Operating Cost Comparison Table
Type of Expense
Old Woody 40’
Rafthouse 40’
Mini Sail 30’
Speedy 40’
Big Sail 45’
Fuel
$0
$0
$100
$8,000
$500
Just making up numbers here, although the figures in the 30’ sailboat category reflect my past expenses. Speedy’s numbers might be a bit low.
Transient Fees
$0
$0
$150
$1,500
$1,500
Do you visit other harbors? Participate in flotillas? Do you ever go anywhere? Everything costs money.
Water Taxi Fees
$0
$0
$200
$200
$200
A fee that includes transportation from an anchorage or mooring to a port.
Ice
$0
$0
$200
$0
$200
I assume that Speedy has a generator and fridge. I’m assuming that OldWoody and Rafthouse, being permanently connected to shore power, have typical refrigerators aboard. The others I assume spend $200 for ice.
Other
$?
$?
$?
$?
$?
Fill in your own other expenses.
Average Monthly Cost
$0
$0
$54
$808
$200
Total Operating Cost:
$0
$0
$650
$9,700
$2,400
Observations: The biggest wild card here is fuel. If you have two engines and enjoy performance cruising, expect to pay for it. Other fees, such as transient fees and entertainment, can add up as well; their sum is due purely to personal preference.
Special Assessments
There’s not a lot I can say in this section except that I wish you the best of luck. Problems will occur, some covered by insurance, many not. I was once out sailing and had my rudder “bounce” off a rock. The rock was a mere dot on a chart and I didn’t see it. It happens. The only visible damage to the rudder was a tiny chip. Unfortunately, the impact managed to bend the rudder shaft just enough so that the back of the rudder could no longer clear the hull. I needed to be towed in (free, thanks to BoatUS). After lots of experimenting, which took me half of the sailing season, I found that I needed a new $1,400 rudder.
I’ve had a headsail tear because of a seized furling line; once, a flood occasioned by a failed bilge pump damaged the cabin sole (floor). I’ve repacked both stuffing boxes; replaced seacocks, wiring, and plumbing; and after repairing my headsail twice, ended up having to replace it after it was damaged in a storm. (The insurance company covered a bit of that cost, but after they depreciated the cost of the sail and took the deductible, they gave me only about 50 percent of the cost of a new sail.)
You may think my stories are bad; they are not. My bad experiences were plentiful, but none was of the break-the-bank variety. I recently read a story in which another boat owner, on his maiden voyage with his new sailboat, while sailing under a bridge ended up getting pushed by the wind into a low clearance area, causing massive damage not only to the boat, but also to the bridge. Another cruiser whom I met in the islands tells of having to be towed to a foreign island, not his destination, after mechanical problems. The insurance company denied coverage, and the captain ended up paying several thousand dollars for the tow, several thousand more for the repairs, several thousand dollars for the hotel room, and thousands of dollars for the short-notice airplane tickets. And I am very familiar with the all-too-common situation of a boat that drags anchor in the middle of the night, only to crash into another boat, causing significant damage.
Other special assessments might include new equipment. Boaters are notorious for wanting new toys. A good friend (who rarely cruises) just purchased a $5,000 radar system that he plans to have professionally installed. Another performance cruising neighbor recently decided to upgrade his engines to diesel, a venture that is costing him more than $30,000.
Special Assessments Table
Type of Expense
Old Woody 40’
Rafthouse 40’
Mini Sail 30’
Speedy 40’
Big Sail 45’
Repairs/Damage
$500
$500
$1,000
$2,000
$2,000
This is part of boating. Costs vary widely.
New Equipment
$0
$0
$800
$2,000
$2,000
If you want new stuff, or if you want to replace existing stuff, you’ll have to pay for it and have it installed. If you can do the installation yourself; this number will be less traumatic. Just do it right or you’ll be paying for it again (as well as the cost to repair your mistakes), whether it be in the form of a repair or a diminished sale price for your boat.
Average Monthly Cost:
$41
$41
$150
$333
$333
Annual Special Assessments:
$500
$500
$1,800
$4,000
$4,000
Observations: The cost of new equipment can easily exceed the number provided, as a watermaker, refrigeration, central heating/air, GPS chartplotter, SSB radio, or any of a thousand other pieces of gear will be more than $2,000 (just for the equipment itself, without any installation costs at all). Theoretically, money will be spent on new equipment during the periods where there are not as many repairs, or in periods when routine maintenance expenditures are down—so the costs are moved around a bit. The bottom line here is that this is difficult to predict, and surprises in this area can be quite expensive.
