Poll:Do you include CC bonus points in your net worth?

[38Chevy454]

Negligible amount in the bigger picture. If I do use some frequent flier, hotel or similar points; it is just a cost savings to me. Rather than an actual asset.

 

[CaliKid]

We have a lot of points right now. Easily $5k worth. However, I don't count it because to be a "free vacation" it's better if they come out of thin air. If I had to reduce an asset on my balance sheet it wouldn't as much fun.

It's sort of like social security, when I plan my retirement income, I treat it as a bonus if it actually is still there in the future.

 

[Moemg]

99.9% of the points came from credit card sign up bonuses.

Going forward, I expect to do at least 5-6 credit card signups every year. I only focus on the $400-500+ bonuses (30-50-75-100k miles/pts, $400-500 cash back against travel purchases, etc).

So far I see no signs this will stop completely, although there are signs that some issuers are tightening the rules. Chase (one of the "best" card issuers for those in the credit card hacking game) recently implemented a "5/24" rule that means you can't get new credit with them if you have 5 or more new credit card accounts in the past 24 months. That's about our natural speed of acquiring new credit cards anyway (we only spend $1-3k per month, so it takes a couple months to meet the $3-5k minimum spending required per card), so we aren't impacted too much.

Right now I'm pausing my new credit card apps till February 2017 because I'm at 5 and I really want the Chase Sapphire Reserve (100k pts + a net of $150 cashback against travel + premium airport lounge access around the world). Times two because my wife will also get one.

The game could slow down if all issuers do the 5/24 thing and/or the rule tightens to 3/24 or 5/36 or some other iteration.

So once you get the bonus award do you cancel the card ?

 

[LARS]

No, but then I don't count the coins in the coin jar or what riches have slipped behind sofa cushions either. Probably have approaching 1,000,000 unused miles...

 

[sengsational]

This is the kind of response I expected

No, but I do include the coins in my couch cushions and the deposit bottles stored in the garage.

The poll was done with a bit of tongue in cheek...knowing how many analyticals we have, and figuring I might find a few with Quicken "accounts" holding their points.

I had NO IDEA anyone had any significant value, but my goodness!! We have an even more interesting group of people who frequent this board:

I have around 1.3 million points or miles right now spread across a few airlines and one hotel. Collectively, the are worth around 1.5-2 cents per point/mile. So that's about $20-25000 in value.

I just figured it out. My credit card rewards is equal to 2.08333333333333e-4 percent of my approximate net worth. This is the last and only time I will calculate it.

Really? Is this a joke? Way immaterial. What about gas in your car's tank or utility deposits?

No. Yes. Agreed. Maybe we need another thread to talk about your biggest off-books asset. Mine is with the IRS...they withheld 20% of my 401k withdrawal, and I don't forecast owing any tax.

But back to the topic...So far, I'm the only one that answered the poll with the first option. My Discover bonus cash balance usually hangs around $20, but sometimes get up to the $50 or $60 range! (oooh, ahhhh). Because those are dollars (and not "points"), and I randomly spend them on Amazon, I DID set-up an account to hold the bonus dollars. The reason was that I might buy, say, $50 worth of vitamins and if I applied $45 bonus dollars, it would only show as a $5 purchase. Not that I even work toward a budget, but I do occasionally run reports, and now the report will be more accurate. As if it really matters

 

[Totoro]

Really? Is this a joke? Way immaterial. What about gas in your car's tank or utility deposits?

My rent deposit and utility deposits I actually do include.

I'm also overpaying my utility bill, so expect a refund end of year. That's also in. Same with the estimated residual value of my car.

Didn't think of the gas tank .. good one ..

 

[tmm99]

This is the kind of response I expected


The poll was done with a bit of tongue in cheek...knowing how many analyticals we have....

Yes, some of us are anal....

 

[convergent]

I think that if someone is in a situation where credit card points are a large enough share of their net worth to worry about, then they have big problems facing them regarding retirement planning. I have over a million points on one travel program, and close to that on others... all from work travel. I would have never even thought to consider that in net worth. Its in the rounding error. I worry more about daily fluctuations from the market that dwarf travel points... also something I should not be worrying about. ;-)

 

[FUEGO]

So once you get the bonus award do you cancel the card ?

