ACREW announces their new partnership with Astilleros Shipyard in Palma de Mallorca and will hold their End of Season event there on the 26th & 27th October 2017! (mark the dates in your diaries folks!)
“It’s such a priviledge to be working with Astilleros de Mallorca who have a great reputation on the Island and beyond. We hope that this event is the start of a long and successful relationship!” Acrew
Stories from the Crew Side: Make the Most of Your Money in Superyachting
A Fascinating Crew Discussion with ACREW at the Palma Superyacht Show
Palma Superyacht Show 2017
ACREW have been running finance workshops and consultations for 5 years at their events for Crew. Financial planning has therefore become a key pillar to the new ACREW Membership Programme, ACREW United, launched at the Palma Superyacht Show. ACREW approached the crew finance issue from a new angle, hosting a discussion ‘Making the Most of Your Money: Stories from the Crew Side’. Crew and Captains that have learnt their own lessons in the financial sphere, shared their hard-earned wisdom and personal stories to help fellow crew.
Financial planning comes up again and again as ACREW talk to crew about what is important to them in their superyacht careers and United Advisers Marine and Reedman Wealth Management have helped hundreds of crew at ACREW events over the years. Most commonly, an experienced yachtie will say something along the lines of;
‘If I could give a newbie one piece of advice about their time in superyachting it would be “Get your finances sorted. Have a plan, as you may never again earn so much money with so few expenses!”’
ACREW were pleased to introduce a fantastic crew panel; Lars Molins, Captain Stephen Edwards and Lynley Robertson. Lars has over 15 years’ experience in yachting and is the founder of the leading Facebook yachting communities including Palma Yacht Crew which has over 37,000 members. Stephen, an experienced Captain working onboard a 56m Perini which joined ACREW at Caribbean Crewfest this year. Lynley, working onboard a 22m sail yacht as a chef, provided a unique angle, having joined superyachting later in her career.
Once underway the discussion quickly became audience led and included some great questions from the floor. On hand to answer questions were financial experts that covered the full spectrum of crew finance issues; United Advisers Marine (UAM), Reedman Wealth Management, International Foreign Exchange (IFX), Marine Accounts and Standard Bank. It was clear how much knowledge was present through these experts as the audience pulled no punches, asking some intriguing questions.
So much was covered, but the principal ‘take-aways’ are as follows.
Superyacht Crew recognise the need for financial advice
Each crew member is unique, but in terms of financial planning, Tim Reedman from Reedman Wealth Management commented ‘In the financial sphere crew are generally either knowledge poor or time poor, or both. The services of a financial adviser addresses these needs’. Having money to invest is one thing, but when considering the superyacht specific factors of travel, multiple currencies, lack of domicile, tax issues and more, it makes it a complex task to manage without professional help. Lars echoed Tim’s comments adding that he wished he ‘had taken up the services of a financial adviser when first entering the industry.’
Find an Adviser you can Develop a Relationship With
The relationship between an adviser and the client is of huge importance. Stephen has been working with his adviser for 15 years and their mutual trust and understanding has developed over time. He added that ‘being clear about your objectives is key. For me this means retiring at my chosen age, for others it is different. Your adviser will be able to adjust your plans when circumstances change if they are clear about the key objectives’.
Like any business professional, financial advisers need to make money. If this isn’t clear or they say they are working for free, be wary. Paul Evans from UAM shared ‘Obviously make sure they [finance advisers] are regulated, qualified and have good recommendations. Anyone who says they are working for free is lying. It’s in your adviser’s interest to make your money do more for you, but no investment is risk free.’
It is also important to remember that financial advice can be sought for diverse aspects of financial wellbeing such as tax and social security, as well as investments. It is wise to address your tax situation at the same time as considering making investments.
Get Yourself on the Map
In the discussion the importance of putting yourself ‘On the Map’ in terms of tax was stated from multiple sources. Of the British citizens in the audience, less than half had filed their tax return, with two crew members sharing the opinion that ‘Tax return forms in UK are terrifying!’. Patrick Maflin from Marine Accounts, experts in tax and mortgages shared ‘Paying tax in a chosen country is of great importance for later life when you need a good credit score. Think carefully where you may be buying property and make sure you are in the system somewhere.’
Use Superyacht Specific Tools and Products
Understanding the products and services that are available is of huge importance. Discussion of the limits of high street banks led to looking at how superyacht specific products and tools are designed. Sheena from Standard Bank shared the advantages of their Seafarer Account over a regular bank account. One area that was particularly important for crew was currency exchange. Shaun Dash from International Foreign Exchange added ‘the advantages a foreign exchange company can provide in terms of improved rates and the ability to lock in rates is hard to beat.’. It was agreed in most cases your financial adviser will act as a ‘gatekeeper’ of the products and services and recommend those that fit the best with a crew profile and objectives.
Overall the discussion has echoed historical findings about the complexity of financial arrangements for crew, and the need to be proactive to stay ahead of the game. Planning is key and if there is little time or understanding to create and stick to a plan, it’s time to find someone to help. Classic Members of ACREW United, the free level of membership, will be entitled to a complementary documented financial plan from Reedman Wealth Management or United Advisers Marine to start a clear and positive financial journey on the right foot! Any crew that wishes to qualify for a complementary financial plan should register with ACREW at acrew.com and then hit the redeem button for the financial plan on your profile page. Membership is at two levels, Classic (free) or Professional (paid) and this benefit is available for both levels.
Superyacht Crew Panel
Captain Stephen Edwards
Paul Evans, United Advisers Marine
Tim Reedman, Reedman Wealth Management
Shaun Dash, International Foreign Exchange
Patrick Maflin, Marine Accounts
Sheena Maddrell, Standard Bank
For more information about ACREW contact: firstname.lastname@example.org |+44 (0) 7584149370