Airfares Up 23% From Last Year, Raising Question of When to Use Points for Flights

Airfares are currently running about 23% higher than they were a year ago, prompting many travelers to reconsider whether now is an opportune moment to use accumulated points and miles for flights rather than paying cash.

The relationship between cash fares and award pricing is not always straightforward. According to industry observations, certain types of award flights do not necessarily increase in cost alongside rising cash prices, meaning that in some cases points can stretch further relative to cash value when fares are elevated.

Not always a simple trade-off

However, this is not universally true across all airlines and booking classes, and travelers are advised to compare the cash price of a given flight against the number of points required before deciding which payment method offers better value.

Dynamic pricing models used by a growing number of airlines and loyalty programs mean that award costs can fluctuate based on demand, route and timing, much like cash fares, complicating straightforward comparisons for travelers trying to maximize the value of their points.

Travel experts generally recommend evaluating each trip individually, since the optimal choice between cash and points can vary significantly depending on the specific airline, route and current market conditions.