Cost of AAwards in cash - an indicative guide

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anat0l

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With US DM soon to meet its merger-maker, I was preparing a small info sheet for some of my family and friends who have considered US DM but now may have to move to AA with their cache of US DM miles. (It's easier to give them the sheet than explaining to all of them - one at a time - what they can and can't do). As part of this, I put up an indicative cost (based on miles purchased) of itineraries to and from places.

I'm not sure if it's useful to anyone else, but I thought I'd also post it here. Might be useful to get a better gauge of what you're up for if you've just come from US DM.

Now of course, the prices below aren't direct ticket prices. You can't look a price up, say, "OK, I've got this money. Here you go - give me a ticket." This is the indicative price to buy the miles required to get the award. Then you take your miles, book with AA, pay other fees and taxes, and there's your ticket. One should also note that unlike US, AA imposes limits on the number of miles you can purchase per calendar year. It could take you years to accumulate the required mileage. Sweeping over miles to AA via SPG etc. of course isn't factored into any of the prices below: these are just pure buy miles prices.

AA and US certainly have different programmes with different rules and racking up points in each one is quite different in a way. One interesting feature of AA (indeed, oneworld airline FFPs) are the oneworld distance-based awards. I've also included their costs here.

Finally, sorry about the tables below. I don't use the rich text or WYSIWYG editor on AFF, and I've forgotten the BB code for adding borders (it is a CSS class / style declaration that I can't remember). But, below should be readable enough.

Nota bene:!::!::!:

Methodology of calculating prices is based on 2.00972 US cents per mile, which is what you would've paid based on AA's 2012 Christmas period promotion (buy and get 50% more; annual purchase limit lifted to 60k). This unit cost includes the sales taxes associated with mileage purchase. The cost of ancillary taxes, fees and surcharges based on itineraries are, of course, not included in prices below. Prices are in US Dollars ($), rounded to nearest whole dollar.


General AA All-Partner Awards (zone based)

Prices based on return journey with direct travel between zones. One-way travel is half the indicated cost.

The table has been abridged for sake of brevity and ease of understanding for non-FF / seasoned travellers. For more precise definitions and the full table, consult the AAdvantage website.

Destination Zone (Origin: Australia / South Pacific)BusinessFirst
North America (including Hawaii and Alaska)$2,512$2,914
North Asia (Japan, Korea, Mongolia)$1,809$2,412
Rest of Asia (including China; excluding India, CIS and Middle East)$1,407$1,809
Europe$2,412$3,216
Central America and northern South America$2,613$3,015
Rest of South America (does not include Easter Island)$2,010$3,015
Africa$2,010$3,015
Oceania (including Easter Island)$1,203$1,708
Australia domestic and New Zealand$703N/A


oneworld Explorer Awards

Award price is based on total distance travelled in statute miles (GCM is a good enough proxy for this, I'd suppose).

Award ZoneDistance band (miles)EconomyBusinessFirst
10 - 1,500$603$1,206$1,608
21,501 - 4,000$703$1,507$2,010
34,001 - 9,000$1,206$1,608$2,010
49,001 - 10,000$1,407$1,809$2,412
510,001 - 14,000$1,809$2,311$3,015
614,001 - 20,000$2,010$2,613$3,618
720,001 - 25,000$2,412$3,015$4,622
825,001 - 35,000$2,814$3,818$5,627
935,001 - 50,000$3,216$4,421$6,632
 
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It would have been a lot more of interest to compare the AA cost to the current US DM cost with a 100% promo on the basis of a 1:1 conversion.
 
Thanks a million anat0l for taking the time to post this info - personally I have ZERO knowledge of AA awards so this is invaluable - god I love AFF - I am so indebted to all the esteemed ladies and gentlemen who so selflessly take the time and effort to contribute snippets of their vast knowledge for us simpletons to feast upon.
 
It's very useful information for me, thanks for posting.
I'm just starting to learn about the AA program after reaching LTG with QF earlier this year.
Looks like very good value for points redemption and I'm considering buying 60k + 18k bonus points for $1,650usd and 20k SPG points for $525usd to get me started.
 
Looks like very good value for points redemption and I'm considering buying 60k + 18k bonus points for $1,650usd and 20k SPG points for $525usd to get me started.