Savings and Offsets
I like this section because it is where you get money back, or at least don’t have to spend what you used to have to spend.
How much can you save? For renters in Boston, these numbers can be pretty significant. My rent was $1,900, renter’s insurance was $90 per month, and car insurance decreased $350 a year by moving out of downtown Boston. And my tax deduction for interest payments returned about $100 a month, which was the equivalent of spending $100 less for the boat payment every month, a huge savings—although only realized at tax time.
• Tax deductions
If the boat is your primary or secondary residence, the IRS should let you deduct the interest paid for your mortgage
• Proceeds from sale of house or savings from avoiding rent
• Savings from insurance and utilities and other bills
• Automobile savings if you can do without your vehicle
Conclusions
What conclusions can you draw from all this? I chose to stay at one of the most expensive marinas because I loved the atmosphere and proximity to everything. I chose to have much of the work on my boat performed by professionals so that I knew the work was done correctly. Unfortunately, I learned as I went along and was often shocked at how many checks I was writing.
The Grand Totals
Total Costs
Old Woody
Rafthouse
Mini Sail
Initial
$11,145
$16,450
$10,855
Average Monthly
$755
$687
$1,722
Total Annual
$9,054
$8,244
$20,665
Total Costs
Speedy
Big Sail
Initial
$42,680
$42,840
Average Monthly
$4,247
$3,636
Total
Annual
$50,962
$43,627
We can draw many conclusions from the above, including that cold climates cost significantly more, fuel costs can be prohibitive, operating boats cost much more than dockbound boats, and luxury has a significant cost both in terms of equipment and choice of marina. I hope it is also evident that it is possible to live aboard throughout many different economic ranges. The spreadsheet is yours to use as you see fit—and the decisions are yours alone to make. Can you reduce these costs? Yes. Some liveaboards, even in cold (snowy) climates, will not shrinkwrap their boats, avoiding that cost. Another liveaboard I know doesn’t even perform routine engine maintenance and has never purchased a new piece of equipment. These shortcuts may come back to haunt him later—unless he decides to sell his boat before that point, in which case the new buyer might be in for a surprise. Many liveaboards perform all of their own maintenance in order to save substantial amounts of money. Just do it right.
Some liveaboards live on the hook, and avoid all slip fees, in boats that merely float and haven’t been maintained in decades (this is often an alternative to being homeless). Their total costs are near zero. On the other hand, performance yachts that remain under way can spend tens or hundreds of thousands of dollars in fuel alone, never mind costs of crew, provisions, and constant maintenance.
I am a proponent of life aboard, and believe that we pay for brilliant benefits. And while I want to encourage life aboard as an option for everyone, I have attempted to be exceedingly honest in discussing the costs.
(A copy of this interactive spreadsheet is available for your downloading and use at: http://www.livingaboard.net.)
Once you begin to think about the costs, it’s time to remember some of the seemingly radical advice of Chris Birch, stated back in the section on “Choosing A Boat,” in which Chris argued for smaller and simpler boats. If you were to run the same numbers for a smaller boat, the savings would be significant. Putting a 30-foot boat into my marina as opposed to a 40-foot boat saves $1,300 per year—more if the 30-footer decides to stay in a more economical marina. Every haul, launch, shrinkwrapping, and cleaning would be significantly cheaper for a smaller boat, and still cheaper in a more economical location. And the learning curve would be more manageable. The fancier the boat, the more that can go wrong. In addition, the more complex the gear, the more it costs to repair, maintain, and replace it.
Does this seem like a great deal of expense for a diminished amount of space? Ask my father, he’ll tell you yes. Ask me, and I’ll tell you no.
Still with me? Great. Then let’s get aboard.
Don Stonehill’s extra refrigeration under the salon table.
Also, storage overflowing.
Observations: Remember that Rafthouse and Old Woody are uninsurable and cannot be financed (so no survey is required). The buyer of Rafthouse has decided to forego the survey because not only is she an economical residence, but with no engine, her systems are limited. The owner really just wants her to float. It is foreseeable that other “cheaper” boat buyers such as the owner of Old Woody might want to do the same, but if there is any rigging or equipment, as well as an engine, it really helps to have an expert examine the condition of the boat. Variables are involved in the process of boat buying. For instance, a boat purchased on the hard may need to be launched and have her engine commissioned as part of the survey. Then she may need to be decommissioned and returned to land. All of these expenses are borne by the buyer; their terms should be contemplated and agreed upon as part of the original offer.
