Workers in the U.S. left 169 million paid unused vacation days in 2013 according to an article on Forbes.
That’s $52.4 billion in unused vacation days that workers won’t get back, or about $504 per worker. This is due to how most vacation policies don’t allow for rollover vacation days.
Another interesting statistic I found – According to Skift, 42% of Americans didn’t take any paid vacation days in the year of 2014.
These are all scary statistics to think about because workers in the United States already work far more than the average person in most other countries around the globe. Coupled with the fact that workers in the U.S. also receive fewer vacation days in the first place than those in many other countries, this is something that needs to be changed.
Sadly, I was often guilty of these same things, though, back when I had my day job. I would often leave at least a few days at the end of each year just because I was afraid that by taking all of them that it would look like I hated my job or that I was taking advantage of the company’s vacation policy.
How dumb was it of me to think like that, though?! I could have taken much more vacation time and probably would have been much happier.
I know many have unused vacation days year after year as well, too. There are many problems with this, though. Below are several reasons for why workers should stop leaving unused vacation days at the end of the year.
You deserve the vacation time.
You were given the vacation days you have for a reason – because you deserve them!
A company has a vacation policy for a reason – so that employees can take time off occasionally because it is often what is best for both the company and the employee.
By not taking all of the vacation days you are given, you are actually throwing money away since you are technically working for free on those days.
I recommend you add up how many days you are throwing away and how much you would have been paid on those days. That’s how much money you are throwing away!
You most likely aren’t jeopardizing your career.
According to a report published by Oxford Economics, employees who had unused vacation days were not more likely to receive raises or bonuses, which is a reason for why many workers leave unused vacation days on the table.
According to this report, it was actually the exact opposite – those who left many days on the table were actually less likely to receive a bonus than those who took all of their paid vacation days.
You don’t have to go broke taking time off.
One reason many workers give for why they don’t take all of their vacation days is because they don’t think they can afford to go anywhere.
Well, whoever said that you had to go somewhere when you take a vacation day?! There is no weird vacation policy rule that says you must leave your city in order to take your vacation days.
Instead of spending a ton of money, you could take a staycation instead. Enjoy the city you live in or even just stay at home and just relax. There is nothing wrong with that.
Or, you could churn credit cards so that you can go on very cheap or even free vacations.
Related article: How I’ve Earned Over $2,500 In Credit Card Rewards in 2015
You’ll perform better at work.
Those who take their vacation days are often more motivated, refreshed, more creative, and so on after a vacation.
Your brain needs a break every now and then and some time off can help you do that.
Related article: How To Stay Motivated And Become Successful
You’re hurting your health by leaving unused vacation days.
By working all the time and taking no vacation days, you are hurting your health. You are more likely to be sick, have heart disease, be depressed, be unfit, and more.
Taking all of your vacation days can help improve your health, plus you can have fun, so why not start taking all of your vacation days?
Have you ever left unused vacation days on the table? Why or why not? What’s your company’s vacation policy?
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Where I work, (Canada Post) if we don’t take our vacation days, they are paid out to us at the end of the fiscal year. Taxes are taken out of this as well when it is paid out to you. We are encouraged to use up our vacation days and personal days. We used to have sick days but they changed that a few years back, probably because of abuse. I am not run off my feet on my job, but it is good to be able to take a few days off. The personal days we have now can be used for anything; doctor appointments, sick days, or a I think I’ll take this day off to relax day. I will have been at my job full time for seven years in November. When that time comes I will have four weeks vacation days and seven personal days to use during the year. I would be crazy not to take some of this time off!!
Wow that’s a nice vacation package you have. Awesome!
I know right!! It seems even better when I write it down on paper . LOL. If you ever hear me complain about my job, I’m just being sarcastic. I live in a VERY rural area in Newfoundland and the post office I work at is in the basement of my house, so I have zero commute time. My hours were cut back last fall to just 21 hours a week. When I finish work for the day, that’s it until the next day. And, I’m not opened on weekends. I have been reading your blog for awhile now and I like the info you have on starting a blog. I really have no excuse not to start one. Right!!!
Yes, start one!
