In British English, holiday covers both a single celebration day, like a bank holiday, and a longer trip away, like a two-week holiday in Portugal. In American English, vacation is the word for that same longer trip or break from work, while holiday is reserved mostly for specific calendar days like Thanksgiving. A useful hook: Americans go on vacation, the British go on holiday.
The core difference
Holiday is the British term for both a special calendar day and a period away from work or school, while vacation is the American term for that period away.
- holiday — chiefly British: a period of time off, especially for travel or rest; also a day marking a celebration: They booked a two-week holiday in Portugal.
- vacation — a trip or period away from home for rest or pleasure, or a break from work or school: They booked a two-week vacation in Portugal.
How to tell them apart
Both words trace back to the idea of freedom from duty: holiday comes from the Old English hāligdæg, literally holy day, which started out meaning a religious feast day before it broadened to any day of rest. Vacation comes from the Latin vacare, to be free or empty, by way of Old French vacation.
The mix-up mainly comes up in writing that mixes British and American audiences, such as travel content or customer emails. If a British reader books a holiday and an American reader books a vacation, both are describing the same trip; only the American use of holiday narrows to specific days like Thanksgiving rather than a general break.