Points only have value when you spend them, and the same points can be worth very different amounts depending on what you book. This calculator works out exactly what you get per point on a real booking, so you can compare it with cash back or with another way to redeem.
Cents per point calculatorEnter a real booking to see what your points are worth.
Your points are worth
1.06¢
per point on this booking
Compare it with cash back
That’s like earning
1.06%
cash back, if you redeem at this value
What’s my balance worth?
Your balance is worth about
$848
Results are estimates. Paying cash would also earn you rewards, so when the result is close to 1¢, paying cash is often just as good.
How the calculator works
It divides the cash value your points cover by the number of points you use:
Taxes and fees are taken off the cash price because you pay them either way. Counting them would make your points look more valuable than they are.
Worked example
| Cash price of the flight | $650 |
| Taxes and fees you pay on the points booking | $120 |
| Value your points cover | $650 − $120 = $530 |
| Points needed | 50,000 |
| Cents per point | $530 ÷ 50,000 × 100 = 1.06¢ |
At 1.06¢ a point, a card that earns 1 point per dollar works out to about 1.06% back, which is roughly the same as a basic cash back card. A card that earns 3 points per dollar in a category would return about 3.2% there.
What counts as a good value?
The simplest benchmark is cash back. One cent per point is about the same as 1% cash back, so:
- Under 1¢: you'd usually do better with a cash back card or a statement credit.
- 1¢ to 1.5¢: similar to or a little better than cash back.
- 1.5¢ and up: a strong redemption, usually a flight or hotel booked when cash prices are high.
Values change from booking to booking, so check a few dates or options before you spend your points. For one program in detail, see what an Aeroplan point is worth.
Tips for an accurate answer
- Use the price you'd really pay. If you'd never buy the business class seat with cash, compare against the economy fare you would buy.
- Include every fee. Add taxes, carrier charges and booking fees you pay on the points booking.
- Remember what you give up. Paying cash would earn you new points or cash back. The calculator leaves that out, so very close calls usually favour cash.
- Use your card's real earn rate. For the cash back comparison, enter the rate for the category you're spending in, not the headline rate.
Frequently asked questions
How do I calculate cents per point?
Take the cash price of what you're booking, subtract any taxes and fees you still pay, divide by the number of points, and multiply by 100. The result is the value of each point in cents.
Is 1 cent per point good?
It's about the same as 1% cash back. That's a fair baseline, but many travel redemptions can do better, and many gift card or merchandise redemptions do worse.
How do I compare points with cash back?
Multiply your cents per point by the points your card earns per dollar. A card earning 2 points per dollar, redeemed at 1.5¢, works out to 3% back.
Related reading
- Cents per point (CPP): the full explanation, with more examples
- Cash back vs. travel points: which pays more at three household budgets
- Credit card rewards glossary: 52 terms in plain language
- Annual fee calculator: check whether a fee card pays for itself