# Points vs Cash Calculator: Should You Use Points or Pay Cash?

## The question every redemption comes down to

You've found a flight or a hotel, and you could book it with points or
with a credit card. The points feel free, but they aren't. Every point
you spend on this trip is a point you can't spend on a better one
later.

The right answer depends on one number: **the cash price at which using
points stops making sense.** The Points vs Cash calculator works that
number out for 36 airline, hotel and credit card programs. Enter what
the award costs, and it tells you to pay cash if the cash price is
below that line, and to use points if it's above.

---

## How to use the Points vs Cash calculator

1. **Pick a category.** Choose Airlines, Hotels or Credit Cards. The
   program list changes to match.

2. **Select the loyalty program.** Search by name. The calculator loads
   AwardHack's value for that program, shown under the valuation field
   in cents per point.

3. **Enter the award price.** Put the number of points or miles in
   **Cost in Points or Miles**, and any cash you'd still owe on the award
   (taxes, fees, surcharges) in **Taxes and Fees**.

4. **Add your own valuation (optional).** If you value the program
   differently, enter your number in cents. It replaces the default for
   this calculation.

5. **Compare against the cash price.** The result reads "Use cash if
   your airfare (or stay, or purchase) is less than" a dollar amount. If
   the cash price you found is lower, pay cash and keep your points. If
   it's higher, use points.

> **Tip:** Booking a cash plus points rate? Enter the points in the
> first field and the cash portion in Taxes and Fees. The math works
> the same way.

---

## The math behind the answer

The calculator converts the award into its cash equivalent:

**Cash equivalent** = points × value per point (in cents) ÷ 100 + taxes and fees

That cash equivalent is your break-even price. Paying cash below it
means your points are worth more saved for something else. Paying cash
above it means the redemption beats the average value of those points.

You can also run it the other way to see the value you're actually
getting:

**Your cents per point** = (cash price − taxes and fees on the award) ÷ points × 100

If your cents per point is higher than the program's valuation, the
redemption is a good one. If it's lower, you're spending points at a
discount.

---

## Worked examples

### A cheap domestic flight: pay cash

A round-trip domestic flight costs **25,000 United miles plus $11.20**
in taxes, or **$289** in cash.

- United MileagePlus value: 1.99¢
- Cash equivalent: 25,000 × 1.99 ÷ 100 + $11.20 = **$508.70**

The cash fare of $289 is well below $508.70, so pay cash. Using miles
here would get you (289 − 11.20) ÷ 25,000 × 100 = **1.11¢** per mile,
a little over half of what United miles are worth on average.

### Business class with big surcharges: pay cash

Some programs pass carrier-imposed surcharges on to award tickets,
British Airways on many of its own flights being the best-known
example. Say a business class seat costs **50,000 Avios plus $800**,
and the cash fare is **$1,200**.

- British Airways Avios value: 2.55¢
- Cash equivalent: 50,000 × 2.55 ÷ 100 + $800 = **$2,075**

The cash fare is lower, so pay cash. The 50,000 Avios would only save
you $400 over the cash price, which works out to **0.8¢** per Avios.

### A long-haul business seat with low taxes: use points

A one-way business class ticket costs **60,000 Virgin Atlantic points
plus $150**, and the same seat sells for **$6,000** in cash.

- Virgin Atlantic Flying Club value: 3.60¢
- Cash equivalent: 60,000 × 3.60 ÷ 100 + $150 = **$2,310**

The cash price is far above the break-even, so use points. You'd be
getting (6,000 − 150) ÷ 60,000 × 100 = **9.75¢** per point.

One honest caveat: only compare against cash you would actually spend.
If you'd never pay $6,000 for this seat and would fly economy instead,
the economy fare is your real alternative.

### A hotel stay: one night vs five nights

A hotel costs **80,000 Hilton points** per night, or **$450** per night
including taxes.

- Hilton Honors value: 0.59¢
- One night: 80,000 × 0.59 ÷ 100 = **$472**. The cash rate of $450 is
  lower, so pay cash.

Now book five nights. Hilton elites (Silver and above) get the fifth
night free on standard room awards, so the stay costs 320,000 points
instead of 400,000.

- Five nights: 320,000 × 0.59 ÷ 100 = **$1,888**, against $2,250 in cash.
  Now points win.

Same hotel, same nightly price, opposite answers. Always enter the
total points for the whole stay as quoted at checkout.

---

## AwardHack point valuations

The calculator uses AwardHack's estimated value for each program, listed
in the Point Valuations Reference tables on this page. A few things
stand out in the current numbers:

| Category     | Highest value                                         | Lowest value                              |
| ------------ | ----------------------------------------------------- | ----------------------------------------- |
| Airlines     | Aer Lingus 3.73¢, Virgin Atlantic 3.60¢, Lufthansa 3.20¢ | Allegiant 1.00¢, JetBlue 1.24¢, SAS 1.25¢ |
| Hotels       | Hyatt 2.19¢, Wyndham 1.30¢, Choice 1.26¢              | Radisson 0.41¢, Hilton 0.59¢, IHG 0.68¢   |
| Credit cards | Wells Fargo 2.38¢, Citi 2.29¢, Bilt 2.05¢             | Barclaycard 1.00¢, Brex 1.60¢             |

**Point counts don't compare across programs.** It takes about 37,000
Hilton points to match the value of 10,000 Hyatt points. A 40,000-point
Hilton night and a 40,000-point Hyatt night are not the same price,
even though they look identical.

