1. Only the rich can afford one . . . Not so! Many aircraft owners are earning moderate incomes. How do they do it? Mostly through proper planning and a thorough education prior to making their purchase. You can learn about many aspects of purchasing an airplane at that's nothing more than a compilation of helpful resources for those who want to learn! 2. You must fly at least 50 hours a year before an aircraft purchase is justifiable. Well, it really depends on what you're using as a reference. If you're trying to beat the cost of renting . . . find another way. If you have some business use, rental use or a need to access an airplane on demand your own aircraft is certainly justifiable. Read more at 3. If my business use is not the majority of my flying, I can't depreciate my airplane. Wrong once again! Using the Sutherland Lumber case as precedent, you may be able to depreciate the majority of the value of your aircraft with as little as 27% businesses. Using Aviation Tax Specialists is critical when planning tax strategies for ownership of your aircraft. You can learn more at 4. It's cheaper to own an older aircraft than a brand new one. Probably not! With today's tax incentives, better interest rates for new airplanes and the controlled maintenance costs that a warranty provides, in most cases a brand new aircraft is less expensive. Additionally, your flying comfort level with the dependable instruments and equipment of a new airplane will confirm your decision to buy new. 5. Aircraft Salespeople are all "slime." My favorite! Sometimes the reputation of a few can tarnish an entire industry! Not to worry . . . There are some great salespeople out there who have your interest as their main objective. For 10 tips to choosing a super salesperson, 6. I found a "cream puff" with a low-time engine! Think that low-time engine is a good thing? Think again! The best thing you can do for an airplane is FLY IT! Don't be fooled by this myth. . . It'll cost 7. Those "whiz bang" avionics on the new planes create inferior pilots! On the contrary! Today's new equipment is all designed with increased safety as the prime motivator! Weather systems, traffic, navigational systems all provide the pilot with additional tools and resources in the cockpit where they're needed! After all, what good are they on the ground? Of course, the pilots need additional training to learn the equipment . . . Inferior pilot? 8. Finding a partner will make my aircraft purchase easier. Well, perhaps financially. But is the money you save worth losing availability, as well as a friend/partner? There are several areas for conflict from fair distribution of finances to cleanliness of the airplane. Before I throw a wet towel over the idea let me also admit that many partnerships are very successful. Just remember . . . your choice of partner should be taken very seriously. In fact some say that choosing your partner is similar to choosing a spouse! 9. Leasebacks are all 1-sided. (In favor of the flight school) Just like choosing a partner, choosing the right flight school to partner with is critical to the success of your leaseback. If you've done your due diligence, you'll find the leaseback arrangement to be a "win-win-win" situation: The school wins because they keep their cash for growing their business the owner wins with revenue generated and terrific tax incentives. The flight students win because they now have one more airplane at their disposal. Once again . . . proper planning! Learn the pros and cons of leasebacks: |
