Flying private boasts many perks, conveniences, luxuries, and advantages that commercial fight simply can’t compete with. And there are people who believe that to have access to these quality of life benefits when they travel, they have to own a private jet.
However, looking to own a private jet carries many obvious, immediate expenses — such as mere cost of the initial purchase — as well as others that are far less obvious, but all factor into the total yearly cost.
Here’s a breakdown of the cost a private jet owner can expect to run into, including the cost of acquiring the aircraft, maintenance and other related expenses.
Purchasing a Private Jet
Private jets vary in price. Some of the factors that determine the price include the size, the engine and how recent the model is.
For second-hand private jets, which present more affordable options, there are other factors that cause stark price differences. One is the overall number of miles the jet has flown altogether and its general condition, in addition to the factors mentioned above.
However, a general range to go by is that a private jet costs anywhere between USD3 million and USD90 million. While that appears to be a vast difference in potential options, it merely reflects the breadth of options available to prospective private jet owners.
By way of example, a pre-owned 2011 Cessna Citation X costs between USD10 million. Meanwhile, a Gulfstream G650ER costs USD38 million pre-owned, and USD43 million when bought brand new.
However, that’s only accounting for the base prices. Prospective buyers also need to account for the costs of any upgrades they may wish to purchase. If the owner decides they’d like to add some customizations and extras for added comfort and luxury, that can drive the cost into the hundreds of millions.
Maintenance and Operation
Private jets require costly maintenance. And, depending on the factors like rate of use and the model, the cost typically falls between USD500,000 and USD1 million per year. This is only accounting for regular maintenance, which can have other costs pile on top of it in the event of any issues.
Beyond that, a potential owner also needs to account for a crew member salary. There are different ways to hire a crew member, and some may only prefer to be kept on payroll as full-time staff. Others may prefer to be paid a fixed rate per flight hour.
If the owner decides on hiring full-time staff, the pilot will cost an average of USD250,000 per year. And that’s not factoring in the rest of the crew, who — combined — can result in expenses exceeding USD400,000 per year.
Fuel for each trip is another obvious cost that an owner will have to bear in mind. Filling up an empty tank costs USD11,000 on average. For planes with larger tanks, however, such as the Global Bombardier 8000 with its 50,000-pound tank, costs go up significantly.
The crucial thing to remember is that all these costs go up with increased use. So the more frequently the private jet owner takes trips, the greater they can expect some of the bills cited above to be. With fuel alone, even semi-frequent flying can lead to expenses totaling USD400,000 and USD900,000.
A private jet owner also has to think about paying for insurance. There are different policies the owner can take out, with each covering different incidents and aspects of potential breakdown.
For example, they can opt for single limit liability, which — while typically a relatively low rate — may fail to cover the full cost of repairs, replacement, and similar incidents when the private jet owner makes a claim. Even then, this type of policy can come with a hefty fee of nearly USD70,000. It adjusts based on how lenders view the individual’s profile other factors such as their frequency of flying.
Or they can take out a hull insurance policy, which is advisable if there will typically be valuable goods onboard. However, this will also add to the cost.
Most policies cover common issues like environmental damage within a single comprehensive plan. But there are extra additions to the insurance policy that accrue based on different factors, such as the number of passengers that will typically board the flight. Minor infractions of the terms void the policy, so an owner will typically have to go for pricier options that provide more allowance.
A hangar is needed to store and protect the plane. And it’s another expense that’s determined by multiple variables.
One is the size of the plane, with larger ones demanding much higher hangar renting costs.
For a relatively small private jet, it may be possible to secure hangar space at a cost of USD3,000 per month, or USD36,000 for the full year.
Larger ones attract correspondingly higher rates, up to USD8000 for a single month., adding up to USD96,000 a year.
Charter a Private Jet
After looking at all these fixed and associated costs of owning a private jet, many flyers find that private jet charter is the best option. For those planning to fly less than 150 hours each year, that’s certainly the case. Even when flying for longer, private jet charter is still nearly always a better option.
Not only is private jet charter more affordable overall, but it takes out all the hassle and paperwork a flyer would otherwise have to deal with. And they also get to enjoy some of the upgrades they may have decided against purchasing due to cost, had they opted to buy a private jet. Air travelers can enjoy all the comforts, luxuries, and conveniences of a private jet — all without the need to own one.
Airacer specializes in making that possible for flyers like you, letting you enjoy all the benefits of flying private. Get in touch and receive a free charter quote for your next trip!