Cost to Cruise with Family of Four

[bennenrkc]

A64: Thanks for the clarification, I should have used a different term for maintenance, perhaps major repairs. I am wondering if we shouldn't plan on another year of working or 2 to further build up a big ticket repair fund as well. I would really rather never touch the principal.

I understand the flippant response however, the fear seems to take hold with that response. I would like to think we can continue to live within a budget and if it was just my wife and I we would have no problems however, I am jumping off the deepend with little means to come back to our current positions/state of life if we can't keep the budget and need to be able to support 2 young girls to make sure they have a better way of life that we have. I need to continue to research means to assist with staying within the budget.

Mikeod: How long were you gone for each time, does the figure you use take into account the maintenance or do you use the periods you are not cruising to cover those expenses?

[AiniA]

I think it is doable but it depends so much on your expectations and the lifestyle you choose. Insurance (boat and health) is an obvious one - you can spend nothing or a lot on these. We found that we lived quite cheaply with some months and places very cheap (crossing an ocean is free basically) and others more pricey. For example, in South Africa we did not begrudge the money to head into the interior for several weeks to look at the animals and experience the culture of SA and Lesotho. But (and there always is a but) we had fall back funds when we needed them for an emergency (hospital stay) or big ticket item (a couple of new sails).

[barnakiel]

If you want to eat the cake and have the cake, you must make sure your capital works for you.

Your withdrawal rate alone is irrelevant. It is all in the withdrawal/return relationship. As long as you are making more than you are taking out, you are basically set to have both things.

b.

[Bulawayo]

We have cruised for many years, since 1995, with our four children being delivered during this time. Your budget is very real but is dependent upon your habits. There are heaps of posts on this subject but anchoring out and eating on the boat shall be massive savers. You dont ID whether your insurance has to come out of this budget? Not withstanding, the single biggest influence is your locale. The Caribbean can be expensive whilst the Indian Ocean is pretty reasonable on costs; until you need spare parts. Much also depends on your own capability. Just an annual haul out can really dent your budget. We have parked up annually for scrubbing and antifouling on remote beaches saving thousands. These types of actions really save the bucks and are satisfying.

[pcmm]

Originally Posted by bennenrkc

My wife and I, 30ish, have worked hard over the past few years/ gotten lucky on a few business deals and we are looking to escape the rat race, raise our 2 daughters, and travel the world.

We are keenly interested in cruising to accomplish this, however the one thing we are having a hard time calculating is the cost of cruising. I have read several of the threads, including the 7 years cost data, Mexico for 1k a month, and just about every thread I can find that would give us some indication. I have enjoyed reading Beth Leonard's book but I question the numbers as they are several years old (we would fall into the moderate lifestyle, and I am hoping some cruising families would be willing to let us know if it is feasible to do on ~3600/mo all inclusive which would be about 3% annual withdrawal rate from the nest egg. This would likely be on a used 40-44 ft cat, and ability and willingness to perform most maintenance and repair tasks on our own with hopefully no deadlines, except we would probably like to be back in the states in time for our oldest to go to high school to ensure ability to succeed in college.

So is it possible?

p.s. GordMay will be visiting as this is my first post. So thanks for all the participate in cruisersforum it has been a wealth of knowledge.

$3600 a month should be easily doable, or does that mean you are making payments on your boat too? our budget going south with 2 kids (hopefully next year) is only $1500 a month

[TheThunderbird]

Marinas and restaurants are miserable ways to spend money, imo

I have a 100# anchor for this, and I am a great cook, and drink one bottle a year��

[robert sailor]

If your just cruising for a year or two you can really keep the budget tight if you have to. Once your out for a longer period your costs go up as you have to start replacing things. Your cruising grounds make a huge difference in costs. If you hang around a cheap to live area for long periods of time it keeps your costs down. If you want to cross oceans that will increase your costs exponentially as these long crossing really work the boat and the gear. There is no easy answer. You can't compare costs of someone hanging out in Mexico or the Caribbean part time to someone voyaging to many different parts of the world. Enjoy the dream and good luck with your final decision.

[bennenrkc]

Originally Posted by pcmm

$3600 a month should be easily doable, or does that mean you are making payments on your boat too? our budget going south with 2 kids (hopefully next year) is only $1500 a month

This does not include payments on the boat. Boat would be paid for. Price of the boat will directly drive the ability to have a boat maintenance fund, if any.....

