Justifying High Annual Fee's

[jsucool76]

I've got right around $1600 in annual fees right now. Though I will be downgrading my aviator card (lowering my fees by about $100) I'm very tempted to keep my Amex Platinum, Citi prestige, and ritz card. They all offer benefits which I think greatly outweigh the annual fees for me. Obviously not everyone can take advantage of all the benefits, but most if not all of the High AF cards can be worth it to anyone on year one.


4th night free might not be great for you if you don't travel, but the Citi prestige will also just let you buy $500 in airline gift cards for $450 in year 1. Immediate savings of $50. Plus anything else you happen to use.

Amex Platinum will let you buy $400 in airline gift cards in year 1, meaning if you use basically any other benefit once, you've broken even.

With the Ritz card, breakfast for 2 over a 5 night hotel stay can pretty much pay your AF by itself, but the $600 in airline incidentals during account year 1 puts you $205 ahead of the annual fee.


Just some examples.

[takeshi74]

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@Makersmark23 wrote:
So I see some regular posters on here who have cards totaling over 1k in AFs, and I just have to ask how do you justify it?

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Total cost/benefit which is what anyone should consider versus AF alone.  I don't have that much in AF's but my AF cards generate much more in rewards, benefits, etc than their AF's.

As always with any rewards card you're considering. run the numbers for your spend and do your due diligence.

Don't just rely on what others say and do.  You need to select cards based on your needs/wants so they suit you.  It doesn't matter if another can justify X if you cannot.

[Makersmark23]

Thanks for your replys.

I have always been a saver and pretty frugal. While I consider that a good thing, there is a point where you have to admit that "you can't take it with you", so traveling more is really a goal of mine to loosen up a bit and enjoy spending for great memories. However if your going to do it, you might as well apply for benefits that will make traveling a better value.

For example, if you asked me a year ago would I stay at a ritz I would laugh saying it was very wasteful. However, i think stepping out of my saver box and taking us to a ritz could be awesome.

I guess I'm just trying to use cards to satisfy my frugal saver side when splurging, if that makes sense 😀

[Anonymous]

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@Makersmark23 wrote:
Thanks for your replys.

I have always been a saver and pretty frugal. While I consider that a good thing, there is a point where you have to admit that "you can't take it with you", so traveling more is really a goal of mine to loosen up a bit and enjoy spending for great memories. However if your going to do it, you might as well apply for benefits that will make traveling a better value.

For example, if you asked me a year ago would I stay at a ritz I would laugh saying it was very wasteful. However, i think stepping out of my saver box and taking us to a ritz could be awesome.

I guess I'm just trying to use cards to satisfy my frugal saver side when splurging, if that makes sense 😀

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Absolutely!