This article was reviewed by Jay Brecknell, CFP®.
If you’re the type of person who tells yourself, “I’ll start travelling when I retire,” this article is for you.
At first glance, the idea makes sense. Retirement usually means more free time, more expendable wealth, and more flexibility. But what if waiting to travel until you retire means missing out on some great travel benefits or forgoing some of the most vibrant, enriching, and energizing years to adventure?
Travel isn’t just a nicety; it’s a catalyst for growth, it can inspire goals, and give insights into better ways of living and working. When approached strategically, travelling while you are still working can be one of the smartest investments you can make.
There are plenty of senior-friendly travel opportunities for you to enjoy throughout your retirement, but we would argue that some trips should absolutely be taken when you’re younger. So, absolutely make travel part of your retirement plan, but let’s talk about why you should travel while you are still working.
The “Someday” Trap
We all have dreams we plan to get to someday, but that day doesn’t just appear on the calendar; you have to make it happen. If something matters to you, make the time, save the money, and commit to doing it.
Travelling while you’re in the midst of your career allows you to experience the world when your energy is high, your curiosity is sharp, and your opportunities are wide open. You’ll build stories, connections, and confidence that you’ll carry with you for decades. Travel doesn’t have to mean abandoning your financial goals. With a thoughtful plan, it can fit seamlessly into them.
If you need some incentive to travel sooner rather than later, here are a few things to consider:
- Travelling when you are older can actually be more expensive due to added costs such as higher insurance rates.
- Senior travel can become more complex as the need for medications, etc., becomes factors that need to be considered.
- The world is always changing. That landmark you dream of seeing may not exist by the time you are retired.
- You may not be healthy or physically fit enough to make the most of travelling in your senior years.
- Some experiences will undeniably be more fun when you’re younger.
Why Travelling During Your Working Years Makes Sense
Travelling during your working years has physical, personal, and professional benefits:
Physical: Have you ever thought of hiking Machu Picchu, climbing Everest, walking along the Great Wall of China, swimming in the ocean with dolphins, or hiking across the rolling hills of Ireland? Each one of these trips, and many more like them, requires a level of physical fitness more easily achieved when you’re younger. Retirement is great for more leisurely travels, like exploring the whiskey distilleries of Scotland, lounging on the beaches of Greece, or indulging in the delicious foods on a tour of Italy. During your 30s, 40s, and 50s, use your vacation time to do the physically demanding travel adventures on your bucket list.
Personal: Travel has the power to change you, to alter your worldview, to help you become a better person, and a more engaged global citizen. And while it is never too late to learn and grow, gaining these travel benefits when you are younger is arguably a better return on your investment than doing so when you are 70.
Professional: Taking time away to recharge your creativity and focus can boost productivity and problem-solving when you return. You can think of travel as professional development disguised as adventure.
Why It’s Smarter Financially to Travel While You Are Still Working
This might surprise you, but travelling while you’re still working can be more financially strategic than waiting for retirement. Pre-retirement travel means you are still earning an income and have the flexibility to rebuild your savings. You can offset the cost of an extravagant trip by hustling a little more to build your trip savings fund or use a year-end bonus. While mortgage payments, car payments, and other life expenses are often higher during your working years, the ability to recoup costs and earn more money actually makes it the best time to travel.
The ROI on Travel
If you’ve heard—and understood—the phrase, “you cannot pour from an empty cup,” then you likely understand why travelling during your working years is so beneficial. For those of you unfamiliar, let me elaborate. Taking some time off to do something meaningful, to refill your cup, so to speak, will help you feel more refreshed for when you return to the office.
A little time away from work to travel can help you feel more creative, more productive, and more energized. This can translate to new innovative solutions for work challenges, renewed energy for the work that lies ahead, and better earning potential due to increased productivity and efficiency. Think of it like this: travelling during your work years is an investment in your work as much as it is about fun, relaxation, and expansive experiences.
How to Financially Plan for Big Trips
It is possible to go on incredible trips without derailing your financial goals. Smart planning is the key. Your financial planner can help you establish a personalized plan, but here are a couple of tips to get you started:
- Create a dedicated travel fund: Consider travel to be an investment in your own well-being and life satisfaction, and commit to setting aside funds every month towards your dream trips. A dedicated fund can help reduce concerns or guilt about spending the money since travel is precisely what it is intended for.
- Include travel in your cash-flow predictions: planning for your trip isn’t just about saving up the money to go, but about deciding when is the best time to travel. Some months can be easier than others, depending on your cash flow throughout the year. For instance, if September is notoriously your highest earning month, but April is your slowest, planning to travel during April is the smarter move.
Financially Strategic Travel Tips
A little travel savviness can go a long way in helping you make travel more affordable during your working years. Whether it’s finding ways to stretch your budget or creating more time for adventures, here are a few ways to make travelling pre-retirement more accessible:
- Take advantage of rewards programs for hotels and airlines
- Use a credit card that offers travel rewards
- Register for alerts for flight and travel deals
- Discuss remote work options with your employer to allow you to travel without taking an income hit
The True Wealth Is Life Fulfillment
Travel isn’t a splurge or a deviation from your financial goals. If anything, travel is a crucial component of your growth plan, providing you with new perspectives, personal development, and motivation to work hard. Generating wealth and saving for retirement are important, but money without joy is meaningless. The true wealth in life is to be fulfilled, to have wonderful memories of experiences, and to truly live your life. Travel is wealth.