Quick answer
Cents per point (CPP) is what one point is worth when you redeem it. Work it out as (cash price − taxes and fees you still pay) ÷ points used. One cent per point is about the same as 1% cash back on a card that earns one point per dollar. If you regularly redeem below that, a cash back card usually pays you more.
Last updated: October 2026. Card terms and program rules change. Figures come from issuer pages and published reviews checked in October 2026. Confirm details with the issuer before you apply.
Points cards advertise multipliers like “5x” or “3 points per dollar”. Those numbers mean nothing until you know what a point is worth. CPP turns points into cents so you can compare a points card with a cash back card on equal terms.
Want the number for your own booking?
Try the cents per point calculator →The formula
How to work it out
Example: a flight that costs $600 in cash, booked for 40,000 points plus $100 in taxes and fees.
Use the price you would actually have paid in cash, not the most expensive fare on the airline’s site. If you would have flown a cheaper airline, use that fare. Inflating the cash price is the most common way people overstate what their points are worth.
What to subtract
- Taxes and fees you still pay in cash. Award flights usually come with taxes and airport fees. Aeroplan doesn’t add carrier surcharges, but you still pay taxes and government fees.
- Booking or transfer costs. Some partner bookings add a booking fee.
- Points you would have earned on a cash booking (optional). If paying cash would have earned you points or cash back, a stricter calculation subtracts that too.
Benchmarks to compare against
| Redemption | Typical value |
|---|---|
| Cash back | Always 1.00¢ per cent earned |
| Fixed-value points (Scene+ toward travel) | 1¢ per point |
| PC Optimum | $10 per 10,000 points (0.1¢ per point) |
| Flexible points as a statement credit | Often about 1¢ per point |
| Aeroplan, published valuations | About 1.1¢ (economy, Ratehub) to 2.0¢ (Prince of Travel, Q2 2026) |
PC Optimum’s 0.1¢ looks low, but its cards earn many points per dollar. That’s why CPP must always be multiplied by the earn rate: 30 PC Optimum points per dollar at 0.1¢ is still 3% back. For Aeroplan in detail, see what an Aeroplan point is worth.
Turning CPP into a return you can compare
Return on spending = points per dollar × CPP. A card earning 5 points per dollar on groceries, redeemed at 1.44¢, returns about 7.2% on those groceries. Redeemed as a 1¢ statement credit, the same card returns 5%. Compare that figure with the cash back rate of the card you’d otherwise use.
How to get a higher CPP
- Redeem for flights rather than gift cards or merchandise.
- Compare points prices across dates. Programs with dynamic pricing charge more on popular days.
- Transfer flexible points only when you have a specific booking ready. Transfers are generally one-way.
- Book when the cash fare is high and the points price isn’t.
Frequently asked questions
Is 1 cent per point good?
It’s the break-even with cash back for a card that earns one point per dollar. Anything above 1¢ beats 1% cash back; anything below it doesn’t.
Should I include taxes in the calculation?
Yes. Subtract the taxes and fees you pay in cash from the cash price before dividing by the points used. Otherwise you overstate the value.
Why do valuation sites give different numbers?
They use different methods, such as average redemptions, economy versus business class, or comparing against the airline’s own fare. Treat them as a range, and use your own redemptions to decide.
Related: the short definition of cents per point in our credit card rewards glossary.