Business: When your purchase amounts and types are more reflective of a business
1. Chase Freedom: You won’t be able to get rid of the Freedom because no one can beat its 5X rotating bonus categories.
And currently, it’s offering a sign-up up bonus of $150 with a minimum spend of $500 in the first three months of account opening.
-1X points on everything
-5X points on quarterly rotating categories
-No annual fee
Do what you can to max out on the $1500 spend cap each quarter by using these tactics, but other than that there’s no need to ever pull this card out.
2. Chase Sapphire Ink Preferred: The new addition is the Sapphire Ink Preferred, which is currently offering a whopping 80K sign-up bonus.
Chase Sapphire Ink Preferred: It falls under the business spend strategy because of the category bonuses as well as the higher spend caps that align with business expenses. This does NOT exclude people with higher levels of spend from using this as a personal card. Just make sure you register as a business, whether that’s photography, consulting, or blogging.
-3X points for the first $150,000 spent on travel, shipping purchases, internet, cable and phone services, and advertising purchases made with social media sites and search engines
-1X point on everything else
So then what does the break-even spend look like for this card? Well, the Ink Preferred has the benefit of 3X points for a few categories while also maintaining a lower annual fee of $95.
We know that $95 in spend is 9500 points which makes that our target. In order to find out how much we actually have to spend, we divide 9500 by the point bonus points (3X). Then you take that and divide it by 1.25 because the Ink Preferred also has the same point multiplier as the Sapphire Preferred when points are redeemed through the portal.
The math looks like this: ($,9,500/3)/1.25 = $2,533
That is absolutely an achievable minimum spend, especially for anyone with expenses reflective of a business. And with the 3X points applying to not just travel but other business related costs, there is lots of room to rack up those points.
The train of thought you should follow is
- “Does this qualify for the current 5X bonus category?”
If Yes, then use the Chase Freedom.
- “Is this a travel or business-related purchase?”
If Yes, then use the Sapphire Ink Preferred.
- “Is this a restaurant-related purchase?”
If Yes, then use the Sapphire Reserve.
- For everything else use any of the three.
3. Chase Sapphire Reserve OR Sapphire Preferred: With a business it’s even more likely to have food related costs and it would be a worthy investment to get the Chase Reserve. But we’ll dig into a little deeper because it and the Preferred’s role changes with the introduction of the Ink Preferred.
Normally these two cards would be your go-to for travel and restaurants, but because the Ink Preferred also earns 3X points on travel, this card’s value is now only based on restaurant spend. So let’s do the math again.
If any of this is unclear, refer to this post where I go into much greater detail.
The Reserve Calculations: ($15,000/3)/1.5= $3333
The Preferred Calculations: ($,9,500/2)/1.25 = $3,800
Since the travel and restaurant categories both offer 3X points, the math stays the same. The only difference is that now, the entirety of your $3,333 spend for the Reserve or $3,800 spend for the Preferred has to come out of restaurant purchases.
Keep in mind that the Ink Preferred still falls short of the great travel benefits that the Reserve offers. That being said, if you’re confident you’re able to spend around $3,333 at restaurants over the year, the Reserve is still the right move. And it doesn’t hurt to get that extra 50,000 points for signing up. The same is true with the Preferred if you can spend $3,800 over the year.
There are always ways to earn more points, and just a little extra effort can turn into a lot of extra points. Make sure to always consolidate your points on the Reserve or Preferred to get that point multiplier when redeeming through the portal.
And remember, if you apply at ThePointsMarket.com, you’ll get an extra sign-up cash bonus from us!
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