Travel Hacking Part I – Earning Miles

Machu Picchu

Marcel and I earn a lot of airline miles without actually flying. As a result, we rarely have to pay for tickets these days. Many friends and family have asked me about this and I finally got a chance to write some things down about how we do it. Enjoy!

Summary: Travel hacking is a way to travel at a significantly low cost using miles and points earned mostly without actually flying.
Some people get really serious and earn millions of miles. We try to maintain a hundred or two hundred thousand miles with minimal effort.
Personally, I just enjoy accumulating miles like a savings account.

Here are some reference websites but if you get overwhelmed with all the information, skip them for now and read our method below.

http://chrisguillebeau.com/3×5/beginners-guide-to-travel-hacking/
for inspiration and ideas
http://thepointsguy.com/
to find the latest deals
http://www.flyertalk.com/
forum for general questions

This is how we did it for the last 2-3 years:

1. We signed up for two frequent flyer programs to access the most frequently used airlines.
American Airlines with partners listed here: http://www.staralliance.com/en/about/member_airlines/
United Airlines with partners listed here: http://www.oneworld.com/member-airlines/overview
The partner airlines are very important because you can redeem your miles from any of the listed airlines.

2. We checked out the best credit card deals http://thepointsguy.com/top-deals-3/ that would give us miles on either American or United. We both applied for a card each but with some spending requirements you may have to spread it out.
For example:
https://creditcards.chase.com/sapphire/
Chase Sapphire (points transferrable to United)
Earn up to 45,000 bonus points – 40,000 points after you spend $3,000 in the first 3 months and an additional 5,000 bonus points when you add an additional cardholder and make a purchase within the first 3 months.
In this example, you might need to wait until you meet the $3000 requirement before applying for another card. If you can spend $6000 in 3 months then feel free to apply at the same time.

Rinse and repeat the above 2-3 times per year or more and you will have 100K to 200K miles or more. In the fall, British Airways offers the best deal – 100,000 miles sign-up bonus. Again, you can use the said miles on any of the partner airlines. And yes, you can buy multiple tickets for a family from one account. This should not affect your credit score. Ours were not affected, even after we closed some due to the annual fee the 2nd year.

NOTE: Most annual fees are waived the first year. Before it renews, call them and ask them to waive the fee. On one of our cards the Citi AA, they waive the fee every year if we use the card 3 times a month.

3. Other ways to earn miles:
United Shopping Assistant – Click on the link within the United website, shop online using your United credit card to earn miles, pick up the item at the store or ship it.
For example: I bought a laptop for $450 from Best Buy. At that time, they have a 3x program. I earned 1350 miles. Some stores do 6x miles.
Dining – One time registration of your card on the United website and every time you dine at one of the listed restaurants, you automatically earn points. Usually 3x.

4. Other benefits: My United credit card gives me priority boarding, free checked bag, and free access to the first class airport lounge (2 passes per year), just by having the card. Some of these lounges have spas! All free. No kidding.

5. Hotels: We did not sign up for any as we prefer low-grade hotels such as Comfort Inn etc. If you like luxury, apply for the Starwood Card which gives you access to the Sheraton family of hotels. The bonus points of 25K will give you about 5 nights free. https://www262.americanexpress.com/apply-card/spg/007/spg-001

With a little work, you will be traveling in style – for free! Just make sure your credit card spending is under control.

Next time I will describe how we redeem miles. The idea is you want to maximize the valuation of the miles. Stay tuned…

Disclaimer: Travel hacking is not for everyone. Make sure you read the fine print. Your mileage may vary.

See Travel Hacking Part II – Redeeming Miles

This entry was filed under: Family, Travel