Should I Pay My Flight With Miles

SinCity · **Posted:** Sat Mar 07, 2009 2:34 am

That was an excellent ROI analysis Mr. Senordos.

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

Thanks SC,
Discount travel is a hobby of mine and frequent flyer miles play a big part in making it affordable. Although it's very interesting to me, I know I'm guilty of boring alot of other people when I ask what there frequent flyer strategy is.

However, if you are interested in maximizing your CPM (cents per mile) when you travel you may want to check out a very powerful fare tool that farecompare created for members of flyertalk.com. With it you can sort by CPM from your home city to everywhere, or limit it to different regions, or pick all north american cities. You can further filter your results by airline alliance or individual carrier. It's fun to play with.

Goto: http://www.farecompare.com/search/flyertalk.html?

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

That's a nice benefit, I've taken advantage of it when I've used OnePass miles on NWA metal. However, with upgrade availability so plentiful on NWA flights why would anyone use miles for a first class ticket? My guess is that you'll lose that benefit soon.

Ciaociao32001 · **Joined:** Tue Jan 03, 2006 3:26 am **Posts:** 1735

Senordos wrote:

Youâ€™ll also pass on space available free upgrades to first class (and companion upgrades for Plats).

Senordos

Cogent and correct analysis with which I agree fully. One "pic" I have is that CO Golds are also eligible for companion upgrades. As a beneficiary of your Platinum largesse and a newly minted Gold, I hope to return the favor some day.

Ciaociao

BrownCow · **Posted:** Sun Mar 08, 2009 2:18 am

Senordos wrote:

Srilm wrote:

Quote:

My rule of thumb is that 1000 miles are worth $10. So if a ticket to somewhere is $300, then I would not use more than 30,000 miles for it

So you value your miles at a penny, miles were generally valued not too long ago at 2 cents a mile. Personally they are worth about 1.5 cents to me. In any case it depends on how you or somebody else uses them.

No matter how you value your miles donâ€™t forget to factor in your opportunity costs. This is even more important if youâ€™ve achieved elite status within your program (or plan to). For example if a gold (or platinum elite) Continental OnePass member gets an award ticket from the Great Lakes area to San Jose they will be required to redeem 35,000 miles. But they will also be out the over 5,000 elite qualifying miles they would have earned if they had purchased the tickets. Now add their 100% elite bonus (another 5,000), and any other promotional or credit card bonuses. Youâ€™ll also pass on space available free upgrades to first class (and companion upgrades for Plats).

So even if Srilm does not value first class upgrades, has zero elite status and does not seek it, he should still factor in the foregone 5,000 miles (or whatever the actual miles are from his home airport). So his calculation would be 35,000 (cost of award) plus 5,000 (forgone miles) multiplied by a penny a mile, for a total of $400.

An elite flyer that values their miles at 1.5 cents would calculate 35,000 (cost of award) plus 5,000 (forgone miles) + 5,000 (bonus) multiplied by 1.5 for a total of $675. At this point it would also be fair to factor in how they personally value an upgrade to first class and add that to the cost. Finally they should review their overall frequent flyer strategy, they may need the miles to be elite qualifying to make their status goal for the year.

PERFECT analysis... could not have said it better myself...

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

Thanks QBF and Ciaociao.

Ciaociao wrote:

Quote:

Cogent and correct analysis with which I agree fully. One "pic" I have is that CO Golds are also eligible for companion upgrades. As a beneficiary of your Platinum largesse and a newly minted Gold, I hope to return the favor some day.

You are of course correct and I meant to include Golds. Gold is now the biggest bang for the buck and worth achieving even if you have to pull a pure year end mileage run or two. Silver's mileage bonus was reduced to 25%, while Gold's was left alone at 100% which after reducing from 125% is the same now as Platinum's bonus. And as you point out at Gold you get the extra upgrade for a companion but nothing additional for Platinum.

However, if you can fly the extra 25K miles to earn Platinum you will of course still queue ahead of otherwise equally ticketed Golds and Silvers for upgrades. Additionally there are some fees that get waived for Plats (most notable the new $150 change or restocking fee for award tickets). And while still a member of Skyteam you can get free access to President's clubs and partner lounges while traveling internationally.

cordob12 · **Joined:** Sat Apr 22, 2006 6:02 pm **Posts:** 60

Livincr wrote:

when you have 65,000 miles you can go to Thailand

With 60000 USair miles I twice flew to Thailand (now it's 80000) but I'm booked right now for Thailand with 60000 Delta miles.

I cut off at $300 for a 30,000 airmile flight. Anything less and I'll pay for the ticket.

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

Gordob123 wrote:

Livincr wrote:

when you have 65,000 miles you can go to Thailand

With 60000 USair miles I twice flew to Thailand (now it's 80000) but I'm booked right now for Thailand with 60000 Delta miles.

I cut off at $300 for a 30,000 airmile flight. Anything less and I'll pay for the ticket.

You can go for about 48,000 miles from some cities right now, or 24,000 miles and $265 on Delta/NWA, for details on how see:
http://costaricaticas.com/phpBB2/viewtopic.php?t=28043&sid=a789656a45c44788125d5e1f954f7eb7

Mucho Gusto · **Posted:** Thu Apr 09, 2009 11:29 pm

Gordob123 wrote:

With 60000 USair miles I twice flew to Thailand (now it's 80000) but I'm booked right now for Thailand with 60000 Delta miles.

