10% Rule, am i missing something

[Daydream believer]

I shall be giving up owning a boat in probably 2 or 3 years time and i estimate I will be between £5-6k "better off". Rather depressing as it will make IHT more likely to hit when I die. so maybe I should just waste the money by finding another expensive hobby than leave it to the government to waste.

My attitude to that was that I could not make sailing the be all & end all of my life. Until I became ill, I was an active member of the sailing club, doing many jobs, Laying moorings, Repolishing the tables, new lounge seating, rebuilding the tractor etc etc
.
But I always had another hobby, to get away from it. My one is flying model aeroplanes. The flying club members are a great crowd, A couple have boats, which is a plus. So when my pride & joy has to go- Assuming it goes first, & that is not a given the way my family seem to resist any mention of a sale- I will be well into blowing yet more cash. But it will not be a waste because it is fun & a good way to socialise.
Plus the sailing club is still there & mooring chain etc still has to be bought & sold, even if someone else lays it with my launch.
'
So my advice is to decide what you want to do & get involved now, to ease your way out of sailing gently . Better than a sudden shock.

 

[Snowgoose-1]

I like sailing . So much of the British way of life is diminishing and sailing is one of the few areas that remain. I don't think about cost.

 

[Daydream believer]

I like sailing . So much of the British way of life is diminishing and sailing is one of the few areas that remain. I don't think about cost.

The trouble is that one day you are going to have to stop. That may be nothing to do with money. What will you do then?

 

[Bouba]

The trouble is that one day you are going to have to stop. That may be nothing to do with money. What will you do then?

At our port....there are benches for the old salts to sit and watch boats all day

 

[Daydream believer]

At our port....there are benches for the old salts to sit and watch boats all day

One warm day in Ostend my friend & I were cycling around the town. We got to the park nearest the bus station by the lake, Sitting on a row of benches were a lot of elderly people all sitting staring at the ducks etc & admiring the scenery. He jokingly remarked on this as we cycled by. Later we cycled to Blankenburge, then returned via the park.
Being rather tired & being warm, we sat on the same benches- the elderly had gone- & admired the view & the ducks.
Suddenly we realised that we were doing exactly what those, 5 hours before us, had been doing- & we understood why.

 

[Egret]

Daydream Believer said - he trouble is that one day you are going to have to stop. That may be nothing to do with money. What will you do then?

Don't think you ever have to stop necessarily, just change a little and need some help to get aboard and help with the sails. May give someone in the club/locality a chance to sail/motor that they might not otherwise have - club crewfinder or just sit in the club bar and someone will offer - people always rally around to help -- might need a different boat to ease access - place with an accessible water taxi or marina berth with ramp access may help - always demand for starting box if you are in a racing club.

On the 10% - if you are able to go boating, absolute cost doesn't matter. One of ours has a negative value - it will cost to dispose when the time comes so infinite proportional annual cost. Sailing doesn't need to be expensive. A group of friends a while ago set a limit of £250 each to buy boats to race - some very nice old Merlins arrived.

 

[Daydream believer]

Daydream Believer said - he trouble is that one day you are going to have to stop. That may be nothing to do with money. What will you do then?

Don't think you ever have to stop necessarily, just change a little and need some help to get aboard and help with the sails. May give someone in the club/locality a chance to sail/motor that they might not otherwise have - club crewfinder or just sit in the club bar and someone will offer - people always rally around to help -- might need a different boat to ease access - place with an accessible water taxi or marina berth with ramp access may help - always demand for starting box if you are in a racing club.

Our late commodore was single all his life. He spent his time training & sailing. He received an award from Princess Anne for his services to youth sailing. He worked endlessly for our club for many years. he had an Anderson 22 & sailed it thousands of miles.
But age caught up with him & it was pitiful to watch. Club member helped when he wanted to launch his boat & he insisted on being involved in every stage. Thus making the whole process a chore. Members had to lift him on & off his boat. We had to launch the safety boat to avoid trying to get him from a tender on to the boat. getting him into the safety boat took 3 or 4 people.
He would arrive unannounced & members were frightened he would end up drowning. Locals would be on the phone & start the jungle network when he arrived.
There comes a point where one has to give up. He had to be carried to get him upstairs on to the balcony to look at the water
He just became a liability because he could not accept that he was past it.
I keep telling my family that I do not want to become a "Gavin", but they say that I am not to that stage yet. My boat now has a bigger auxilliary engine, so I can motor quite happily at 6-7 kts & they want me to use it a bit longer. I can still sail it, as it is rigged to be easily handled ,SH or short crewed. If doctors can solve my problem- I think that they are close- It is slow but I have several consultants on the game & they all show genuine interest in me- then I will be Ok. But I will stop when I know my sailing time is up. I think that one has to accept that.

