Pre-Paying Gratuities

[calvin31]

I was looking at the option to pre-pay gratuities for an upcoming cruise and what others thought were reasons why one might do this? Is it just to lessen the bill that comes after the cruise is over? I can see that or the other idea of 'if I have the money now why not just pay it?', but is there anything else?

 

 

Sent from my iPhone using Tapatalk

[diane.in.ny]

I seem to remember reading somewhere (here?) that currency exchange plays a factor in prepaying gratuities for non-US Dollar users.

 

Since I don't have access to a non US Princess site I can't check this out but I think if you prepay you pay in your own currency whereas if paid onboard, it is in US dollars. And there might be some currency exchange expense for non-US dollar passengers.

[jkrislc]

By paying in advance, you reduce your end of the cruise bill and also guard against any increases in gratuities if paid far in advance. However, if you have a lot of onboard credit, it may be better to use that towards the gratuities by not paying in advance.

[Tatka]

We only prepay if we don't get much obc (we don't use it much for other purposes) or if company is raising gratuities sometimes.

[easyboy]

Just to spread out expense over a period of time and lessen end of cruise bill.

[cb at sea]

To get it out of the way is the only reason. There is no discount for pre-paying. The hardworking folks deserve their tips, so there are no "specials"...

[calvin31]

The CAD vs USD response is interesting.... Currently the prepay account option has us set to be charged $19.58/day CAD for a mini-suite. At current exchange to USD that's $14.67/day USD. SO that's a bit over the $14.50/day USD that I'll be charged onboard.

 

 

Sent from my iPhone using Tapatalk

[daiB]

To get it out of the way is the only reason. There is no discount for pre-paying. The hardworking folks deserve their tips, so there are no "specials"...

 

 

And yet we have paid ours for Crown in May in £'s and working it out on the exchange at the moment we have paid about £30 to £40 less than we would if we had done the transaction using the actual rate of exchange. Clearly a time lag working in our favour.

 

 

Sent from my iPad using Forums mobile app

[rumbalizw]

And yet we have paid ours for Crown in May in £'s and working it out on the exchange at the moment we have paid about £30 to £40 less than we would if we had done the transaction using the actual rate of exchange. Clearly a time lag working in our favour.

 

 

Sent from my iPad using Forums mobile app

 

Same reason for us.

[NavyVeteran]

When Princess raised the "suggested" gratuity rate at the beginning of last year and again at the beginning of this year, they offered us the opportunity to prepay before a specified deadline at the lower rate.

 

My Cruise Personalizer for my 14-day cruise in March 2018 shows "Paid $217.00" under "Optional Gratuity Pre Payment" ($15.50 per day). However when I prepaid in September 2016, I only charged $195.30 to my credit card ($13.95 per day). My understanding is that Princess makes up the difference so that the crew gets the full current gratuities.

 

On this cruise, I saved $21.70 per person ($1.55 per day) by prepaying, without the crew losing anything. Since I had four 2017 and 2018 cruises booked at the time Princess announced the increase, there was a reason to prepay. I received 11.11% back on my pre-pay investment after 18 months - I don't know anyplace else I can receive that rate of return.

 

However, I never prepay unless there is a chance to avoid a price increase by prepaying. I see no reason to give them my money earlier. Some people like to avoid the larger charge later - I prefer keeping my money as long as possible.

[Tatka]

NavyVeteran, I am using exactly same logic.