For my upcoming trip to SEA in June, my wingman and I paid 110,000 miles (each) for 1st class tickets from Florida to BKK with American Airlines. It was 70,000 miles for a coach seat, plus an additional 40,000 miles to upgrade to 1st. But we're flying with AA's code-share partners - Cathay Pacific on the way over, and Japan Airlines on the return. If we had to "purchase" these tickets, we would've paid somewhere between $8,000 to $10,000 each. For that kinda money, it's certainly worth using up some FF miles!!!

Actually, now that I think about it.... we did have to fork over some actual $$$. The taxes (per ticket) were $62 each!!

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

First Class award travel on Delta/NWA is discounted by 25% right now. Coach is up to a 20% discount. There is also a 100% bonus mile promotion for transfering miles. The upshot is you could travel to Bangkok for 48,000 miles (or 24,000 plus $265) in economy and for 90,000 miles (or 45,000 plus $475) in first class. A very good use of miles, since market rate for the airfares are $800 and $6,000 plus, in economy and first class respectively.

However you'd have to return by 6/15 for the promotion so you wouldn't be able to join Mucho Gusto, at least not for his entire trip.

For details on the promotions see:
http://costaricaticas.com/phpBB2/viewtopic.php?t=28043&sid=b9236d3df096f9c11db16eb52bfa0f0b

Cujo's · **Posted:** Fri Apr 10, 2009 12:41 am

Mucho Gusto wrote:

Gordob123 wrote:

With 60000 USair miles I twice flew to Thailand (now it's 80000) but I'm booked right now for Thailand with 60000 Delta miles.

For my upcoming trip to SEA in June, my wingman and I paid 110,000 miles (each) for 1st class tickets from Florida to BKK with American Airlines. It was 70,000 miles for a coach seat, plus an additional 40,000 miles to upgrade to 1st. But we're flying with AA's code-share partners - Cathay Pacific on the way over, and Japan Airlines on the return. If we had to "purchase" these tickets, we would've paid somewhere between $8,000 to $10,000 each. For that kinda money, it's certainly worth using up some FF miles!!!

Actually, now that I think about it.... we did have to fork over some actual $$$. The taxes (per ticket) were $62 each!!

Damn, I guess I just don't travel enough. The flight miles to CR for me is pretty low and I don't need another credit card. So how the hell are you accruing so many miles?

Helpa brotha out!

Cujo

Del Rey Dave · **Posted:** Fri Apr 10, 2009 12:51 am

Save them for a place that even on special is more than 700.00 factoring miles vs. time it takes to earn them.

Senordos · **Joined:** Tue Sep 02, 2003 12:13 am **Posts:** 785

Cujo wrote:

Quote:

Damn, I guess I just don't travel enough. The flight miles to CR for me is pretty low and I don't need another credit card. So how the hell are you accruing so many miles?

If I recall correctly, MG does it by putting all his business expenses on his credit card.

Another way would be to first pay for your ticket to somewhere like Bangkok. Depending on how you fly you might even earn elite status with your airline and get bonus miles for future trips (25,000 miles). If you fly 50,000 miles a year you'll earn gold level with Continental which will give you 100% bonus in redeemable miles for every mile you fly after you earn your status. You'll keep your status for the rest of the year, the entire next year, and the first 2 months of the following year. So if you stay Gold every year by flying at least 50K miles, you'll earn at least 100K miles annually (usually more due to bonuses).

With Continental Gold Elite you will also get free upgrades to First Class on flight to San Jose for you and your "companion" (based on availability).

If you go this way you might as well also get a credit card w/ bonuses in your carrier's frequent flyer program. Right now if you sign up with Chase and Continental OnePass you'll get $50 off your next flight and 25,000 miles to start you off with. You used to get 5% off all flights for the first year of membership, but I don't know if that's a current promotion. You will earn 2 miles for every dollar spent on Continental tickets and 1 mile for every dollar spent on other purchases.

Rascal · **Joined:** Sat Nov 29, 2008 1:28 pm **Posts:** 493

Gringo Malo wrote:

Just checked and I can do round trip to San Jose from Chicago Ohare for under $300. That said; I have enough miles on Delta and on American for a freebie. Should I pay with miles or save them for when fares go up?

Recently had to make the same decision. I paid and saved the miles for a "rainy day". My gut tells me airfares will continue to be low but at some point will go "sky high".

Bigger issue is why lack of customer service, flight delays, cancellations, etc. Real pain in the ass.

cordob12 · **Joined:** Sat Apr 22, 2006 6:02 pm **Posts:** 60

Mucho Gusto wrote:

Gordob123 wrote:

With 60000 USair miles I twice flew to Thailand (now it's 80000) but I'm booked right now for Thailand with 60000 Delta miles.

For my upcoming trip to SEA in June, my wingman and I paid 110,000 miles (each) for 1st class tickets from Florida to BKK with American Airlines. It was 70,000 miles for a coach seat, plus an additional 40,000 miles to upgrade to 1st. But we're flying with AA's code-share partners - Cathay Pacific on the way over, and Japan Airlines on the return. If we had to "purchase" these tickets, we would've paid somewhere between $8,000 to $10,000 each. For that kinda money, it's certainly worth using up some FF miles!!!

Actually, now that I think about it.... we did have to fork over some actual $$$. The taxes (per ticket) were $62 each!!

That is the BEST use of airmiles that I have ever heard. 110,000 1st class to asia is sweet. Those 1st class tickets can get crazy expensive and it will be a treat. Cathay Pacific and JAL are excellent airlines. You'll be treated like royalty.
For 60K I flew Thai airlines on the JFK-BKK non stop (17 hours!!!) and it was pretty good service. This time I'm booked NW via Narita and on Korean Air (via Seoul) on the return. Economy tickets but only 60K through Delta is pretty good value. -Mind you the ticket is only worth something like $1400.

www.CostaRicaTicas.com

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