To travel hack as a beginner:
Savvy travelers use hacking strategies to minimize travel costs. They leverage loyalty programs and credit card rewards to get free flights and hotel accommodations. Avid travel hackers report saving at least 30% on their travel costs. With the right strategies, travel hackers may earn over 100,000 points in a single year. That's enough to redeem a few round-trip domestic flights. It can also be used for free luxury hotel stays.
To truly travel hack, you need steady passive income. I've been able to find that through a reliable business model. In this article, we discuss travel hacking, how to do it, and uncover the business model that may make travel far easier for you.
1. Sign Up for Frequent Flyer Programs
Join airline loyalty programs to earn miles. North America’s top-rated frequent flyer programs are Delta Sky Miles, American Airlines AAdvantage, and United Mileage Plus. The latest industry data shows there are 17.5 trillion unused miles worldwide. That's enough to fly around the globe 116 million times. 60% of Americans don't know how to leverage this reward to get free travel.
What is a Frequent Flyer Program?
A Frequent Flyer Program is a loyalty scheme offered by airlines. Customers earn points or miles when they fly or make purchases with airline partners. These points can be used for rewards like free flights, upgrades, or travel perks. A Forbes study found that 35% of cardholders are chasing rewards. The Frequent Flyer program is beneficial if you’re regularly flying for work or leisure. The more you engage with the program, the more benefits you earn. You also get exclusive perks like priority boarding and lounge access. These programs aim to encourage customer loyalty by rewarding repeat business.
Benefits of the Frequent Flyer Program are:
Peter Greenberg, a travel news editor for CBS, shares tips on maximizing frequent flyer programs. According to Peter, travelers shouldn't hoard travel miles. Better to use them as soon as possible because airlines reduce their value over time. Go for unpopular destinations. You have a higher chance of successfully redeeming miles for travel in lesser-known places. Plan your travel and book at least 330 days ahead. Don't waste your miles on magazine subscriptions or chocolates because these are low-value redemptions.
2. Get Travel Rewards Credit Card
Apply for a credit card that offers travel rewards. The Chase Sapphire Preferred gives 60,000 points as a sign-up bonus. American Express Platinum offers up to 80,000 points to new members. Most travel credit cards give $1,000 credit card sign-up bonus after meeting the minimum spend requirement. A study by the Nerd Wallet also found that the average American earns $309 worth of travel rewards per year by spending with a travel credit card. Two popular options are the Chase Sapphire Preferred and the American Express Platinum card.
Chase Sapphire Preferred
American Express Platinum
What Expenses Can You Cover with Your Travel Credit Card?
3. Meet Minimum Spend Requirements
Unlock sign-up bonuses by meeting the card’s minimum spend requirement. The Chase Sapphire Preferred card earns 60,000 points if you spend $4,000 in the first 3 months.
A survey by The Ascent, 45% of rewards credit cardholders have missed out on a sign-up bonus by failing to meet the minimum spend requirement. The same survey also found that 14% of respondents made unnecessary purchases just to meet a minimum spend requirement.
4. Use Your Card for Everyday Purchases
Use your travel rewards card for regular expenses. Gas, groceries, and dining can quickly accumulate points or miles. Rewards payment is typically 1% or 2% on qualified purchases. 59% of rewards credit card holders use travel rewards card for daily purchases.
The travel credit cards that earn higher reward points are:
5. Monitor Flight Deals
Subscribe to newsletters or follow social media accounts that share flight deals. Websites like Scott's Cheap Flights claim to save members an average of $550 per ticket. They reported finding deals like $290 round-trip flights from the US to Europe and $495 to Asia. Skyscanner reports that booking 3-6 months in advance can save travelers up to 30% on flights.
How To Book a Flight with Miles?
Log in to your account. Go to the airline's website or app and sign in to your frequent flyer account.
Navigate to the booking section. Look for "Book with Miles" or "Award Travel” and enter your travel details.
Search for available flights. Input your departure and arrival of cities, dates, and number of passengers.
The system will show you flights that can be booked with miles. Select your preferred flight.
Choose the flight that best fits your schedule and mile requirements.
Check how many miles are required and any additional taxes or fees.
Select your seats.
Confirm your booking and pay any applicable fees. You’ll receive a confirmation after.
Save your booking confirmation and itinerary.
6. Focus on Partner Airlines
Use your miles with partner airlines in major alliances like One World, Sky Team, or Star Alliance. Oneworld has 13 member airlines. They serve over 1,000 destinations in 170 countries. Star Alliance has 26 member airlines and spans 195 countries.
Oneworld Alliance
Star Alliance
SkyTeam
How To Look For a Flight Award?
Check Airlines' Loyalty Programs: Sign up for email alerts. This keeps you informed on deals and promotions.
Use Award Search Tools: AwardHacker and ExpertFlyer simplify your search process. They show various options across different airlines.
