APA Explained: The 25–40% You Never Budgeted
The APA — Advance Provisioning Allowance — is a prepayment of 25 to 40 percent of the base charter fee, paid before the charter and managed by the captain. It funds everything the yacht consumes while you are aboard: fuel, food, drinks, berthing and port fees. Unused funds are returned; overspend is settled before you leave.
Why does it exist at all?
Because nobody can price a week's fuel and provisions before they know your itinerary and your tastes. A charter that motors between four islands and drinks a particular vintage costs the yacht far more to run than one that anchors in a bay and drinks what is aboard. Rather than guess, the industry uses a float: you fund it upfront, the captain spends from it transparently, and you settle the difference at the end.
It is, in effect, an expense account you own and the captain administers. That framing matters, because it means the APA is not a fee — it is your money, spent on your behalf, with an account at the end.
What does the APA pay for?
| Item | Paid from APA | What drives it |
|---|---|---|
| Fuel | Yes | Distance covered — often the largest item on a motor yacht |
| Food and provisions | Yes | Your preferences; the chef shops to your brief |
| Drinks and wine | Yes | What you specify — this line can swing enormously |
| Berthing and port fees | Yes | Marina nights versus anchoring; peak-season berths are expensive |
| Communications | Yes | Satellite data if used offshore |
| Crew wages | No | Inside the base fee |
| Gratuity | No | Separate and at your discretion |
| VAT on the charter | No | Charged on the base fee |
Sources. APA mechanics and the 25–40 percent band as described by Epic Yacht Charters, Vital Charters and Royal Yacht International, consulted 1 September 2026. What falls inside the APA is set by the charter contract — most Mediterranean charters follow the pattern above, but check yours.
Two lines are often confused with the APA and are not part of it. VAT is charged on the base fee. The crew gratuity is a separate, discretionary payment at the end — how much is expected and how it is given is in yacht charter gratuity.
A worked example
On a €150,000 base fee with a 30 percent APA, you pay €45,000 upfront into the float. The captain spends against it through the week and hands you an account at the end.
- Spend €38,000 and €7,000 comes back to you.
- Spend €52,000 and you settle €7,000 before disembarking.
Neither outcome is a problem. What is a problem is arriving with no idea which one is coming — which is why the questions below are worth asking before you board.
What pushes the APA up?
Three things account for most overspends.
- Distance. Every hour under way on a large motor yacht is fuel measured in hundreds of litres. An itinerary drawn on a map without asking the captain about hours at sea is the most common cause of a top-up.
- Marina nights in peak season. A berth in a fashionable harbour in August can cost several thousand euros a night. Anchoring costs nothing. The difference over seven nights is a meaningful share of the float.
- Wine. The chef provisions to your brief. If the brief says particular labels, that is what goes aboard, at retail or better — and it comes out of the APA. This is the line most likely to surprise.
Five questions to ask before you pay it
- What percentage is the APA on this charter, and what is it calculated on?
- Roughly how many hours under way does the itinerary involve, and what does this yacht burn per hour?
- How many marina nights are planned versus nights at anchor?
- Will I see the running account during the week, or only at the end?
- What happens if the float runs out mid-charter?
A captain or broker who answers all five without hesitation is one who has done this before. The base fee these percentages sit on top of, and the full stack of lines around it, are in what a yacht charter really costs.
Common questions
Is the APA the same as a deposit?
No. A deposit secures the booking and is credited against the base fee. The APA is a separate float for running costs, paid closer to the charter date, and returned to the extent it is not spent.
Can I see how the APA is being spent during the charter?
You can ask, and a well-run yacht will show you a running account on request. Most captains present a full itemised statement at the end; asking for a mid-week summary is entirely normal and worth doing on a longer charter.
Why is the APA higher on some yachts?
Larger motor yachts burn more fuel and carry bigger crews to provision for, so the running-cost share of the base fee is higher. Sailing yachts and smaller motor yachts sit at the lower end of the 25–40 percent band; large motor yachts at the top.
Can the APA be reduced?
Materially, yes — by anchoring more and berthing less, by covering less distance, and by provisioning to a sensible brief. Tell the captain your budget for the float and ask what itinerary fits it. That conversation is cheaper than the top-up.
Before the float is paid
We walk through the APA line by line before you commit — hours under way, marina nights, provisioning brief — so the float is a number you chose, not one you discovered. Send us the region and the dates and we will start there.