Traciely

So with the new DL plan, I see you get to retain status for each 100K of rollover miles. As a platinum with presently 55K in rollover miles, I wonder if it now makes dollars and sense to try and get an extra 45 MQM before year end. If so, can I do it cheaply? Seems like this may make more sense than trying to organically get platinum again next year. I'm 14K away from Diamond so that doesn't make sense.

sydneyracquelle

No way would I do it for PM. Possibly for DM depending on the cost in $ and time. The easiest way is to get a DL Amex Reserve and charge $90,000 to IRS and get the money back in early 2024 when you file your 2023 return. But you would need to carry this for a few months but not on your Amex.

Traciely

"The easiest way is to get a DL Amex Reserve and charge $90,000 to IRS and get the money back in early 2024 when you file your 2023 return"

I don't understand. Why would I want to charge $90K on a Delta Am Ex Reserve? Don't you pay 3% for tax payment on a credit card?

I also don't understand:

"But you would need to carry this for a few months but not on your Amex."

mbluecpa

I’m not sure of credit card surcharges on tax payments but I’d expect you’d pay materially more than $2,700 on air tickets to generate the MQM.

You can convert your rollover miles to MQD for a head start in next year’s status, which seems like a better option.

exwannabe

It is a bit under 2% to run IRS payments though a card. Figure 1% back in SMs. So about $800 to buy the year of status,

Is that a good deal? Who knows. But it may be the answer to the question you asked.

He means you pay off the CC. But you still are out the cash for a few months.

JBJ2435

Plus the card AF, so another what $600 there too? The $90k is to get (3), 15k MQM boosts from the Amex reserve card for each $30k in spend. Personally, I don't want to mess with the IRS. Cheap flights right now to/from Hawaii, use miles if you have them so no cost, can do a same day turn to/from LAX.

SuperG1955

Have you qualified for 2024 PM? if you have, 75K MQM will be deducted on 1/1/2024 leaving you 36K MQM. In order to have 100K MQM after the new year deduction, you need to have 175K MQM on 12/31/2023. That means you need another 64K MQM before year end.

Please clarify your mileage and status. You say you're a PM and are 14K from DM MQMs which are 125 MQM. That implies that you have 111 MQM. You say that you have 55K in rollover miles which would mean that you have 55K over 75K or 130K MQM which would put you over DM MQM requirement but you don't say anything about DM MQD. If you're under $20K MQD or $250K spend on a Reserve Card, your MQM have no bearing on DM status,

DrMilano

Pay1040 dot com offers 1.87%, but the big issue will OP have a $90,000 credit line with AmEx for a Reserve card. I would not risk this with the IRS to pay $90,000 then get a $90,000 rebate back early February 2024. That’s 4 months that this money is not collecting interest, as it’s sitting in the US Treasury collecting dust.

shoodawg

For Diamond no brainer. Plat not so much. Couple VS Prem to CPT or JNB or PVG. Done

Traciely

I am already PM for 2023. I have 12K MQM and I am fly to NYC tomorrow for 3713 MQM pending for that flight so I will have 125MQM. After deducting 75K, I will have at least 50K MQM remaining. I just requalified for PM with miles and $25K spend on Delta Am Ex. I've only spent $6K on flights because I have been using sky pesos to purchase most of my monthly east coast flights. I not really willing to spend more cash to buy diamond status.

A couple of runs to South Africa from LAX would kill me before year end. I'm going to NYC tomorrow and will go back in November. Thinking of Europe at year end, but won't return in time for full benefit.

I do have to pay quarterly taxes so I guess I could possibly pay that on a credit card, but that seems kinda of spendy.

xliioper

OP only needs the MQM, so a couple LAX-CPT runs in coach on VS/KL (23K roundtrip) would actually do it. Pricing starts at $1365 roundtrip. Can't really say it's worth it for an extra year of Plat.

sydneyracquelle

You don’t need a $90k credit line. If your credit is $10k you can charge the $10k 9 times by paying the balance off each time.

xliioper

You still need $90K of float until you file your return which is not insignificant for most folks. You could borrow it if you don't have it (assuming you have the credit) in which case you also have to consider financing costs. Selling off investments to raise cash might be another option for some people, but that can have signficant cap gains taxes if you've been holding them for awhile.

Repooc17

The whole taxes scheme is stupid. You pay unnecessary fee, you'd get higher status to boost your ego, along with a bunch of SkyPesos miles, you lend govt months of interest free loan where the money could have been elsewhere working for you.

sydneyracquelle

Oh but the brag tags…..