I have found a few expat health insurance plans that were relatively cheap, though I have not had the time to dive in and read the actually policy docs to see what they cover to determine if that is feasible. I agree that if we were stuck with ACA health insurance pricing that budget would be pretty well blown. I am hoping one of you may have the answer for the health insurance issue.

[captlloyd]

Originally Posted by bennenrkc

This does not include payments on the boat. Boat would be paid for. Price of the boat will directly drive the ability to have a boat maintenance fund, if any.....

I have found a few expat health insurance plans that were relatively cheap, though I have not had the time to dive in and read the actually policy docs to see what they cover to determine if that is feasible. I agree that if we were stuck with ACA health insurance pricing that budget would be pretty well blown. I am hoping one of you may have the answer for the health insurance issue.

Healthcare in Mexico is very good and inexpensive. Ask around when you get there.

[Fore and Aft]

If you make it to Australia we spend about $220 a week to feed a family of four, so that leaves plenty of your monthly budget to do other things.
The choice of your boat will put the biggest dent into your monthly budget. Owning a 40 foot cat is like maintaining two 40 yachts and a tennis court in-between. Two lots of engine spares when doing servicing, double the marina and slipway rate (at least here in Oz) etc. All that space is nice but you really pay for it.
Good Luck
Drew

[Sea Dreaming]

Originally Posted by bennenrkc

Price of the boat will directly drive the ability to have a boat maintenance fund, if any.....

This statement is a budget killer right there. Do not make this mistake. Your boat will need to be maintained, stuff will break. Not "maybe" but absolutely. If you don't plan for this in your budget, your voyage will end long before you want it too. "Penny wise and pound foolish".

[Kenomac]

Originally Posted by bennenrkc

Will we only be able to enjoy Mexico for that budget?

You can live well in the Med on your budget, where you can anchor most of the time instead of staying in expensive marinas. 1000 times more to see and the kids will receive a great history lesson.

There's more to life and cruising than cheap tacos. IMHO.

Keep in mind, many of the CF people posting on this subject have never cruised full time, and don't have any idea of what it actually costs. Most are just reposting what they've read. With $3600 per month over and above the purchase price of your boat, you'll be just fine.

PM Bulawayo for better more accurate information. They're doers... not dreamers.

Regarding Healthcare in Mexico being cheap and high quality for foreigners... What a crock.

[bennenrkc]

Originally Posted by Sea Dreaming

This statement is a budget killer right there. Do not make this mistake. Your boat will need to be maintained, stuff will break. Not "maybe" but absolutely. If you don't plan for this in your budget, your voyage will end long before you want it too. "Penny wise and pound foolish".

I guess I was meaning based on some of the earlier posts that mentioned we might not have enough that if we do switch to a monohull or a cheaper cat we would have an additional fund for boat maintenance over an above the other stated minthly amount.

How much of that monthly budgeted amount needs to go towards the boat? This is a question that I realize is also hard to answer.

So I guess I am taking your response to be that we can't do it for the stated budget amount without a significant increase for boat maintenance. Would an additional 100k maintenance fund be enough? More?

[Sea Dreaming]

Originally Posted by bennenrkc

I guess I was meaning based on some of the earlier posts that mentioned we might not have enough that if we do switch to a monohull or a cheaper cat we would have an additional fund for boat maintenance over an above the other stated minthly amount.

How much of that monthly budgeted amount needs to go towards the boat? This is a question that I realize is also hard to answer.

So I guess I am taking your response to be that we can't do it for the stated budget amount without a significant increase for boat maintenance. Would an additional 100k maintenance fund be enough? More?

Oh good gosh no! I don't mean to make boat maintenance seem like the devil. I just mean that you hAve to account for the costs and don't ignore that.
What kills any budget is cost overrun. Just keep a reserve for the inevitable cash out lay for unexpected repairs in remote places. A safety net that is readily accessible "just in case" 10,000 20,000, that's up to you.
Will you have enough? Yes! There are very good boats out there at nearly any price. Just don't sink every penny into the boat without leaving yourself a bit of room.

[Ramblingman]

You might want to check out the family on TOTEM.

Sailing Totem and their book. They will be at the US Sailboat Show in Annapolis this Fall.

They are in or just leaving Atlantic City NJ at the moment.