Originally Posted by lwildernorva

This is one of the reasons I suggest that folks do a thorough examination of their budgets. It's not just because budgets are a good, general financial idea; it's because it's amazing how much in your budget you may be able to run through a credit card without incurring service or "convenience" charges. I was stunned when I analyzed my budget and figured out I could easily put $3500 to $4000 per month on credit cards, pay the balance every month, and avoid incurring service charges.

Figure there are two major expenses you can't put on a card or that you will incur a heavy service charge for doing so: mortgage/rent payments and car payments. There is another category that is questionable: tax/utility/insurance bills. Nearly everything else can be run through a card.

So figure your post-tax income, subtract these expenses, and you'll have the amount you can run through a card each month. Keep in mind that some tax/utility/insurance bills may be payable by credit card without incurring a service charge. For instance, nearly every telephone and cell phone utility will allow you to pay by credit card without incurring a fee. In addition, many doctors' offices take credit cards. Obviously, gas/car repair/grocery expenses easily are run through a card. Fast food restaurants take credit cards.

One other thing that helps if you can count on people giving you money is to serve as the "banker" for a table of folks at a restaurant or for a group going on a trip. In other words, you leverage their expenses onto your card to help meet your spending requirements. There are two problems with this approach. First, people have to give you the money; second, you've got to have the discipline to use the money to pay off your credit card bill. Cash in hand can be a tempting sight.

In the end, you have to be realistic about your prospects. If you don't have the money to hit spending requirements, don't go into debt to do it. Many card offers do require hefty spending, but some don't. The recently expired BA Continental OnePass card offer gave 50K miles after the first purchase. There aren't many of these offers to be sure, but that's more the reason to keep your eye on the threads here.

In other words, you'll have to learn where and when you can take your shots.