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Thread: Valuation of AA Miles
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Old Sep 23, 2023 | 8:29 am
  #4  
ffI
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Originally Posted by redtop43
We're always curious to see different cash valuations of miles, so here's an interesting data point.
AA Shopping is running a contest where you get extra entries for doing stuff they'd like, and first prize is $2500 cash and 100K RDMs. The fine print says that the value of the first prize is $4910. Meaning that the value of 100K RDMs is $2410. So they "value" the miles at 2.41 cents per mile.
Depends on how you get them;
SUB 75k for a 99$ card and 4k spend = 200$ cost /75000 = 0.3 cpm
AA miles are always the most expensive from spend = lost cash 2.625c each
Bask bank - 3 miles +3x0.42c = 1.26c = 1$ kept for 1 yr = 5.25c in T bills; so 3 miles = 4c = 1.3c real pretax cost
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