Are Your Airline Miles and Hotel Points Worth Less Now?

The value of your points and miles is up slightly, but it may not be enough to keep pace with inflation.

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Updated · 3 min read
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Written by Meghan Coyle
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Edited by Meg Lee
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Nerdy takeaways
  • American, Delta, JetBlue and Southwest miles are all worth the same now, giving flyers more choice.

  • Look to squeeze some value out of transfers rather than booking through an issuer's travel portal.

  • Do the math on your redemptions and compare against our valuations to make sure you're getting a good deal.

This has been an unusual year for currencies, period. Rising inflation has sent all sorts of costs skyrocketing (including travel prices). Meanwhile, the euro and British pound are falling in value relative to the U.S. dollar, making a European vacation somewhat … affordable?

With all of these fluctuating prices, how are the currencies of airline and hotel loyalty programs, better known as points and miles, being affected?

To get to the bottom of that question, NerdWallet turned to the data. The results of our annual analysis of the value of airline miles and hotel points is finally here, and it has some interesting stories to tell.

To get our estimates, we collect real-world data on thousands of flights and hotel stays and compare cash prices and award prices to determine the value of each loyalty program’s points.

Here’s how the value of miles and points compares to last year — and what changes you should make to your travel rewards strategy as a result.

Most airline miles are worth more

The good news is that almost all points and miles are worth more now than they were last year, possibly due in part to inflation, which has driven up the cash prices of flights and hotel nights.

Airline miles are now worth an additional 0.1 cent-0.3 cents in value across the board. For example, United Airlines MileagePlus miles were worth about 1 cent each in our last analysis, so 50,000 miles should have been able to get you a free flight worth about $500. If you didn’t use those miles last year, those same 50,000 miles are now worth 1.2 cents each. That means you can likely redeem them for a flight worth about $600 today.

Keep in mind though, inflation has driven travel prices much higher. According to the latest set of Consumer Price Index data, airfare prices are up 33% year-over-year in August. Meanwhile, the valuations of airline miles are up only 8.7% on average from last year. So even though your miles are valued higher, you might still have to shell out more miles for a flight than you would have last year because the flight itself is likely more expensive.

Hotel points-wise, one brand stands outs

Hotel points saw a similar increase to airlines exacerbated by inflation. But there is one huge jump that stands out: World of Hyatt.

Hyatt has long been a favorite of travelers because of its high value redemptions, and it has consistently had higher valuations than other hotel loyalty programs. Its fixed award chart has further cemented its value in this high-inflation year.

This year, Hyatt’s valuation jumped almost an entire cent, from 1.9 cents per point in 2021 to 2.2 cents per point now. That means its points are about four times as valuable as competitors’ like Hilton Honors (0.6 cent) and IHG One Rewards. (0.5 cent).

This discrepancy is likely due to Hyatt being the only hotel loyalty program with the aforementioned fixed award chart. The award chart specifies a limit for the highest number of points a night can cost at a certain property, even if the cash rate may go much higher. That’s where you’ll find Hyatt sweet spots.

How you might change your points and miles strategy

Based on our findings, here's what you should be sure to remember as you book travel into 2023.

Consider flying airlines besides Southwest Airlines and JetBlue Airways. Last year, JetBlue and Southwest had the highest-value airline miles, around 1.5 and 1.4 cents respectively. Now, American Airlines, Delta Air Lines, JetBlue and Southwest miles are all worth the same — around 1.5 cents. If loyalty with American or Delta is more convenient for you, start collecting their miles knowing that you’ll get about the same return.

Target high-value transfer partners. If you have a travel credit card that earns transferable points, you might spend less points by transferring to a high-value partner like Hyatt instead of booking a Hyatt hotel through the credit card’s travel portal.

Calculate the value of your redemption before you book. Not all redemptions are created equal. Make sure you divide the equivalent cash price of the flight or hotel by the number of points they want to charge you. If that number is lower than NerdWallet’s valuations, you might want to save your points for a better redemption. You can use an airline miles calculator to simplify your calculations.


How to maximize your rewards

You want a travel credit card that prioritizes what’s important to you. Here are some of the best travel credit cards of 2024:

😎 Metal Travel Cards
Chase Sapphire Preferred Credit Card

on Chase's website

Chase Sapphire Preferred® Card
5.0
NerdWallet Rating
Rewards rate

1x-5x

5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases.

Points

Intro offer

60,000 Points + $300 Travel Credit

Get up to $1,050 in Chase Travel℠ value. Earn 60,000 bonus points after $4,000 in purchases in your first 3 months from account opening. That’s worth $750 when redeemed through Chase Travel. Plus, get up to $300 in statement credits on Chase Travel purchases within your first year.

Capital One Venture Rewards Credit Card

on Capital One's website

Capital One Venture Rewards Credit Card
4.7
NerdWallet Rating
Rewards rate

2x-5x

Earn unlimited 2X miles on every purchase, every day. Earn 5X miles on hotels, vacation rentals and rental cars booked through Capital One Travel, where you'll get Capital One's best prices on thousands of trip options

Miles

Intro offer

75,000

Enjoy a one-time bonus of 75,000 miles once you spend $4,000 on purchases within 3 months from account opening, equal to $750 in travel.

Miles
Chase Sapphire Reserve Credit Card

on Chase's website

Chase Sapphire Reserve®
5.0
NerdWallet Rating
Rewards rate

1x-10x

Earn 5x total points on flights and 10x total points on hotels and car rentals when you purchase travel through Chase Travel℠ immediately after the first $300 is spent on travel purchases annually. Earn 3x points on other travel and dining & 1 point per $1 spent on all other purchases.

Points

Intro offer

60,000

Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening.

Points
See our best metal cards
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