Simplicity or Moderation?
So far in our month of finance posts, we’ve gone over our savings goals and reducing our current spending. But of course all of this is meaningless unless we have a plan for how much we will be spending while we cruise. People have asked this question on every blog and every forum available to cruisers of all levels and with something as individual as personal spending it is a fairly difficult question to answer. The most common response is “it costs whatever you have” or “that’s the same thing as asking how much it costs to live on land…its all up to you.”
While I appreciate the idea behind the answer, I also think that there is a way to generalize expenses for people. I can tell you that it is possible to live on $750/month or less for a couple in my town if you rent or own a one bedroom shack, eat peanut butter sandwiches every day and don’t own a car or have other insurance. You could spend $2000/month living in a small 3 bedroom home, eating good meals at home, driving one car rarely and being otherwise frugal. Or you spend $5000/month on a nice home in a good neighborhood, drive expensive cars that get terrible gas mileage as much as you want, and eat out for every single meal to normal restaurants. I can’t tell you how much it would cost your family, but I can give you the basis to help you figure it out on your own.
That’s exactly what Beth Leonard has done in this fantastic article entitled “How Much Will Cruising Cost You?” and also in her book The Voyager’s Handbook. She details the spending habits of three fictional cruising families: the Simplicity’s in a 33 ft cutter, the Moderation’s in a 40 ft catamaran, and the Highlife’s in a 54 ft ketch. In my opinion, this is the best document on cruising budgets that I have found in any of my research, and is what Dan and I based many of our calculations on when trying to figure out how much we would need monthly and yearly to live at the level we desired. We believe that we can budget somewhere between the Simplicity spending of 8,000/year and the Moderation level of 20,000/year leaving at somewhere in the $1000-$1500 per month range. This budget was also verified by a seminar called Three Cruising Budgets given by George Day of Blue Water Sailing magazine at Strictly Sail Chicago this year.
Obviously, we don’t know for certain yet how much we will spend once we start sailing, but it is important for us to have some sense of direction to work with while planning. No one else will have the same budget as us (and certainly not one man on a forum that told us we would need at least $50,000/year…he and his wife spent $1500/month on food alone!) but we think that using a generalized picture has given us pretty realistic expectations. We’re always open for comments or suggestions, so leave one for us below!