My fiance and I started signing up for travel credit cards last March. So far we've redeemed for $10,000 worth of flights, hotel stays and statement credits. That way we can go on a few vacations a year (mostly National parks) and still invest a bunch of money.
I don't think we've spent over $1000 on a vacation yet. Meanwhile I have a co-worker who just dropped $7k to go to Cancun for a week with his family. He came back and was complaining about the food, the weather, just about everything.
My jaw just hit. the. floor.
Hi KPD905, your post left me speechless, and it took until now to think through why.
MMM's latest post so shortly after was great to fine tune my thoughts. I am of two minds about this -- hugely positive, and hugely negative, and still don't have an opinion on which side.
First, is holy moly, wow, how do I get into that, why haven't I managed to get real benefits the last time I tried, is that $10k for real. I read a few of the linked blogs on the MMM responses, so I can see that this is indeed, for real. A lot of work to plan, but true benefits.
Second thought was that every time I tried to book using points, it seems that I end up with a 50% off or 75% off "coupon"... not free travel.. e.g., I always seem to have charges for $150 on a $600 "free" travel (flights). Hotels and car rentals were partially doable with planning. BUT, I usually end up paying for meals or when we get a kitchen (VRBO type), I usually don't MMM the grocery purchases while travelling by air, but buy small quantities at non-sale prices. So even after the hotel / car / flight / entry tickets are on points, I do spend quite a bit on food for the vacation. The blogs that show how they used their cash back reward cards make sense; today I count that as money in my pocket, not money for travel, but it is the same thing.
Note, I travel a ton for work, so earn a lot of "free one night stays", "free one day car rentals" and accumulate air miles the "hard" way without bonuses. Even so, it has been hard to use the points without spending additional money somehow. I always need three nights but have rewards for 2, or having a family of 4 to book travel for makes it more difficult (because of the vast number of miles needed and difficulty finding 4 seats on a given flight).
A second technical problem is that most of the cards available in Canada seem to only give 15,000 miles as bonus, and / or do not waive the $79 to $99 annual fee when they do give the bonus. A third problem is when you need to SPEND those miles in the same year you earned them, in order to cancel before the annual fee kicks in.
Which led to the true negative... unless a person has planned travel several times a year (e.g., a vacation, then to see family or rejoin a spouse), travelling that much is generally not a MMM move for a simple lifestyle. What would my life look like if I needed to aggressively plan and scheme to get free travel? How would I ever SPEND $10k worth in a year for travel? Okay, joining my sister on her african safari last year might have done it, but that vacation would have been very hard to book with 95% travel points.... Is it even MMM to spend that much in VALUE in vacations in one year? (even if free)
My MMM journey has brought the realization that pleasure in simple things, and doing simple things for yourself (including riding your own bike to the nearby store, waiting and saving to buy home upgrade, etc) is where the life value, as well as savings, lies. The CC miles accumulation, to make it work, is more like a "what do you play" puzzle challenge driven to excess.
Giving a group of MMM newbies advice on how to make life more complicated (the calculations and planning gymnastics) while building a taste for luxury items (like expensive travel) or even the impression that luxury travel is something that is mustachian, is not a great MMM forum thing to do. Giving me a gentle slap in the face to wake me up to missed savings, even if only for the easiest bonuses, however, is.
After thinking about this, I think the answer for me lies in the middle:
1) When I have a planned vacation in the next year or two -- I should actively look for and apply to bonus offers, when the annual card fee is waived. Do not assume that travel fees will be high, just because they were last time. Be careful to ensure the benefit will outweigh the cash back reward cards I already have.
2) This includes stopping and talking nicely to the credit card pushers at the airports, when I have time. ( I avoid them like the perfume pushers at department stores)
3) Improve my research on how to claim free travel, that works with my plans, while not spending a lot on airport fees and taxes.
4) Book AHEAD. For Christmas of 2015, (a planned extended family week away) I should be looking and researching NOW.
Thanks for the wake up call!