In our last Retirement post, entitled Is a Mini-Retirement Right For You?, we scratched the surface on the concept of a mini-retirement by defining the concept and what it might look like.
In this post, I want to dream a little and help you understand why this concept might work for you. Let's look at two possible applications.
Our first example is a committed Christian couple.
Here are the facts: let's say Kevin works in his own business and has been working in past years to outsource most elements of his business so he can work from anywhere. Laurie works a couple of part-time jobs, but has the ability to take extended time off.
They see the value in mini-vacations because 1) they believe retirement is not really biblical (see Retirement: Is it a Birthright?) and 2) they want to involve their family in mission related travel and work while their two girls are still at home.
The couple decides they would like to spend two months per year abroad. They have a friend from church who works in missions in Vietnam training pastors and lay leaders and they decide that would be an exciting place to visit and help with that mission.
The exchange rate with the U.S. dollar allows them to book extended stay accomodations for their family in Hanoi for a fraction of what it would cost here in the U.S. Kevin is careful to make sure he has a dependible internet connection either where they stay or nearby to continue to operate his web related businesses.
They arrange to rent their home out during this summer period using one of the many internet sites for this purpose. The rent offsets many of the costs of travel and lodging while away. Obviously travel costs to Vietnam for a family four is only partially offset by this rental difference. The longer the trip the more likely they can offset more of these costs. Also since they have decided to travel more often, they will be able to earn more frequent flyer miles they can use on future trips abroad.
While in vietnam, they travel some, see sights and the family assists with the pastor training going on in many locations around this country.
Our second example is a man and wife (Bob and Betty) whose kids have left for college.
Bob and Betty want to travel more and see more while they are both still healthy. Unlike our first family, this couple is not concerned about the kids traveling with them. In fact, this couple would like to be home during the summer months as this is when their children return from college.
Like our first couple, this couple decides to stay an extended period in one location per year…spending up to three months. They choose Costa Rica as their first travel location.
Again they arrange a low cost, now tourist location to stay for an extended period. Since the U.S. dollar goes far in this country, they are able to stay for a fraction of the rental dollars they receive by renting their home in Salt Lake City, Utah.
This leaves them with very manageable costs for transportation to and from San Jose, Costa Rica.
Next year, they plan to stay in the country of Panama.
Well you get the idea. If you think outside the box this concept can work. I didn't attempt to find actual rental values or run the numbers for you today (maybe in the future), however it is possible to do this and many Americans are already using this concept today.
My wife and family are exploring this same concept with the goal of traveling next summer.
So what are your thoughts? Has anyone experienced a mini-retirement already?