You should be looking at US Air's program now which was the point of my post, the points are cheaper given they often have promos at 100% and no caps, given they will be rolled into AA soon (timing still TBC but early to mid year might be accurate) at a 1:1 conversion it's a good way of banking value for future OW redemptions via AA. Of course there is every chance the year of "enhancements" for many US program's will see AA increase their award mileage requirements in the near future, and that needs to be factored into the equation when it comes to banking points and the risk.
 
You should be looking at US Air's program now which was the point of my post, the points are cheaper given they often have promos at 100% and no caps, given they will be rolled into AA soon (timing still TBC but early to mid year might be accurate) at a 1:1 conversion it's a good way of banking value for future OW redemptions via AA.

Thanks for the tip, do they have any good promos running at the moment?
 
Thanks for the tip, do they have any good promos running at the moment?

They have a targeted 100% bonus, the tip is to join ASAP, make a minimum miles purchase and see if that triggers a targeted one, or wait for a general promo.
 
It would have been a lot more of interest to compare the AA cost to the current US DM cost with a 100% promo on the basis of a 1:1 conversion.

As they say in mathematical parlance, "Q.E.D."... or quite easily done ;) :D

OK, not really, because one of the things is that the geographical award zones defined by AA and US do vary slightly. I've tried to make some "congruent" categories for comparison below, but ultimately you'll just have to check the award charts for yourself for anything more complicated / to convince yourself.

The "Converted" column is the cost of the relevant award if you bought miles with US DM which then were converted at 1:1 to AA, then used these newly converted AA miles (i.e. cheaper miles than if bought from AA, but using AA award mileage levels). The % increases are relative to the US award (% increase = (NewCost - BaseCost) / BaseCost * 100%)

All prices are calculated based on return travel. AA awards assume direct routing (i.e. cheapest award; non-direct routing may break into multiple awards, increasing cost).

US cost based on 1.88 US cents per mile, based on a standard 100% buy miles promotion, including sales taxes on mileage purchase. Of course, share miles promotion miles costs are far cheaper, but this promo is more rare and isn't overly helpful for those with zero mileage balance.

Example reading the table: Take an award travel for Australia to USA return in Business Class. This requires 110,000 US Dividend Miles, or 125,000 AAdvantage miles.
  • If you purchased US DM miles under the buy promo and redeemed a US award, it would cost you $2,068 (pre-taxes, fees and surcharges).
  • If you purchased US DM miles under the buy promo, but waited until they converted to AA miles then redeemed an AA award, it would cost you $2,350.
  • If you purchased AA miles under the buy promo and redeemed an AA award, it would cost you $2,512.

Destination (Origin: Australia)US Award BusinessAA Converted BusinessAA Award BusinessUS Award FirstAA Converted FirstAA Award First
USA and Canada (excluding Hawaii)$2,068$2,350 (+13.64%)$2,512 (+21.47%)$2,632$2,726 (+3.57%)$2,914 (+10.71%)
Hawaii$2,256$2,350 (+4.17%)$2,512 (+11.35%)$3,008$2,726 (-9.38%)$2,914 (-3.13%)
Mexico and Caribbean$2,256$2,350 (+4.17%)$2,512 (+11.35%)$2,820$2,726 (-3.33%)$2,914 (+3.33%)
Europe$2,256$2,256 (0%)$2,412 (+6.91%)$2,820$3,008 (+6.67%)$3,216 (+14.04%)
Africa$2,444$1,880 (-23.08%)$2,010 (-17.76%)$3,008$2,820 (-6.25%)$3,015 (+0.23%)
Japan, Mongolia, Korea$1,692$1,692 (0%)$1,809 (+6.91%)$2,256$2,256 (0%)$2,412 (+6.91%)
India$1,692$1,692 (0%)$1,809 (+6.91%)$2,256$2,256 (0%)$2,412 (+6.91%)
Middle East$2,256$1,692 (-25.00%)$1,809 (-19.81%)$2,820$2,256 (-20.00%)$2,412 (-14.47%)
China, Taiwan, Hong Kong and South East Asia$1,692$1,316 (-22.22%)$1,407 (-16.84%)$2,256$1,692 (-25.00%)$1,809 (-19.81%)
Central America and northern South America$2,256$2,444 (+8.33%)$2,613 (+15.82%)$2,820$2,820 (0%)$3,015 (+14.55%)
Rest of South America$2,256$1,880 (-16.67%)$2,010 (-10.90%)$2,820$2,820 (0%)$3,015 (+6.91%)
Oceania$564$1,128 (+100.00%)$1,203 (+113.30%)$752$1,598 (+112.50%)$1,708 (+127.13%)
New Zealand$564$658 (+16.67%)$703 (+24.65%)N/AN/AN/A


