Credit Card Points Calculator

Put your rewards program and points in the calculator below and it will show you the estimated cash value using a popular redemption. We've included most of the credit card points programs in Australia. But if yours isn't there, you can use the formula in this guide to calculate the value of any rewards points.

Steps to calculate the value of rewards points

With any rewards program, the value of the points depends on what rewards you redeem. There is no fixed, dollar value for points when you're redeeming them. This is because the number of points you need for a reward varies depending on what you redeem them for and the actual rewards program.

But you can calculate what your points are worth for any reward using the following steps:

1. Estimate the retail value of your chosen reward

   If you want to redeem your points for a flight, go to the airline's website and search for flights on your chosen travel dates. Or, if you want to use points for a coffee machine, you could search for a similar model sold at different retailers. With gift cards or cashback, the value is already established (e.g. a $100 gift card = $100 value).

2. Divide the cost of the reward by the number of points needed

   This gives you the value of each point. For example, if you wanted to spend 36,000 points on a flight that costs $533, the result of this calculation is $0.0148 (or about 1.5 cents).

   This gives you the value of each point, but comparing cents (or fractions of cents) is sometimes confusing when you're looking at different reward options. If you find that's the case, a simple solution is to look at the value you get for every 1,000 points redeemed. You can do this by adding a third step:

3. Multiply the value per point by 1,000

   This will give you an answer that's in dollars and can be easier to compare, because most of the time you'll be redeeming thousands of points for a reward anyway. So with the example reward flight in step 2, you would get $14.80 worth of value for every 1,000 points used.

What is 1 Qantas Point worth?

Finder survey: Which rewards program do Australians of different ages prefer?

How can I make the most of my points?

Treat your points like cash when you're redeeming them. If you are rewarded with vouchers or gift cards, shop for items that are on sale. With frequent flyer rewards, go for the flights that are more expensive and generally never marked down.

For example, say a domestic Qantas flight from Melbourne to Sydney was on sale for $130, while a flight to London was $1,600. The domestic flight costs 8,000 Qantas Points and the London flight costs 55,200 Qantas Points.

Using the value per 1,000 points calculation, this international flight would offer you $28.98 per 1,000 points, while the domestic flight would only offer you $16.25. So, the value of flying to London with your points is higher.

What else do I need to think about?

The value you get from reward points – sometimes known as the "points currency" – is influenced by many factors. Some of the other key details to think about include:

• Additional reward costs. Some rewards attract additional fees and charges. For example, flights might have airline fees and taxes, while retail items like coffee machines could attract shipping costs. So before redeeming, check whether these expenses are charged separately or factored into the points needed for a reward.
• Point transfers. If you want to transfer credit card reward points to a frequent flyer program, be aware that the transfer rate could affect the value you get from your points. For example, if 2 credit card points are transferred to 1 frequent flyer point, you'd end up with half as many points after the transfer. But if that meant you got a higher-value reward flight, it could be worth it. You can compare point transfer rates for credit card reward programs in this guide.
• Credit card costs. The annual fee, interest charges, international transaction fees and any other charges you often pay for your credit card can offset the value you get from reward points. Ideally, you should get a card that has fees which are lower than the value you think you will realistically get from rewards.

Cash rewards vs other rewards

Most rewards programs offer some types of cash rewards, such as gift cards, cashback or cash off your shop at partner stores. While cash gives you a simple way to calculate the dollar value of each point, it won't always be the most valuable option.

As an example, Flybuys offers $10 off your shop at partnered stores when you redeem 2,000 points. That means each point is worth 0.5 cents.

But if you transferred 2,000 Flybuys points to 1,000 Velocity Points, Finder analysis shows that you could get a point value of between 0.4 and 4 cents depending on how you redeemed them. And if you redeemed them for a reward flight, you'd typically get between 1 and 4 cents value per Velocity Point. That means you could get an equivalent or higher value after transferring the points from Flybuys.

Frequently asked questions

• Are there any rewards cards that don’t have an annual fee?

  Yes, there are a few rewards and frequent flyer cards that don't charge annual fees. Usually, they offer fewer points per dollar spent and don't have big sign-up bonuses but it's possible to get a card with no annual fee and some modest rewards.

• Is there a limit on the number of points I can get?

  Some cards do have a points cap, meaning you can only earn up to a certain amount of points per statement period or per year. Other cards have a tiered points structure. Meaning for example, you'd earn 1 point per $1 spent up to $3,000 per month, and then only 0.5 points per $1 spent after that. Depending on how much you spend every month, this may or may not be a concern for you.

• Can anyone apply for a rewards credit card?

  There are eligibility requirements for every credit card, including those that are a part of a rewards program. Your age and residency for example could determine if you are able to be approved for a rewards credit card.