Monthly funds

[Darkmyst]

Good morning, on this lovely day.

Question. and for this, we need to assume a few things,

1. No Boat faults.
2. No mad drinking nights
3. Not in a marina everynight

4 Millionaires need not reply to this thread .

How much on average do you spend per month, when cruising. (blue water)

 

[OldBawley]

400 to 500 € / month.

 

[Mr Cassandra]

400 to 500 € / month.

Same here 400 to 500 euros and that includes a few time out in tavernas

 

[jimbaerselman]

Food, water and booze, Greece, catering for two aboard, eating ashore 6 evenings a week, all the rest aboard, €1,500 a month (€50 a day)

Add fuel and annual maintenance - depends whether you're sail or motor

Add berthing and local harbour charges, depends how/if you winter

Add depreciation and opportunity costs for the cash invested in the boat

 

[Mr Cassandra]

eating ashore 6 evenings a week, all the rest aboard, €1,500 a month

Eating ashore 6 evening a week.... That's where the money go`s

 

[Darkmyst]

Food, water and booze, Greece, catering for two aboard, eating ashore 6 evenings a week, all the rest aboard, €1,500 a month (€50 a day)

Add fuel and annual maintenance - depends whether you're sail or motor

Add berthing and local harbour charges, depends how/if you winter

Add depreciation and opportunity costs for the cash invested in the boat

Clause 4 Applies.

 

[Tranona]

Good morning, on this lovely day.

Question. and for this, we need to assume a few things,

1. No Boat faults.
2. No mad drinking nights
3. Not in a marina everynight

4 Millionaires need not reply to this thread .

How much on average do you spend per month, when cruising. (blue water)

Living costs are much the same (in Europe) as in UK once you take out housing and travel costs, then substitute boat and mooring costs. The range is huge, depending on your lifestyle and food preferences.

The biggest variable is berthing costs and that varies according to the type of berthing and the location. Gets less expensive as you move east because less marinas and lower costs. There is more scope for real low cost living in Greece and Turkey, and to an extent your expenditure is governed by the amount of money you have available - low budget, low expenditure - high disposable income, higher expenditure (unless you are just a cheapskate and prefer to have money than spend it).

"Bluewater" cruising is cheapest (assuming you are at sea most of the time), but costs can shoot up once you get to land! Read Annie Hills book Voyaging on a Small Income to get one end of the spectrum and add to what she spent the items you think you would not want to go without (and update to today's money of course).

 

[jimbaerselman]

Eating ashore 6 evening a week.... That's where the money go`s

You're right ibobt, but I wouldn't have a lovely crew member if I did my usual corned beef and Fray Bentos trick - or if she had to cook all the time.

Anyway, at my age, why not blow the kid's inheritance?

 

[Oliveoyl]

You're right ibobt, but I wouldn't have a lovely crew member if I did my usual corned beef and Fray Bentos trick - or if she had to cook all the time.

Anyway, at my age, why not blow the kid's inheritance?

+1

 

[duncan99210]

Taking out the cost of keeping Rampage afloat and functional, about €1200 - 1500 a month! Could do it for less but then we'd drink less, eat out less and have to find Lidl a bit more often.......

 

[Koeketiene]

Add depreciation and opportunity costs for the cash invested in the boat

Can you please explain to me what this means in the real world?

 

[tcm]

Good morning, on this lovely day.

Question. and for this, we need to assume a few things,

1. No Boat faults.
2. No mad drinking nights
3. Not in a marina everynight

4 Millionaires need not reply to this thread .

How much on average do you spend per month, when cruising. (blue water)

Um, when actually cruising blue water we don't spend anything at all!

 

[Mr Cassandra]

You're right ibobt, but I wouldn't have a lovely crew member if I did my usual corned beef and Fray Bentos trick - or if she had to cook all the time.

Anyway, at my age, why not blow the kid's inheritance?

Hi Jim
I was only quoting for one. When two aboard its about 1100 per month as we eat out more often.
I do most of the cooking but little of the preparation or washing up afterwards
When alone I swap an caught octopus with a meal in a friendly taverna once a week
( need to catch more and live for nothing)

 

[KellysEye]

>1. No Boat faults.

