User talk:Vmshma

Depreciation of vessels
I'd like to know your source of information that an older yacht loses 20% of its value per year in depreciation. We have a 1980 27' Aloha sailboat which is worth $10k more than when we bought it ten years ago.

Aloha27- 29 December 2007 1845UTC

My source is my experience in the boating industry.

I do not attempt to discuss the depreciation of vessels, rather annual maintenance cost expressed as a percentage of the purchase price of a boat. As older vessels more often than not have a lower purchase price and require more upkeep, the percentage cost would necessarily be greater for a new boat than an old one.

Depreciation, ie tax depreciation in the US is a whole different barrel of fish that I leave to my accountant. That said, I am unfamiliar with the Canadian tax laws but am aware of the more competitive nature of the US boat charter business.

I am also very interested in speaking to other cruisers.