Other initial costs will be incurred but are more appropriately placed in the monthly payment category—such as slip fees—or in the seasonal category, depending on whether the purchase is made at the beginning or end of the summer season in a cold-weather climate location. For instance, marina costs are often assessed initially for the season, and you will surely be required to provide your insurance company with a hefty check to get started. Paying the amount up front means less future charge, but be prepared for other costs and expenditures to hit, such as costs for provisioning. Some lenders might consider, in addition to financing the cost of a boat, financing sales tax and costs of boat repairs or improvements. They will very carefully consider financing boat repairs, for they often expect that you are buying a boat at a discount and restoring it to its proper value.
My marina charges a fee of $60 per month for parking privileges. We’ll assume that all boat owners are subject to this cost.
Storage
$0
$0
$100
$100
$100
I pay a significant amount for a storage container that is temperature- and humidity-regulated and big enough for my furniture and other possessions. We’ll assume that everyone has a storage facility except for Old Woody and Rafthouse.
Total Monthly Cost:
$562
$562
$1,075
$2,271
$2,326
Total Annual Cost:
$6,744
$6,744
$12,900
$27,252
$27,912
Observations: There are quite a few personal preference items here. Liveaboards who are more cost-sensitive, such as Old Woody and Rafthouse, are more likely to do without cable TV or high-speed Internet, while less cost-sensitive liveaboards might desire some of these amenities. Liveaboards who work aboard may need these types of services.
We’re starting to see the cost of luxury, with key differences now occurring—monthly boat payments aside—in marina costs, insurance costs, and storage fees.
How are we doing? Remember the sunsets and water lapping against the hull and trips to the islands. Stay focused, people!
7. Preparing To Live Aboard
How does a person prepare for life aboard? You are doing it now, by reading and learning as much as you can. Also, visit other liveaboards and ask questions. There are many nuances to the art of living aboard, such as understanding how to prepare your boat for climate fluctuations and the change of seasons. The purpose of this chapter is to delve into the world of actually living aboard, and talk about things that are typically learned the hard way.
Basics
Liveaboards, like all human beings, need shelter and food. At a minimum, our shelter must provide us with protection from the elements, as well as our desired separation from the world. Our food must be safe and edible. We must have a safe and comfortable place to sleep (I also recommend a good stereo). These are basic needs, and any preparation for life aboard should ensure that these can be met (incidentally, the stereo is optional for some).
Mental Preparation
Mental preparation for the new lifestyle—for the challenges that you will endure and overcome—cannot be underrated. While nothing can completely prepare a person for something he has never experienced, there is a big difference between making an effort to learn in advance what to expect, and not making that effort—just as there is a big difference between reading about how much space a liveaboard must sacrifice, and moving aboard and realizing the sacrifices firsthand.
The best advice is to find a boat and move aboard for a bit, even if just for a day or two. Perhaps you can offer to watch someone’s boat when he goes on vacation (these opportunities are more common than you might think). Have you ever been aboard a boat in poor weather? If not, then make sure to try a night of it.
Once aboard, you will probably notice the following:
First, your luggage will probably have to be placed on top of a vacant berth, or if there is room in a locker (closet), your luggage will take up the entire locker. This might be your first exposure to the challenge of lack of space. If you bring a guitar aboard, there will likely be no locker space at all that can contain it. (When I have guests aboard my boat, I am forced to sleep with my guitar. When I have a friend over in addition to guests, sleeping with the guitar simply proves to just how big the tradeoff can be.
/> Second, boats move. Even if properly secured in a slip, they move. If other boats pass by, then the boat moves a bit more. If there are waves or wind or weather, then the boat moves much more. The extent of the movement depends on many factors, such as how well protected the marina and slip are, and the direction of the bow with respect to weather and waves.
Third, boats make noise. Noises aboard your boat will be magnified and will reverberate throughout your boat; noises aboard other boats and upon land will be heard, depending on how far away and how soundproof your boat is. Noise travels well over the water (they—I don’t know who they are—said that one of the biggest tortures of being a prisoner in Alcatraz Prison in the middle of San Francisco Bay was that one could so clearly hear parties in the city, more than a mile away over the water).
You will hear the water and waves. There will be unwelcome sounds as well, and aside from cars, planes, and trains passing by, you will hear things banging and halyards slapping against sailboats’ masts. That sound not only sends shockwaves throughout the boat, whose mast is making noise, but also permeates every boat in the marina. I have seen fellow boaters react violently to this sound after hours, days, or weeks of persistent clanging. While sailboat owners in particular should be very sensitive to this and pull their halyards away from their mast with elastic cords or lines and secure them properly, there are always at least one or two offenders. Other things, such as running engines, not only make noise but produce odors and release poisonous fumes.
The Essentials of Living Aboard a Boat Page 11