Would you ever retire on a cruise ship?
You’ve probably heard about the trending idea of retiring on a cruise ship. And you’ve also probably dismissed it as sounding absurd. But not so fast! Let’s break it down: Retirement living is generally made up of 3 phases:
-The active phase, where you’re still fully independent.
-The phase where you may need a bit of some assistance with meals and daily chores.
-The phase where you need a far greater level of healthcare.
If you decide to retire on a cruise ship, this will suit the independent phase. But it can also be compared to the assisted living option most people consider on land. Cruise ships and retirement communities include lodging, social gatherings, food, utilities, and housekeeping.
Yet they also include enrichment activities such as guest lecturers, movies, art classes, computer classes, or dance classes.
If you add to that the ability to travel the world without dealing with airplanes and hotels, it makes sense that many people view living on a cruise ship as an excellent retirement plan.
But how do you go about it? Is there a set “How to Retire on a Cruise Ship” guidebook to aid you in making informed decisions about the feasibility and cost of living out your golden years at sea? What other considerations should be taken into account?
Well, as always, Retirement In USA has done its research to see where it would take us. Here’s what we learned about how to retire on a cruise ship. Let us know if you think it’s a good idea!
Retiring on a cruise ship… The residential version
A residential cruise ship is an alternative to sailing on a traditional cruise line. You can lease or buy a cruise ship cabin on a luxury residence ship.
The most renowned of these is The World, but there’s also Victoria Cruises Line, which plans to turn two vessels into residential ships designed for long-term living.
Ownership simplifies a few things, and your only additional costs will likely be port expenditures and travel when you leave the vessel. You can also rent out your cabin when you’re not using it, helping offset the costs.
Storylines, for instance, sells staterooms for quarterly seasonal shared ownership or the life of the ship. Twenty-four-year lease options are also an option.
Besides the initial purchase or cost of the lease, residents must pay an all-inclusive living fee per person monthly that covers the ship’s food and beverages, laundry, housekeeping, Wi-Fi, and fuel. So, exactly what kind of costs are we looking at?
To buy a 237-square-foot cabin with a virtual window for the ship’s life costs approximately $1 million. A twenty-four-year lease is about $650K. Storylines also charges an extra all-inclusive living fee to cover their onboard services.
For an interior stateroom, this mandatory fee is $2,586 per person monthly, based on double occupancy, or $62,064 annually for a couple living together. Prices for a one-bedroom, 1.5-bathroom unit average at about $2.7 million, with $111,000 in living fees.
These figures are in addition to the upfront costs of leasing or buying. If you can invest in a lease or ownership of a stateroom, your cost per night can be lower than cruising the traditional way.
However, we strongly recommend you speak to an advisor about investing your retirement savings before making any final decisions.
Retiring on a cruise ship… the traditional way
Even though bargaining with cruise lines for a lower price on a long-term arrangement is possible in many cases, you could book 52 back-to-back weekly Caribbean cruises from Miami on Carnival Cruise Line’s Carnival Celebration for about $43,000 per person in an inside cabin.
That comes out to about $118 per person per night. But consider carefully whether you can live year-round in a windowless room.
Looking for Carnival’s most affordable cruises on older ships, you could get an average of below $50 per person a night in inside cabins and about $110 in balcony cabins, including port fees and taxes. That means your cruise fare could be as little as $18,250 a person annually.
The bad news, though, is that the fare isn’t the only cost you must consider. If you decide to return home or change ships, you must budget for flights between ports and occasional hotel stays. Also, there are tips for staff to consider, totaling thousands per person yearly.
All that puts the minimum for a couple or someone traveling alone just over the $50,000 per year mark.
There’s no limit to how much you would spend on retirement on either sea or land, but here are some examples of what we discovered: A year onboard the Britannia in a balcony cabin could go for roughly $53,000 or $145 per night for each person.
A year on the Queen Elizabeth in a balcony stateroom would cost about $64,000 or $175 per night per person. Both options allow you to see a big chunk of the world.
On the other hand, a year onboard a luxury cruise line like Seabourn, Silversea, or Regent Seven Seas means cruising on those lines includes things like gratuities, tours, laundry, alcoholic beverages, and most specialty dining.
Now that you know a bit more about your options, let’s talk about pros and cons:
Pros of retiring on a cruise ship
-You’ll be treated to exceptional service: Retiring on a cruise ship is all about attentive service, making passenger ships the perfect place to live out your golden years.
Staff are always more than willing to go that extra mile to keep the passengers as comfortable as possible and are more than happy to accommodate your needs. You’ll also be offered many dining options. So you’ll never have to lift a finger in the kitchen again.
After all, you deserve a little attention when you’ve spent your entire life looking after other people, right?
-It’s cost-effective: Despite what people may think, living on-board a cruise ship is frequently significantly more affordable than living in a serviced retirement home or constantly spending money on a house’s annual upkeep.
Many lines offer special long-term contracts and fractional ownership arrangements, making the deal even better. With extra beverages, food, and entertainment often included in cruise ship deals, retiring on a cruise ship will also reduce your day-to-day living expenses.
-The never-ending entertainment: While we’ll admit that there are retirement homes that offer day trips to the mall, cinema, and other nearby attractions, nothing beats the sensational entertainment factor of cruise ships!
From shore excursions to cabaret shows, bingo tournaments, comedians, day spas, and more, those choosing to retire on a cruise ship are spoilt for choice.
-Travel opportunities: One of the best advantages you’ll have if you choose to retire on a cruise ship is the opportunity to travel.
You eliminate the hassle and stress of airports and can embark on pre-arranged excursions, which makes sightseeing more accessible than ever. With a long list of local and international destinations, retiring at sea keeps the excitement of travel truly alive!
Cons of retiring on a cruise ship
-The gossip factor: A residential ship is essentially a tiny community floating around in tight quarters!
It gets to be petty, gossipy, and overall very much like the cliques in high school. To some extent, it’s like being in a sorority or fraternity where you’re trying to get along with people.
-Forget about your weekly Costco trips: Even though you can compare a residential ship to a condo, a ship is still small.
And when you walk out of your apartment, you’re limited by where you can go. There is no hopping in the car and going to the supermarket or taking a road trip on a whim.
-Consider your healthcare needs: A person dealing with a chronic health condition can wind up in deep trouble if they need more medical help than a cruise ship can deliver.
For more on the matter, check out this fantastic read from Amazon: Sailing Into Retirement: The Ultimate Guide to Retiring on a Cruise Ship
Would you ever want to retire on a cruise ship? Feel free to share your thoughts in the comments below! And if you liked this article, we recommend you also check out: 10 Early Retirement Tips and Tricks From Those Who Have Succeeded
