The Unconventional Path of Cruise Ship Retirement

Table Of Content

• Good News For Retirees Seeking Consistent Income: The 4% Rule Of Thumb Could Now Be 4.5%
• What might make you think twice about living full-time on a cruise ship?
• Get Your Question Answered by a Financial Professional
• What's so desirable about retiring on a cruise ship?
• How confident are you in your long term financial plan?
• Living The Dream: Retiring On A Cruise Ship

Repeat cruisers like Farschman are also eligible for on-board credits towards premium meals, drinks, spas and other activities that can easily reach "hundreds of dollars per voyage," Farschman said. "Pandemic aside, I've been cruising for seven to eight months a year," Farschman said. "I am a world traveler and explorer type and cruising has literally allowed me to see the entire planet." Our goal is to deliver the most understandable and comprehensive explanations of financial topics using simple writing complemented by helpful graphics and animation videos. Finance Strategists is a leading financial education organization that connects people with financial professionals, priding itself on providing accurate and reliable financial information to millions of readers each year. Our team of reviewers are established professionals with decades of experience in areas of personal finance and hold many advanced degrees and certifications.

Good News For Retirees Seeking Consistent Income: The 4% Rule Of Thumb Could Now Be 4.5%

A retired couple sold their home to live on a cruise ship. This is how much they’re saving - CNN

A retired couple sold their home to live on a cruise ship. This is how much they’re saving.

Posted: Thu, 02 Nov 2023 07:00:00 GMT [source]

To purchase a 237-square-foot inside cabin with a virtual window for the life of the ship costs $1 million on average. Purchase prices for a one-bedroom, 1.5-bathroom unit averaged $2.7 million, with $111,000 in living fees. Some lines, like Regent Seven Seas, offer all-inclusive packages, including gratuity and off-shore excursions, while others have meals, classes, and entertainment factored into the original price.

What might make you think twice about living full-time on a cruise ship?

Retired singles may find it difficult to find the next love of their life floating around the Caribbean on a ship full-time. For introverts, it can be exhausting to continually make the effort to meet people. This sense of isolation during cruise retirement can be difficult for many people, especially if they have children and grandchildren with whom they are close.

Get Your Question Answered by a Financial Professional

But once major lines established clear Covid health protocols, serial cruisers were the first back on board. While Covid outbreaks have since been reported — including notable instances in San Francisco and Seattle — folks like Farschman say they feel safe while cruising. Holland America Line is one of the more popular lines for seniors seeking long-term itineraries.

7 places to retire for people who love cruises - MSN

7 places to retire for people who love cruises.

Posted: Fri, 19 Apr 2024 15:42:00 GMT [source]

Cruising's clarion call to retirees

"We have clients that have been on board for over a year," said The Cruise Web's senior marketing and operations coordinator Michael Harris. "Usually they've downsized their permanent residence back home with many even renting it out while on-board" to help cover the cost of cruising, he added. Although there are no hard numbers, retiring on a cruise ship is gaining an increasingly higher profile — despite the industry tumult caused by the coronavirus crisis. Kahler said those who spend long stretches at sea should have health that is stable, but he thought the option could also be good for those who might have more challenges with other kinds of travel. A financial professional will offer guidance based on the information provided and offer a no-obligation call to better understand your situation. For information pertaining to the registration status of 11 Financial, please contact the state securities regulators for those states in which 11 Financial maintains a registration filing.

What's so desirable about retiring on a cruise ship?

Here’s where the innovative option of cruise ship living sails into the picture. It presents an intriguing and cost-effective solution that challenges traditional retirement norms. By choosing life at sea, retirees can enjoy the inclusive perks of cruise living—meals, entertainment, and room service, all wrapped in the excitement of waking up to a new port every other day. It's important for individuals planning a cruise to review their Medicare coverage carefully and consider purchasing additional travel health insurance to ensure coverage for medical emergencies while at sea. Additionally, some cruise lines offer onboard medical services that passengers can use for a fee, so it's advisable to inquire about these services before embarking on a cruise. According to CruiseFever, a website that provides statistics about the ocean cruise industry, the average person spent approximately $237 per day aboard a cruise ship in 2022.