Flexible Travel Dates: Adjusting travel dates to get better deals.
Book Early or Last-Minute: Airlines release award seats at these periods.
Transferable Point Programs: Enjoy more flexibility by transferring points to multiple airline partners. Chase Ultimate Rewards or American Express Membership Rewards offer this perk.
7. Use Points for Off-Peak Season Travel
Fly during off-peak times to further stretch rewards. Airlines often have lower redemption rates outside of high-demand periods. Save up to 7,500 miles on a one-way ticket to Europe when flying during off-peak periods.
Tips on Travel Hacking Flights
Look for status match opportunities between airlines. It can save frequent flyers an average of $1,500 per year in fees and perks.
Watch for limited-time offers to earn bonus miles. NerdWallet found that 68% of credit card users earned sign-up bonuses through a limited-time offer.
Book two one-way tickets instead of round trips. This strategy is best when flying different airlines. It also gives you more flexibility when booking your trip.
Use open-jaw tickets to fly into one city and out of another. This is ideal for travelers planning to visit multiple destinations.
Fly mid-week because they’re cheaper than flying on the weekends. CheapAir.com said travelers can save $57 per ticket by flying on Tuesday or Wednesday instead of Sunday.
Redeem miles for free tickets and seat upgrades. Compare your miles’ cash value to the ticket or upgrade cost.
Keep an eye out for error fares and flash sales. While rare, error fares can lead to savings of up to 90% off regular ticket prices.
Chew, a travel influencer, shares some benefits of traveling off-season. He says flights, accommodations, and meals and way cheaper when availed off-season. Another key advantage is fewer tourists. So, you can enjoy a more peaceful experience at popular attractions. Traveling off-season also gives you more time to explore the culture of the place. You can easily take scenic photos without a crowd in the background.
8. Stay Updated on Promotions
Regularly check for promotions from credit cards and airlines. Many offer limited-time bonuses or reduced mileage requirements for certain routes. One time, United Airlines offered a 30% bonus when transferring hotel points to United Miles.
Some promotions to look out for are:
How To Travel Hack Hotels?
How To Book A Hotel with Points?
Log in to your account on the program's website or app.
Search for hotels at your desired destination and dates.
Filter results to show "Points" or "Award" stays.
Select your preferred hotel and room type.
Confirm you have enough points in your account.
Complete the booking process by selecting “pay with points”.
Review your reservation details and get a confirmation via email.
Stories of Successful Travel Hackers
Andy Cantu is a successful travel hacker and the founder of Lux Travel Hacks. He is an IT expert with a passion for race car driving. Andy developed a unique method for experiencing first-class global travel at minimal expense. Now, he's dedicated to sharing this knowledge with others, enabling them to enjoy luxury travel without the hefty price tag.
Alex Payne is a travel hacker and co-founder of the Travel Hacking Mom. Alex has a finance background. Her love for saving led her to discover travel hacking. She started the THM platform to help families enjoy luxury vacations while spending less. She officially launched it in 2022 with her mom, Pam Iorg, and friend Jess Field. THM’s goal is to teach credit card hacks to enjoy free or low-cost travel.
What is Travel Hacking?
Travel hacking is a strategy that uses credit card rewards and airline programs for free trips. Travel hackers use different strategies, like credit card churning. They also use techniques like airline status matching and hotel points stacking. Travel hackers stay alert for pricing errors on airfares. One example is the 2007 Alitalia pricing error that offered $3,900 business class tickets for just $39.
What is Credit Card Churning?
Credit card churning is a strategy of opening and closing credit cards to earn welcome bonuses and rewards. People who engage in this activity are known as "churners”. They maximize the benefits from credit card issuers while minimizing spending. Churners sign up for multiple credit cards to earn bonuses. These come in the form of points or miles that can be redeemed for flights or hotel stays. Although churning can be beneficial, it requires diligent credit card management, too. Churners should carefully track balances to avoid high interest rates. They should also stay within their financial means to avoid overspending.
My Travel Strategy: How I Afford Luxury Vacations
I afford luxury travels through my $50K-per-month online business called local lead generation. This biz builds simple websites and ranks them on Google to get free leads. I then sell these leads to local business owners for at least 85% margins. With this financial freedom, I can enjoy luxury vacations whenever I want.
Travel hacking is okay as long as you approach it with caution. The problem is that many people go overboard with their spending. They're hooked to earn points that they do whatever it takes to get them. Meeting minimum spending requirements leads to unnecessary purchases. Keeping track of multiple cards can be overwhelming. There's also the risk of high-interest debt if credit card balances aren't paid in full. Travel hacking may give you occasional free travels. However, if you want to make it a lifestyle, build a business that can sustain it.
I've been making money through local lead generation in the last 10 years. A single site makes about $2K monthly passive income. Ranked sites make money even when I travel. It allowed me to live a financially free life without time constraints. Interested in my online business? Book a local lead gen coaching today!
