Smith told the club website: "You need a break as much mentally as physically.
"I've got a bit of catching up to do with the lads having played a few games already, but I'm sure the fitness levels will come back quickly."
The youngster is now looking forward to the new domestic season but admits he is playing catch-up with his teammates.
Smith is likely to be in contention for a starting place for Ipswich's first league match of the new season away at Middlesbrough.
It follows a leg injury and subsequent blood clot sustained by Damien Delaney, which has ruled the Irishman out for around three months.