**Hotel points vary more than airline miles.** Hotel valuations range
from 0.41¢ to 2.19¢, a more than fivefold spread. That's why the
"is this a good deal?" answer for a hotel can flip depending entirely
on which chain you're looking at.

To see what your whole balance is worth in dollars, use the
[Points Valuator](/tools/pointsvalue).

---

## When to use your own valuation

The default valuation reflects typical value. Your value may be
different, and that changes the answer.

**You redeem mostly for premium cabins.** If you consistently get 3¢ or
more from a program, enter that. A higher valuation raises the
break-even, so more cash prices will tell you to pay cash and save
your points for the trips where they shine.

**You're booking with transferred bank points.** If you'll move Amex,
Chase, Citi, Capital One or Bilt points into an airline or hotel program
to book, what you're really spending is bank points. Divide the bank
currency's value by the transfer ratio and any bonus. For example,
transferring Amex Membership Rewards (1.99¢) to Virgin Atlantic at 1:1
with a 30% bonus means each Virgin point costs you 1.99 ÷ 1.3 = **1.53¢**.
Enter 1.53 as your custom valuation. Check
[current transfer bonuses](/tools/transfer-bonus) and the
[Transfer Tool](/tools/transferTool) for ratios before you move anything.

**You have a large balance and nothing planned.** Points don't earn
interest, and programs raise award prices over time (Hyatt moved to a
five-band award chart in May 2026, for example). If points would
otherwise sit idle, a slightly lower personal valuation is reasonable.

---

## What the break-even doesn't capture

The calculator gives you the math. A few factors sit outside it:

- **Cash bookings earn rewards.** A paid fare or hotel stay usually earns
  miles or points and counts toward elite status, while award bookings
  usually don't. That nudges close calls toward cash. If you pay cash
  for a flight, the [Flight Creditor](/tools/which-program) shows which
  program earns the most miles for it. For hotels, the
  [Hotel Earnings Estimator](/tools/hotels) shows what a paid stay earns.
- **Fees that awards avoid.** Hyatt and Hilton waive resort fees on
  award stays, so compare against the all-in cash price, resort fee
  included.
- **Cancellation rules.** Award tickets and cash fares often have
  different change and refund rules. Check both before you decide.
- **Live prices.** The calculator doesn't search award space or cash
  fares. Use the [Award Flight Pricer](/award-charts) to see what a route
  costs in miles across programs, then confirm availability with the
  airline.

---

## When to ignore the math

**The cash would strain your budget.** If paying $1,500 means skipping
the trip and you have the points, use them. A below-average redemption
on a trip you take beats a perfect one you don't.

**Your points are about to expire.** Any redemption is better than
losing the balance. Check whether a small amount of activity would
extend them first.

**You're close to elite status.** If a paid booking would push you into
the next tier, the benefits of that status can outweigh the value of
the points you'd save.

---

## Frequently asked questions

### Is it better to use points or cash?

Use points when the cash price is higher than the award's cash
equivalent: points × value per point, plus taxes and fees. Pay cash
when it's lower. The calculator above works out that break-even for
you.

### How do I calculate cents per point?

Subtract the taxes and fees on the award from the cash price, divide
by the number of points, then multiply by 100. A $600 flight that costs
30,000 miles plus $50 gives (600 − 50) ÷ 30,000 × 100 = 1.83¢ per mile.

### What is a good cents per point redemption?

It depends on the program. Compare your cents per point to the
program's valuation in the table on this page. Getting 1.5¢ is strong
for Hilton (valued at 0.59¢) but weak for Virgin Atlantic (valued at
3.60¢).

### How much are 100,000 points worth?

At AwardHack's current valuations, 100,000 Amex Membership Rewards
points are worth about $1,990, 100,000 Chase Ultimate Rewards points
about $2,000, 100,000 Hyatt points about $2,190 and 100,000 Hilton points
about $590. Your real value depends on how you redeem them.

### Should I use points for cheap flights?

Usually not. Cheap fares tend to produce low cents per point, as in
the $289 United example above. Pay cash, earn miles on the ticket, and
save your points for expensive fares and premium cabins.

### Is it worth using hotel points instead of cash?

It can be, especially on expensive nights, longer stays where a free
night applies, or at resorts where award stays skip the resort fee.
Hotel point values vary widely by chain, so check the break-even for
each program rather than assuming.

### Do award tickets earn miles or elite status?

Generally no. Award tickets and award nights usually don't earn
redeemable miles, points or elite credit. Paid bookings do, which is
worth factoring into close decisions.

### Where do the valuations come from?

They're AwardHack's estimates of what each program's points are
typically worth, listed in the reference tables on this page. You can
override any of them with your own number in the custom valuation
field.

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## The bottom line

Points are a currency, and every redemption is a purchase. Before you
book, enter the award price above and compare the result to the cash
price. If cash is cheaper, pay it and keep your points for a trip where
they're worth more. If the award comes out ahead, book it.

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Source: https://awardhack.com/tools/pointsorcash | Updated 2026-10-13