You will find the word workation in job ads, travel offers and company policies, but people mean quite different things by it. Sometimes it is a team trip with laptops, sometimes a month alone in Lisbon, sometimes an organised retreat with coworking and yoga. This guide explains what the term means, which forms exist and what to check before you leave. The legal side is only outlined here, with a German perspective; tax, social security and visas each have their own guide, and the details always depend on your individual case.
Workation meaning and where the word comes from
Workation is a blend of work and vacation. The German Duden dictionary, which lists it as a loanword, defines it as a combination of location-independent paid work and a holiday or holiday trip. That does not mean answering the odd email from the beach. You work your normal, paid hours, just from a place you would also pick as a travel destination, and you enjoy that place in the evenings, at weekends and on days off. Germany's Fraunhofer IAO research institute described workation in 2025 in similar terms: a way of working in which people do their job at a holiday destination or while travelling. You will also come across "coworkation", usually for workations built around a shared workspace or group.
- Work + vacation: work and leisure in the same place, but not at the same time
- You work your agreed hours; the holiday part happens in your free time
- Days off are still taken as regular annual leave
- Also known as a "workcation" or, for group formats, a "coworkation"
Workation vs. remote work, holidays and digital nomads
The terms around location-independent work overlap a lot. Under German workplace safety law, only telework (Telearbeit) has a legal definition: according to Section 2(7) of the Workplace Ordinance (ArbStättV), it means a screen workstation permanently set up by the employer in the employee's home. Everything else counts as mobile work, which the German Federal Ministry of Labour (BMAS) describes as work done outside the employer's premises. A workation is therefore usually a form of mobile work that happens abroad or at a travel destination. The table shows how the concepts differ in practice.
- Telework has a legal definition in Germany; mobile work and workations do not
- A workation is usually time-limited; being a digital nomad is a lifestyle
- On holiday or a sabbatical you stop working; on a workation you do not
| Term | Are you working? | Where? | Typical length |
|---|---|---|---|
| Workation | Yes, normal paid work | At a travel destination, often abroad | A few days to a few months |
| Working from home / telework | Yes | At home | Permanent or on set days |
| Remote work / mobile work | Yes | Outside the office, often anywhere | Permanent or occasional days |
| Holiday | No | Anywhere | Days to weeks |
| Sabbatical | No, a career break, with a right to return depending on the agreement | Anywhere | Usually several months |
| Digital nomad | Yes, often self-employed | Changing locations with no fixed home base | Years, as a lifestyle |
Types of workation
A workation is not a fixed product. You can organise everything yourself or book with a provider that bundles accommodation, workspace and community. Which format suits you depends on how much structure you want, whether you are looking for company and whether your team is coming along.
- Solo: book a flat or apartment and add a local coworking space. The most flexible option, but you handle everything yourself.
- Coliving: live with other remote workers, with a workspace in the house and usually shared evenings. Good if you want people around.
- Group retreat: an organiser sets the dates, accommodation, workspace and programme for a group that usually has not met before.
- Team workation: a company sends a team to one place together, often with workshop days and shared downtime.
What to sort out before you go
According to the German Federal Ministry of Labour, there is currently no statutory right to mobile work in Germany. If you are employed, you need your employer's approval, ideally in writing and naming the country and dates. In a Fraunhofer IAO survey of 964 employees, only 34 per cent said their employer allows this way of working, and 48 per cent named approval processes as an obstacle. Beyond approval, there are four legal areas that vary a lot by country and length of stay. Each has its own guide, which also explains when to involve a tax adviser or your employer.
- Employer approval: agree on country, dates, availability and data protection
- Social security: within the EU/EEA, Switzerland and the UK, usually an A1 certificate before you leave
- Tax: the "183-day rule" does not automatically protect you from tax liability in the destination country
- Visa: a tourist visa does not allow you to work locally in every country
- Health insurance: check your cover abroad, especially outside the EU
How much does a workation cost?
There is no single figure, because the gap between a self-booked flat in southern Europe and an organised retreat in Asia is huge. Since your salary keeps coming in, the main costs are travel, accommodation and a place to work. On the other hand, rent and fixed costs at home usually keep running. In the Fraunhofer survey, 34 per cent named a lack of cost transparency as an obstacle, so budget with real quotes rather than averages found online.
- Travel: flights, train or car; for longer stays, only one round trip
- Accommodation: monthly rates are often much cheaper than nightly prices
- Workspace: a coworking day or monthly pass if your accommodation lacks a good desk
- Living costs on the ground: food, local transport, mobile data
- Insurance and any visa fees
- Double costs: rent and contracts at home usually continue
How to choose a destination
A place can be lovely for a holiday and still be a poor choice for a workation, for example because of weak internet or a time difference that pushes every meeting into the late evening. Check the working conditions first and the leisure side second. WorkationBase has data on climate, costs and internet for more than 1,600 places, filterable by month.
- Internet: get the accommodation to confirm its broadband, and keep mobile data as a backup
- Time zone: how many hours overlap with your team's core hours?
- Climate: check temperature and rainfall for your travel month; heat without air conditioning makes work hard
- Costs: add local living costs to the fixed costs you still pay at home
- Legal: has your employer approved the country, and does an A1 certificate apply there?
- Workspace: is there coworking nearby or a quiet table for video calls?
Workation FAQ
A few questions come up almost every time someone plans their first workation. The answers are deliberately short; the linked guides cover the details.
- Is a workation a holiday? No. You work as usual and take regular leave for days off.
- Can I just work from abroad? If you are employed, only with your employer's consent, and depending on the country you will need to check visa, tax and social security rules.
- How long is a workation? There is no set length, but the longer you stay, the more tax and social security questions matter.
- Can I do one in my own country? Yes. Many of the cross-border issues such as A1 certificates and visas then disappear, but you still need your employer's approval.
- Does a workation make me a digital nomad? Not necessarily. Digital nomads usually have no fixed home base, whereas a workation is a time-limited trip you return from.
Sources
Verified, mostly official sources. Reflects the state of research as of the writing date — please double-check with the source directly before making important decisions.
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