When you fly, you’ll typically be given a choice to pay with cash or airline miles. Miles are the currency that airlines use in their rewards programs, and it’s possible to use them to book a flight at a deeply discounted rate – in many cases, you just have to pay the taxes and fees. In some cases, airlines use the term “points,” but the way you use them is the same.
Using and maximizing your airline miles can be a complicated process, especially if you want more than just award flights. If you’re curious how frequent flyer miles work, here’s what you need to know.
What Are Airline Miles Worth?
The value of airline miles can vary wildly based on a number of factors, including the rewards program, the cash value of the ticket, the itinerary, the cabin and more.
Unlike many credit card rewards programs, there’s no set value for airline points and miles. You can often get between 1 cent and 1.5 cents per mile on average. But depending on how savvy you are, you can frequently get far more value than that.
For example, many travel enthusiasts have managed to squeeze upward of 3 cents per mile with some redemptions, particularly international business-class flights. But while you may get more value per mile from that kind of award flight, it may be more worthwhile to book multiple economy-class flights instead.