If you exclude that you could be in big trouble. The general view is maintenance is 5% of the value of the boat every year. However that depends on how much you sail and if you liveaboard 24x365. The bottom line is everything mechanical (and some electrical) will break and if you sail a lot things will break more than once. We reckoned to spend two days a week on maintenance and repairs with the odd month off when nothing broke. The reason is most boat kit is designed for weekend sailors.

 

[Tranona]

Can you please explain to me what this means in the real world?

Quite straightforward - in principle.

Depreciation is the loss in monetary value over time. Opportunity cost is what you have given up to buy the boat - typically lost interest on the money used to buy the boat.

So, if you spent £100k on a boat and in 10 years time you could sell it for £70k and the average interest rates on deposits were 5%. Your total finance cost would be

Depreciation £30k

Opportunity cost (£100k *1.05^100) - £100k = £63k approx

Total £93k

So owning the boat for 10 years rather than leaving the money in the bank would reduce your wealth by that amount (or put another way £163k - £70k residual value).

Expensive business boats - or any other asset that does not increase in value.

Don't even think of doing the sums if you borrow the money!

 

[Koeketiene]

Add depreciation and opportunity costs for the cash invested in the boat

Can you please explain to me what this means in the real world?

Quite straightforward - in principle.

Depreciation is the loss in monetary value over time. Opportunity cost is what you have given up to buy the boat - typically lost interest on the money used to buy the boat.

So, if you spent £100k on a boat and in 10 years time you could sell it for £70k and the average interest rates on deposits were 5%. Your total finance cost would be

Depreciation £30k

Opportunity cost (£100k *1.05^100) - £100k = £63k approx

Total £93k

So owning the boat for 10 years rather than leaving the money in the bank would reduce your wealth by that amount (or put another way £163k - £70k residual value).

Expensive business boats - or any other asset that does not increase in value.

Not a real figure/real money, is it?
Maybe to accountants, but to normal people...

The way I see it:
I have a boat now - in 10 years time I hope to have done things and seen places I now only dream about - and I will still have a boat.

What's to point of having worked for money if not to enjoy it?

 

[Tranona]

Afraid it is real money and not just made up figures. The made up figures are when you estimate what, for example depreciation might be in the future. Buying a boat for £100k and selling it for £70 is a real loss in monetary terms. The only figure with an element of assumption is the 5% interest rate, but even if you use the current low rate of 3% the opportunity cost is £34k over 10 years.

The alternative you are talking about is actually your opportunity cost of NOT having the boat. In other words you are prepared to consume £93k of your wealth over 10 years so that you can own a boat, go places and enjoy yourself - rather than sitting at home counting your money! A decision people make every day and actually boats are one of the more economic ways of enjoying yourself. Just do the sums on a £100k Maserati!. Then you may understand why I own a Morgan - bought new and on current (and past) experience will hold its monetary value. Just think if I had spent my £25k on a Mazda RX8 in 2003 instead of the Morgan.

 

[jimbaerselman]

In doing the sums I quickly worked out that it's cheaper for me to charter 6 weeks of the year, rather than use the boat for only 6 weeks in the year. The lack of depreciation, and return on capital, more than paid for the charter

Mind you, I also get more cruising because I no longer spend time on maintenance! And every now and then someone asks me to join them for a cruise. I've even been lent a boat for a month, very nice.

 

[Mad Pad]

Ah but Jim then we come back to the old adage,(told to me by my Jewish accountant)
"If it floats,flys or f..k.,rent it".
But most people here seem to prefer to own thier boats and live with or marry thier women...and I don't know of many people on this forum who own planes but my partner has recently sold hers.
Everyone to thier own but money isn't everthing.
Anyhow as a liveaboard (as this thread is all about)chartering is not an option.
As for the other f's....Any opinions out there?

 

[Appleyard]

To quote Guapa ... "What's to point of having worked for money if not to enjoy it? "

Precisely.

If you need to ask then you can't afford it.