On the flip side, some world cruisers might be required to switch suites from one segment to the next. When weighing the costs of health care, it’s important to think about your overall health. Having a serious medical condition or certain risk factors for developing one, for example, could increase your cost of care. Besides the health aspect, you'll always need to have a solid backup plan.

Amenities

However, it also requires careful planning around healthcare and staying connected with loved ones. On the other hand, retirement communities provide a sense of permanence, deeper community ties, and ready access to healthcare tailored to seniors’ needs, set against the backdrop of a predictable, comfortable environment. Weighing the financial factors of retirement requires a clear understanding of costs and the ability to plan for both expected and unexpected expenses. "It depends on your personality and your pocketbook," says Chuck Flagg, with CruisePlanners of Canton, Georgia. Of course, many of the same criteria one might use to select any cruise apply to extended cruises as well.

According to Bankrate.com, the average single American spends around $48,000 per year on expenses. That includes everything, from housing to groceries to utilities to home maintenance, etc. Depending on the line, longer cruises may also enable members to accrue additional loyalty credits more rapidly. For example, on Oceania, cruises up to 24 days entitle a cruiser to one cruise credit while a cruise of 180 days is worth 15 cruise credits.

While you will have the opportunity to explore the world and meet lots of new people, you may find yourself missing the people you left behind. She was also working on boosting her loyalty status with Royal Caribbean. There are perks available to the highest loyalty levels that would save money when retirement time arrives. Complimentary laundry tops the list of valuable perks at the top levels on the mainstream lines, along with spa treatments and specialty restaurant meals, Wi-Fi discounts and free or discounted cruise nights. Even luxury lines like Silversea and Seabourn offer top loyalty members discounts and free nights.

It’s aimed at retirees looking to escape the freezing cold without permanently settling in the cruise line’s homebase of Miami. Others want to get creative—and one of the more creative solutions that’s starting to gain a bit of traction is the idea of retiring on a cruise ship. Upgraded connectivity has also allowed semi-retired cruisers to be based at sea while still working. Spending one’s golden years with a home address aboard a cruise ship is appealing enough that an entire industry has grown up over the past twenty years to meet the demand. Bringing pets on a cruise ship when retiring can be challenging, and it largely depends on the cruise line's policies and the specific cruise itinerary.

What you actually end up paying depends on the cruise line you choose, the duration, and where the cruise travels. Assuming the worst, we’ll break down costs and whatnot for booking consecutive week-long cruises below. What’s more, there’s no guarantee that they’ll be embarking on another voyage when this one ends. So, this may not be the permanent solution to living on a cruise that you’re hoping it will be.

However, this can be mitigated by adhering to a gym routine at the onboard facilities and watching portions and food choices. Lastly, for individuals aged 65 or older, Medicare coverage can be limited outside of the country. Cruise ships typically prioritize emergency care, with limited access to many specialized checkups or procedures. Those in good health may consider purchasing a private healthcare plan for extended travel. Now this isn’t all that you’ll spend if you decide to retire on a cruise (more on that in a moment), but it represents the bulk of what you’ll pay. In total, we calculate living aboard this ship would run a starting cost of about $120,000 a year for two people — or roughly $60,000 per person.

You might think that a cruise retirement means you’ll be surrounded by people, even people your own age. Most people won’t be living on the cruise ship, so making long-term friendships will be a challenge. The decision hinges on personal preferences, health considerations, and financial situations. Whether you’re drawn to waking up in a new city every few days or prefer the comfort of a familiar community, retirement is an opportunity to live according to your desires and priorities. On the other hand, retirement communities are designed with the senior lifestyle in mind, offering various levels of care, including assisted living and skilled nursing care. Retirement communities may provide a more suitable and secure environment for individuals requiring regular medical attention or those who anticipate needing higher levels of care as they age.

A basic cabin on the ship is going to cost you $562 per person, which shakes out to $43 per night. Enough people have been Googling “how to live on a cruise ship” that somebody decided to really deliver on the dream. Life at Sea Cruises is launching a 3 year cruise voyage in November, 2023. While you will likely meet new people at the same stage of life who share your enthusiasm for travel, your new friendships may turn out to be fleeting as a new crop of passengers boards the next segment of your cruise.