FF Mileage Usage Formula
 

I recall reading somewhere that there was a formula to decide whether your to purchase a ticket or use FF miles based on cents per mile Does anyone know what I am referring to??
I am trying to decide whether or not to by an AA tkt from Boston to Rome and Returning from London HEathrow to Boston for $546.00 or use 40, 000 miles each ticket (2)
Thanks to all of you savvy FF milers!!!
I just a have a few miles accrued via Credit card sales - not a frequent traveler

There's no single formula since every person's situation is different. There have been lots of threads on this topic here and they all come down to that.

You're contemplating a use that comes out to about 1.36 cents of value per mile. Many would consider that too low, especially since a paid ticket would earn you about 8,000 miles so the award really costs you 48,000, not 40,000. These people would buy the ticket and save the miles for a future use. (All these figures are per ticket. Double them for two.)

That, however, assumes they have a future use, and that this potential future use is worth more to them than $546 in their pocket now. How do you feel about the relative worth of 48,000 miles in the bank versus $546 in cash? If someone offered you $546 for the miles, assuming it wasn't in violation of program rules and all that, would you take it?

I'm flying BOS-LHR round trip in a few days. I got an inexpensive ticket but will upgrade. If you know how much business class costs, you know this is a value of much more than 1.36 cents per mile. But I would never pay the business class fare, so what is the "real" value of the miles to me? Hard to say.

On another occasion, I used 25,000 miles for a last-minute Boston-California round trip with no Saturday night stay. A ticket, which that time I would have bought if necessary, would have cost over $2,000. This is a real value of 8+ cents/mile. Unfortunately, clear-cut cases like that don't come along often enough to use up all my miles.

Many of us, myself included, also enjoy giving tickets to people. It's hard to put a value on this use. Some would call it priceless. Those who do it, though, tend to be frequent flyers with lots of miles.

If it were me, I'd buy the ticket, but it's not me. You'll probably get lots more opinions here. It's not them either. It's you. Good luck - and enjoy your trip!

Efrem, as always a balanced and sensible post. It was so intersting to read that your ticket purchasing criteria and mine are identical. For I think 50,000 (bear with me if I am wrong with this)miles I can get a round trip ticket to the USA from London. I can buy one from American off the shelf for £250 low season . Should I use those miles to upgrade the ticket is "worth" £3000 or more. Last winter we flew to LAX for £202 each inc of tax. We upgraded the tickets (this was done well in advance), rounbd trip Business Class to LAX is £5000. I think that we got superlative value for money. By the way, we are delighted that you have a round trip to London, as you well know!!!

See:
http://www.flyertalk.com/forum/Forum1/HTML/003114.html

Paul,

Looking forward to meeting both of you this weekend! (That's not what this thread started about, but at least it's in the right forum.)

Efrem & Paul: very similar to our criteria.

We also keep a cashed-in first class award ticket each in our pockets (unassigned) for last minute travel, to save on the expedite fees & counteract the OUCH $100 change charge. If we don't use it & its expiry approaches, it supplies a pleasant & usually useful (not quite) surprise vacation. If our current tickets get too long in the tooth I think we'll go to Alaska & knock off state # 48.

kathyb: let us know how you decide it.

Hi I read with great interest the repsonses to my question

I immediately called to find that the AA tkt will not accrue FF miles maybe that is why it is less than the airfare the airline quoted me.

I know you will now have more insight into my dilemma With this wrench in the mix do you think the usage of FF miles is valid

I am also passing this site onto friends/colleagues who may be interested
I think is is a valuable service thanks

Your problem with the AA ticket & miles may be that they're quoting you a codeshare on British Airways, & that doesn't accrue AA miles (I don't think -- has to do with the lack of antitrust resolution of the AA-BA oneworld alliance).

Or do you mean a 40,000 mile cash-in FF ticket doesn't earn miles?

More info would help.

In any case, if you're tied to AA, try their forum, too -- not all those guys will be checking here. & they'll surely know a lot more about AA than I do!

Kathyb,

Award tickets do not earn miles. Ever. (Unless somebody makes a mistake.)

BA trans-Atlantic tickets do not earn AA miles. However, BA tickets connecting onward from London to another European point do.

Other than that, anything you buy with an AA flight number should earn miles. This includes deeply discounted Web specials.

Miles are based on what you pay, not where you fly. Upgrades don't get you more miles via class-of-service bonus or anything else.

SOrry I may not have been clear
The Tkt that I was quote $546.00 was on BA and I am told by my travel agt that it is being purchased thru a consolidator that is why it is much less than the fare that they would have quoted me if I called them but do to the fact it does not accrue FF miles

So now what looks better
....If I purchase the tke on my CC i get the one mile per dollar thing or
....should I use my FF miles on AA to buy a tkt
Thanks Kathyb

I WILL BE SURE TO LET YOU ALL KNOW MY DECISION !!!!! CAN YOU TELL I DONT GET/HAVE MANY MILES!!!!

Hi kathyb, welcome.

You write that you do not consider yourself a frequent traveller. Most of us who use miles for upgrades travel frequently, and the more long-haul routes we fly, the more comfort we derive from an upgrade. Do you have a travel pattern where you could use the miles towards an upgrade? If not, will you be able to use the miles before they expire? Or would you consider upgrading the flight to business class in case you bought the tickets (should be in the same mileage region)? Another thing to ask yourself: How long did it take you to accrue these 80000 miles? How would you use them, if not for these two tickets?
I personally would buy the ticket and then upgrade (however, I don't know about your chances with AA/BA), but that's just my $ 0,02... http://www.flyertalk.com/forum/wink.gif

I would also be checking the AA web site for the routing you are looking for. I think you could get a non consolidator fare and get miles for the fare you are talking about (of course I don't know when your trip is planned. Good price if it is summer, high if off season. Given that you are looking at 40,000 miles for a ticket, I think you are talking about off season. Check around. I think AA is having a spring sale to europe.

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DtG