their time off

Summer should mean relaxation and rejuvenation with sun-soaked beaches or a cozy backyard vacation — or maybe both! However, this year's economic uncertainty and inflationary pressures are affecting how many American workers, particularly self-employed, part-time, and freelancers, are approaching their summer time-off plans.

At Stride, we've delved into the aspirations and concerns of our community through a recent survey, uncovering how economic realities influence their time-off plans and saving strategies for the summer. See what we found, and learn how to maximize your downtime in these challenging times.

The economic landscape is impacting time-off plans.

Our findings reveal a stark reality: The majority of American workers acknowledged that economic conditions are influencing their summer time-off plans.

While summer typically conjures images of carefree days off, with grim headlines advertising a deep lack of confidence in the government, widespread concerns around economic inflation, a cooling labor market, and rising unemployment, it's understandable that 37 percent of workers are reducing their time off compared to last year. And a striking 60 percent of respondents have decided against taking any time off at all.

The undeniable importance of taking time off

For the 40 percent of respondents that are still eager to mark their calendars, here's a breakdown of how the individuals are planning on some time off this summer.

The range of days they plan to dedicate to rest and recreation:

Short breaks: 13% of participants plan to take one to three days off.
Moderate breaks: 26% of participants are planning for four to six days off.
Standard vacation: The largest group, 34%, is planning to take off for anywhere between a week to 10 days.
Extended vacation: 27% of respondents are aiming for more than 10 days of time off, indicating a participant preference for longer breaks in general.

Research shows that time off from work can lead to improved mental health, increased productivity upon return, and a greater sense of wellbeing. The range of preferences for spending time off this summer:

Staycations: 43% of participants are planning to spend their time off at home, enjoying a relaxing staycation.
Local exploration: 38% aim to explore cities within their own state, discovering local attractions and experiences.
Domestic travel: 44% are looking to travel within the country, but leaving for different states, seeking new adventures beyond their local areas.
International travel: 16% of the respondents are planning international trips to expand their horizons abroad.

Family time is a priority

After years of social distancing and remote work, many are now prioritizing spending quality time with loved ones. This perhaps reflects a broader societal trend towards valuing personal relationships over material gains, especially during periods of financial strain.

Case in point, among those planning time off, family emerges as a central theme. A significant 76 percent of respondents who are taking breaks intend to spend them with family members, and 58 percent of respondents indicate mental health and rest and recharge as another top reason for taking time off.

Strategies for making time off possible

Time away from daily work stresses not only rejuvenates the mind, but also strengthens bonds with loved ones. Recognizing the importance of taking time off is one thing, but aligning financial resources to make it possible is another challenge altogether. According to the survey results:

51% are tightening their budgets to fund their vacations.
59% started saving either last year or earlier this year.
31% are supplementing their vacation funds by working extra hours.

Considering the varied financial preparations for vacations, many individuals are not just saving minimal amounts for their vacations:

20% of respondents budgeted between $250 to $500.
37% of the participants are setting aside $500 or more.
A substantial 25% are budgeting more than $1,500 for their time off.

Respondents shared a variety of strategies for financing their time off this summer:

Savings: 42% have put aside money in a savings account specifically for their vacation expenses.
Main account: 38% estimate that they already have enough money in their main account to cover their vacation costs.
Budgeting: 31% are creating an estimated budget to manage their vacation spending.
Credit card rewards: 10% plan to leverage credit card reward points to help pay for travel.
Credit card usage: 22% intend to put their vacation expenses on their credit card.

When asked if access to an additional $300 to $500 would impact time off decision-making for respondents, more than 29 percent stated that they would allocate it towards taking time off, 22 percent would use it to extend the duration of their vacation, and more than 35 percent would expand their leisure activities during their established downtime.

Here are additional ideas for generating funds for summer time off.

Freelancing or gig work: Have a skill? Check out one of the many project work platforms available online — like Upwork, Freelancer, or Fiverr — to find opportunities to pad your budget.
Selling unused items: Unclutter your space and refresh, using platforms like eBay, Craigslist, DePop, or Facebook Marketplace to sell goods fast and efficiently.
Renting out assets: Take advantage of that extra room, home, car, or other valuable asset when they aren’t in use, and rent them out using platforms like Airbnb and Turo, and earn money from existing property.
Cashback and reward programs: Learning how to effectively leverage financial savings apps like Rakuten, Honey, and Ibotta can help turn regular shopping expenses into savings.
DIY crafts and products: For creatives, making and selling homemade goods on popular platforms like Etsy can be a simple, lucrative way to generate extra income on the side.
Tutoring or teaching: For those with a certain level of knowledge or expertise on a topic, websites like Tutor.com or Teachable allow individuals to connect with students or offer courses online for additional income.

Methodology

In June 2024, Stride conducted a week-long survey of its members to learn about their time off planning and preferences amidst the current economic landscape. The survey was designed to understand the impact of economic factors on members’ decisions to take time off during the summer. As a result, 662 U.S. workers aged 18 and above responded. The respondent pool encompasses part-time W-2 employees and full- and part-time independent workers (1099) workers. The survey was distributed via SurveyMonkey and the responses were collected to derive percentages for various answers.

Survey Shows Economic Uncertainty Impacts Time Off — Here's How to Still Take Vacation