Living aboard a sailboat is getting very close to my ‘Freedom Equation’ in the definition by aiming to lower your expenses and debt, to earn freedom etc.
Low expenses x Less days to earn money = More days to enjoy LIFE!
In Denmark, The Land of Taxes! The expenses to own a house are very high, taxes are to be paid yearly to own both land and property. High taxes are paid to get energy and delivery of this – it even cost taxes to flush the toilet or emptying the bathtub, because of the water drainage from your property. You have to pay interest rates of your expensive mortgages and tons of insurance to add bank safety. This is just a few examples to the expenses from owning a house in Denmark…
Adding all this together means you’ll have to earn many money to deal with all the expenses monthly, but before you are ready to pay the bills, you need to pay close to 50% of your income to the state. This means to buy a US Gallon of gasoline in Denmark I need to earn $12,50 to pay the price of $6,25 per US Gallon (Denmark 17. sept 2016)
Living on a sailboat in Denmark is not nearly as comfortably as in the Caribbean! The temperature is freezing in the winter and the summer is great, but don’t last very long. It may seems to extreme to live on a sailboat as a family with small children. The solution could be to buy a large sailboat, but in Denmark this will cost no less than $150.000 and this would result in loans – and then my ‘Freedom Equation’ falls apart!
My plan is to rebuild my sailboat and use this as the family’s floating RV on the sea. The sailboat would ease the way of travel, lower the expenses and add more quantity of quality time into the family. The sailboat is a way to get out and enjoy! Holidays, weeks, evenings and solotime!
My great plan is to buy a large steel hull in about seven to eight years, with money saved up for the project = no loans! This hull or barge will be rebuild into a floating house, over a period of approx. two years and when finished, the Houseboat will be the home of our family. This project are all ready in the process and plans are on the table, taking it’s first steps towards the future.
Why a barge? In Denmark you don’t pay taxes to own a barge or a sailboat, but if you’re Living Aboard, the hull need to be inspected by the government. If the Houseboat has an working engine the hull need to be inspected approx. every other year, costing no less than $6.000. If the Houseboat are without a working engine, the hull only need to be inspected one time every ten to fifteen years! The price are the same, but the time/period are very different and along my ‘Freedom Equation‘ the choice is to build on a barge without an engine onboard.
No taxes? This is of cause not true! You don’t pay taxes of the barge, sailboat or houseboat, however you pay a percentage of the insurance on the vessel to the Government. This means if your ‘Sweet Home‘ on The Seven Sea’s are insured to a value of $200.000 you’ll have to pay approx. $2.000 yearly. This is also called an Envy taxation in Denmark, this is quite normal and are actual not very high compared to other taxes in the laws of danish taxation.
Keeping the expenses low, also means keeping the expenses low on every day grocery, meat etc. By paying the tax of only $45 once a year, you are allowed to fish with small fishing nets in Denmark and fish catching themselves means more time to enjoy – or maintain the Houseboat!? Fish are very expensive in Denmark and many are willing to trade for meat or other grocery from their own Allotment or Holding – this are also in their interest to reach/trade out for resources in their great lifestyle of self-sufficiency.