I'd like to give a somewhat more refined view of the value of points, because it is specific to an individual.
The value of a point is:
1) The VALUE to you of the award you redeem it for, divided by the points required. Value is not the same as price. Your value cannot be greater than the price, otherwise you'd pay cash for it. But if a ticket would cost $5000 if purchased but it's only WORTH $2000 to you, that's it's value. In my case, for example, my wife flies to Europe every year. The minimum value of a ticket is the price of a coach ticket, because I have to buy it, period. However, if a coach ticket is $1500 and business class is $5000, the VALUE to me of a business class ticket is more like $2000-$2300, because if I asked her how much she would pay in cash to upgrade, her answer would be in the range of $250-$400 each way.
2) Subtract any benefits you would get if you paid cash. Points or miles you'd earn, value of status miles, etc. For some people, status miles are extremely important, for others they matter very little.
3) Subtract the value to you of the time you invest in managing your accounts. For most FTers the cost is fairly small, we don't really mind. But if you find it really annoying, adjust your values for that.
4) Subtract the value to you of the time and effort spent hunting for award space. This can be significant.
5) Adjust for taxes and fees, which again, can be very significant on certain routes and carriers.
One personal caution I'd give is, for hotels I would compare the value of a room to the Priceline Name Your Own Price cost. If you have status with a hotel chain, or absolutely must be at a particular hotel, that's different. But just as an example, a few weeks ago I was in Charlotte NC and I just needed a 3-star hotel almost anywhere except downtown, and in 15 minutes I got it on Priceline for about $67 all-in. If the street price for the room, including tax, was $129, and it required (say) 8600 points, the points would NOT have been worth 1.5 cents. They'd have been worth closer to 0.8 cents. (This is one reason I don't bother with hotel points.)