Yes.

 

[highlow65]

I play the credit card game with both me and my wife. with the changes in Chase policy I have to give one a two year breather and start again.But to me at least counting this as net worth is silly. If i was cutting it this close I wouldn't even consider retirement.

 

[ducky911]

?...this just seems silly to me...?

I didn't retire to become an accountant. Small potatoes...I just take a glancing picture of the big stuff.

 

[6miths]

lol

 

[audreyh1]

They just end up lowering my annual budget. So when I look at annual spend, it's a wee bit lower based on all the credit card rebates. I think we got back over $1600 in 2015 - so it's not that small potatoes.

BTW - I only deal with cash or credit rebates, not points towards travel or hotel stays.

And most of my cards I take the rebates within a month or two of earning them. The only exception is the Costco credit card has an annual rebate.

 

[W2R]

No, but I do include the coins in my couch cushions and the deposit bottles stored in the garage.

Honestly, I regard CC points as somewhat similar to finding a penny or a dime on the street. I don't consider them to be a significant part of my net worth. I only have one credit card, so I probably don't get enough rewards points to amount to a hill o' beans. I use those points for mostly frivolous purchases from Amazon.

 

[PatrickA5]

According to my Award Wallet account, I have 2,089,030 points/miles. I figure these are worth somewhere between $15,000 to $25,000. But, I don't count them in my net worth - even though technically I suppose I should since they really are an asset.

 

[W2R]

According to my Award Wallet account, I have 2,089,030 points/miles. I figure these are worth somewhere between $15,000 to $25,000. But, I don't count them in my net worth - even though technically I suppose I should since they really are an asset.

Holy cow!! That's a LOT of reward points. I doubt that I have even charged that much on my CC. Congratulations on accumulating so much.

 

[PatrickA5]

Holy cow!! That's a LOT of reward points. I doubt that I have even charged that much on my CC. Congratulations on accumulating so much.

Thanks. Over the last 8-10 years I estimate that we've saved probably $3K to $5K every year on our vacations. This little hobby has saved us a fortune and allowed us to take trips we wouldn't otherwise take.

Having said that, it is beginning to get much harder to accumulate points via credit card sign up bonuses. The old days of repeatedly churning credit cards for bonus purposes are pretty much gone.

 

[45th Birthday]

We currently have about 1.5 million miles/points. Because we use them for business class tickets to Europe, they would be "valued" at around $100,000. But, because this is such a small percentage of net worth, I do not include them. Back when I was earning millions of miles a year (charging my own company's costs on them), I used to keep good track of them in a spreadsheet. Now I just keep a general level in my head.

 

[W2R]

Wow, that's a lot of points too.

I don't know what I'd do if I had accumulated that many points - - if I'd include them in my net worth, or not.

Oh well, for me it was easy to vote for the "small potatoes" option.

 

[HawkeyeNFO]

No, not counted in net worth. But I keep a spreadsheet of the amount of points/miles/cash-back that I earn, mostly from signup bonuses. this year I should earn about $7000 or so. When I lived in the US, "manufactured spending" was easy and profitable. 2013 was my best year, when I earned over $17,000 worth.

 

[traineeinvestor]

Not counted in net worth even though they are, strictly speaking, an asset.

We tend to spend them for free flights or upgrades mostly or, occasionally, whatever looks good on the HSBC catalogue.

 

[Spanky]

no as CC bonus is so puny ..

 

[aja8888]

I do not add the value of points to my assets.

Capital One account current cashback balance is $2800.

Accumulated hotel points are about 500,000 (IHG and Marriott combined).

Accumulated airline points are about 150,000 (United).

Use:

CapOne cash gets pulled yearly in December.

Hotel points are used for rooms when travelling on driving vacations or given to family members for same use.

Airline miles have been given to family members as I am done flying unless a gun is held to my head (very tired of it after 35 years of heavy travel in business).

We don't play the CC points game.

 

[Ginny]

I only get cash back and I love to spend those dollars right away.

 

[daylatedollarshort]

We just started playing the credit card game last year but we used the points so far mainly for statement credits and Home Depot gift cards.