The sticker price of a private aircraft is only the beginning of the ownership journey. Too often, buyers focus on acquisition cost while underestimating the ongoing expenses that define the true economics of ownership. These Direct Operating Costs (DOCs) can easily add millions of dollars per year to the financial commitment. Understanding them upfront ensures you buy an aircraft that not only fits your mission but also your budget.

BREAKING DOWN DIRECT OPERATING COSTS

FUEL

Fuel is the largest variable expense. Consumption varies significantly by category: a light aircraft may burn 110-140 gallons per hour, while an ultra-long-range aircraft can exceed 500 gallons per hour. With aircraft fuel averaging $6 per gallon in many U.S. markets, that difference translates to thousands of dollars per flight hour.

CREW SALARIES AND TRAINING

Professional pilots, cabin attendants, and schedulers all contribute to a safe, reliable operation. Salaries range widely depending on aircraft category and experience, from around $120,000 per year per pilot on light aircrafts to well over $250,000 for captains of long-range aircraft. Factor in benefits and mandatory simulator training, which can cost $30,000–$60,000 annually per pilot.

MAINTENANCE AND PROGRAMS

Scheduled inspections, unscheduled events, and component replacements are part of aircraft ownership. Enrolling engines, APUs, and avionics on hourly cost programs (such as Rolls-Royce CorporateCare, Honeywell MSP, or GE OnPoint) can stabilize expenses and protect resale value. While program costs may feel high, they often prevent seven-figure surprises.

INSURANCE

Premiums depend on aircraft type, hull value, liability coverage, and crew experience. For a midsize aircraft, expect $70,000–$90,000 annually. For a $75 million long-range aircraft, premiums can exceed $120,000 per year.

HANGAR AND PARKING

Hangar costs vary widely by location. In Wichita, a heated hangar might cost $50,000 per year, while in New York or Los Angeles, annual rates can exceed $200,000. Remote parking, de-icing, and positioning flights also add up.

OPERATIONAL SUPPORT

Flight planning, scheduling software, catering, ground handling, and trip support services may seem small compared to fuel or maintenance but can add thousands per trip. These details are critical to a seamless passenger experience.

Examples of Hourly Costs:

• Light Aircraft: ~$1,200/hr

• Super-Midsize Aircraft: $2,500–3,000/hr

• Ultra-Long-Range Aircraft: $4,500+/hr

A buyer who focuses only on acquisition cost might be shocked when DOCs for an ultra-long-range aircraft exceed $3–4 million annually, even with moderate utilization.

WHY DOCs ARE MORE THAN NUMBERS

Understanding DOCs isn’t just about affordability — it’s about sustainability. An aircraft that strains budgets leads to deferred maintenance, frustrated executives, and early resale. Conversely, a properly matched aircraft allows owners to operate confidently, focusing on the productivity and freedom private aviation provides.

FINANCIAL PLANNING FOR OWNERS

Sophisticated buyers approach aircraft acquisition like they would any other major capital investment. They model five- and ten-year ownership horizons, including acquisition, DOCs, and projected residual values. They consider scenarios such as fuel price increases, higher utilization, or changes in tax policy. This forward-looking approach avoids unpleasant surprises and ensures the aircraft remains an asset, not a liability.

The glamour of private aviation begins with the purchase, but the reality of ownership is defined by operating costs. Knowing what to expect — and planning for it — transforms ownership from an open-ended liability into a predictable, rewarding investment in time, productivity, and flexibility.

At Holstein Aviation, we provide clients with detailed DOC modeling tailored to specific aircraft, missions, and operating environments. Our IADA-certified professionals use real-time market data and decades of experience to help clients select aircraft that deliver not just on performance, but on sustainable ownership. With Holstein Aviation, every client enters ownership with eyes wide open, equipped for long-term success.