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Douglas Harper's Etymology Dictionary
staycation

also stay-cation, 2008, American English, a word from the "Great Recession" of that year, from stay (v.1) + ending from vacation.

Wiktionary
staycation

n. (context neologism English) A vacation spent close to home. vb. (context neologism intransitive English) To spend a vacation close to home.

Wikipedia
Staycation

A staycation (a portmanteau of "stay" and "vacation"), also known as a holistay (a portmanteau of "holiday" and "stay"), is a period in which an individual or family stays home and participates in leisure activities within driving distance, sleeping in their own beds at night. They might make day trips to local tourist sites, swimming venues, or engage in fun activities such as horseback riding, paintball, hiking or visiting museums. Most of the time it involves dining out more frequently than usual. Staycations achieved popularity in the U.S. during the financial crisis of 2007–2010. Staycations also became a popular phenomenon in the UK in 2009 as a weak pound made overseas holidays significantly more expensive.

Common activities of a staycation include use of the backyard pool, visits to local parks and museums, and attendance at local festivals and amusement parks. Some staycationers also like to follow a set of rules, such as setting a start and end date, planning ahead, and avoiding routine, with the goal of creating the feel of a traditional vacation.