 

[Bouba]

Our late commodore was single all his life. He spent his time training & sailing. He received an award from Princess Anne for his services to youth sailing. He worked endlessly for our club for many years. he had an Anderson 22 & sailed it thousands of miles.
But age caught up with him & it was pitiful to watch. Club member helped when he wanted to launch his boat & he insisted on being involved in every stage. Thus making the whole process a chore. Members had to lift him on & off his boat. We had to launch the safety boat to avoid trying to get him from a tender on to the boat. getting him into the safety boat took 3 or 4 people.
He would arrive unannounced & members were frightened he would end up drowning. Locals would be on the phone & start the jungle network when he arrived.
There comes a point where one has to give up. He had to be carried to get him upstairs on to the balcony to look at the water
He just became a liability because he could not accept that he was past it.
I keep telling my family that I do not want to become a "Gavin", but they say that I am not to that stage yet. My boat now has a bigger auxilliary engine, so I can motor quite happily at 6-7 kts & they want me to use it a bit longer. I can still sail it, as it is rigged to be easily handled ,SH or short crewed. If doctors can solve my problem- I think that they are close- It is slow but I have several consultants on the game & they all show genuine interest in me- then I will be Ok. But I will stop when I know my sailing time is up. I think that one has to accept that.

To hell with it DD......be a Gavin....you’ve earned it

 

[Egret]

That is probably the time for a marina berth and (motor?) boat that gives level access, or just a trip in the accessible ferry now and again. Thinking of how people helped a relative from time to time until nearly the last day. Taken to the pontoon to sit a while on final trip to hospital. Good luck with your own situation - hope it goes well. Never give up completely - and get a stair lift for the clubhouse - your donation if necessary - not expensive.

Another option - someone in our locality has an amphibious 4x4 disabled persons buggy that he can drive down the road, down the ramp and into the water

 

[Daydream believer]

That is probably the time for a marina berth and (motor?) boat that gives level access, or just a trip in the accessible ferry now and again. Thinking of how people helped a relative from time to time until nearly the last day. Taken to the pontoon to sit a while in a diversion on final trip to hospital. Good luck with your own situation - hope it goes well. Never give up completely - and get a stair lift for the clubhouse - your donation if necessary - not expensive.

Already have a marina berth. I do not anchor. No point in buying another boat. I have one with all the extra that actually work. I hate having to rely on others ( family excepted as that counts as quality time). Hence being a SH sailor most of the last 25 years.
. Edit.
Something I do not understand, is that my son wants me not to sell the boat, but instead get a code zero on a furler. I cannot tell if he has a secret agenda. Last week he helped me package the liferaft ready for its 3 year service.

 

[Egret]

That's good, Your son will be taking you as long as you want to go sailing. On the original thread, will the liferaft service and new Code Zero take you over the 10%?

I'm probably on about 15%

 

[TiggerToo]

... the vultures ...

That will be all of us. Including you.

Taxes are not for vultures.

(by the way, vultures are useful too)

 

[westernman]

For a big old boat, the maintenance is more likely to be 10% of the price when new, rather than 10% of the knock down price you got it for.
This probably applies more to big old mobos than big old sail boats.

 

[Snowgoose-1]

A friend and his wife had no problems sailing their boat or problems with the costs. Both in their 80's . They had to pack up because of the four hour drive to the marina .

 

[Egret]

I'm planning to still be sailing the Laser at 80+ - The class has an age category Great Great Grand Master. Paid for itself many years ago.

 

[Sailing steve]

Presumably you have someone to leave what's left after HMRC takes its share, so give the extra to them while you've still got seven years of life expectancy, that way the vultures go hungry.

Even better gift your boat to the kids/grandkids 7 years or more before you snuff it.

That way you can still go sailing and they can take you sailing when you're getting a too bit decrepit to go on your own and they'll swerve IHT on it when you expire.

It's a win-win-win.

 

[SaltyC]

Even better gift your boat to the kids/grandkids 7 years or more before you snuff it.

That way you can still go sailing and they can take you sailing when you're getting a too bit decrepit to go on your own and they'll swerve IHT on it when you expire.

It's a win-win-win.

Unfortunately, you may only 'own' 25% but still pick up all the Bills.

 

[Tranona]

Presumably you have someone to leave what's left after HMRC takes its share, so give the extra to them while you've still got seven years of life expectancy, that way the vultures go hungry.

It is not as easy as that because like many if one is asset rich and cash constrained there is a balancing act between keeping enough to pay for care if necessary and giving away to avoid IHT. Like many I shovelled surplus cash into pensions when Osborne (bless him) changed the rules in 2015 because that did not count towards IHT. Combination of living longer than expected, increasing property values and inflation enhanced investment returns puts us in reach of dear Rachel (is she the vulture) and her new rules.

 

[Sailing steve]

Unfortunately, you may only 'own' 25% but still pick up all the Bills.

Yup you'll still get the bills - especially if your kids are involved - but just transfer 100% of the asset, preferably with signed and dated evidence of transfer .

Once any asset/pile of cash/whatever has been out of your ownership for 7 years it's no longer considered part of your estate and as such there's no longer any IHT liability.

 

[Bouba]

I’m always confused by IHT.....don’t couples leave their entire estate to their spouse?