If you can’t get paid for your unused vacation days, it’s still to not take them. It’s nice to be forced into breaks by my teaching schedule. Though, another big issue is people taking a vacation day and not actually taking a break from work. It really speaks to our mentality as a country, I think.
I agree!
I completely agree that you should take all of your vacation time to recharge. The only way I can see this hurting you is if you are in a consulting/professional field where taking time off will affect your billable or availability ratio which may be used as a factor in your promotion. Even holidays count towards some of my friends’ billabilities and availabilities for the year. Weird, huh?
Yes, weird!
I never left unused vacation days when I worked f/t – unless they rolled over, or were paid out. I think of benefits, like vacation, as part of a compensation package that employees are entitled to. I wouldn’t not use other benefits, like health insurance or sick days, so why not use the full set of benefits? And you’re so right that breaks are important for mental and physical health!
Good job!
It’s really hard when you have PTO instead of vacation. Our PTO days weren’t just vacation; they were sick days and our kid’s sick days too. We would save some in case anyone got sick, but then end up having extra days in December that we couldn’t use. It sucked!
Yes, that always stinks!
Yes, PTO has its benefits and drawbacks versus a separation of paid vacation days and sick days (and sometimes personal days or floating holidays). PTO is great if you hardly need to take a sick day (since you typically receive more days off in total), but like you said you need to save a few for personal and family reasons.
Holly, can you share if your company allows you to get paid for or roll-over extra PTO days at the end of the year? Every employer is different so I always like to ask the question to better understand the common practices and differences between jobs. Losing a paid day off with no option to take it in the new year would be very unfortunate, so I hope that is not the case for you.
I am totally guilty of this, Michelle. At my old job, I only took a full week off once in seven years. I know, right? I was constantly burned out and I know I wasn’t doing my best work. Fortunately, my new job encourages us to take our 20 paid days off (plus holidays!)
One week in seven years is crazy!
I’ve recently discovered that I’ve been at my job long enough to collect PTO without having to do much. it accrues so quickly, I don’t know what to do with it. Staycations sound like a great idea, though.
Yes, take a staycation!
Wow that is great that they paid you!
I recently returned to work from an extended maternity leave. One of the best decisions that I’ve ever made was to take some extra time with my kids. I would never have that opportunity again, as they get a little older every day. When I did return, I was recharged and emotionally prepared to spend days without my little ones. I lost some pay, but it didn’t seem to affect my career in any significant way. Although, it doesn’t really matter now that I’m on the track to financial semi-independence. I think that everyone would benefit not just from using vacation days, but they should be able to take a short sabbatical from work every few years.
Yes!
I agree. If your company gives you the time off but then frowns on you using it, I would suggest that you consider going somewhere else to work. A company should value you as a person, not just as an employee, and if they don’t realize the benefits that you get from using your time off, then I would give serious consideration to looking for a company that does.
Yes, I agree!
The trap I have fallen into when taking vacation is that the vacation is always go,go, go and that leaves me feeling more tired and exhausted than I was prior. Needing to take a vacation from your vacation is never a good thing. I’ve vowed to use my vacation days for relaxing endeavors going forward.
Yes, I know exactly what you mean.
Great points here! Vacation days are there for you – you don’t need to waste them. Thanks for sharing!
Thanks!
I usually save a few vacation days just in case I have an emergency, or I’ll save my personal days if I don’t need to use them. But when December comes around I make sure to use them around Christmas or New Year’s so that I have zero left. We’re also able to carry 3 days over to the next year, so I did that one year when I was planning a vacation in March.
I’ve overheard people in my office saying how they have a week left of vacation that they aren’t going to use…I’ll gladly take it off their hands then!
A week is too much!
I make sure I use up all my vacation days each year but often, the two weeks I get is not enough. I was given one extra day added on to what I have so I try to make the most of what I have. At my job we also get almost every holiday off and our birthday so it’s a great time for me to relax and recharge, or most likely freelance more 🙂
A birthday day off is nice!
Until this year, I’ve only had 2 weeks of vacation each year and you can bet I take every last bit of that (plus sometimes some unpaid time too!). I always feel like I come back from vacation and am more productive than when I left, so really I think it is a good investment. The biggest challenge is a work environment where vacation time is not fully used, and you feel like a slacker for taking your vacation.
It is a good investment!