I hope all those calculations are correct - a bit hard doing them all manually then typing out the table in BB code! :-|
 
As they say in mathematical parlance, "Q.E.D."... or quite easily done ;) :D

OK, not really, because one of the things is that the geographical award zones defined by AA and US do vary slightly. I've tried to make some "congruent" categories for comparison below, but ultimately you'll just have to check the award charts for yourself for anything more complicated / to convince yourself.

The "Converted" column is the cost of the relevant award if you bought miles with US DM which then were converted at 1:1 to AA, then used these newly converted AA miles (i.e. cheaper miles than if bought from AA, but using AA award mileage levels). The % increases are relative to the US award (% increase = (NewCost - BaseCost) / BaseCost * 100%)

All prices are calculated based on return travel. AA awards assume direct routing (i.e. cheapest award; non-direct routing may break into multiple awards, increasing cost).

US cost based on 1.88 US cents per mile, based on a standard 100% buy miles promotion, including sales taxes on mileage purchase. Of course, share miles promotion miles costs are far cheaper, but this promo is more rare and isn't overly helpful for those with zero mileage balance.

Example reading the table: Take an award travel for Australia to USA return in Business Class. This requires 110,000 US Dividend Miles, or 125,000 AAdvantage miles.
  • If you purchased US DM miles under the buy promo and redeemed a US award, it would cost you $2,068 (pre-taxes, fees and surcharges).
  • If you purchased US DM miles under the buy promo, but waited until they converted to AA miles then redeemed an AA award, it would cost you $2,350.
  • If you purchased AA miles under the buy promo and redeemed an AA award, it would cost you $2,512.

Destination (Origin: Australia)US Award BusinessAA Converted BusinessAA Award BusinessUS Award FirstAA Converted FirstAA Award First
USA and Canada (excluding Hawaii)$2,068$2,350 (+13.64%)$2,512 (+21.47%)$2,632$2,726 (+3.57%)$2,914 (+10.71%)
Hawaii$2,256$2,350 (+4.17%)$2,512 (+11.35%)$3,008$2,726 (-9.38%)$2,914 (-3.13%)
Mexico and Caribbean$2,256$2,350 (+4.17%)$2,512 (+11.35%)$2,820$2,726 (-3.33%)$2,914 (+3.33%)
Europe$2,256$2,256 (0%)$2,412 (+6.91%)$2,820$3,008 (+6.67%)$3,216 (+14.04%)
Africa$2,444$1,880 (-23.08%)$2,010 (-17.76%)$3,008$2,820 (-6.25%)$3,015 (+0.23%)
Japan, Mongolia, Korea$1,692$1,692 (0%)$1,809 (+6.91%)$2,256$2,256 (0%)$2,412 (+6.91%)
India$1,692$1,692 (0%)$1,809 (+6.91%)$2,256$2,256 (0%)$2,412 (+6.91%)
Middle East$2,256$1,692 (-25.00%)$1,809 (-19.81%)$2,820$2,256 (-20.00%)$2,412 (-14.47%)
China, Taiwan, Hong Kong and South East Asia$1,692$1,316 (-22.22%)$1,407 (-16.84%)$2,256$1,692 (-25.00%)$1,809 (-19.81%)
Central America and northern South America$2,256$2,444 (+8.33%)$2,613 (+15.82%)$2,820$2,820 (0%)$3,015 (+14.55%)
Rest of South America$2,256$1,880 (-16.67%)$2,010 (-10.90%)$2,820$2,820 (0%)$3,015 (+6.91%)
Oceania$564$1,128 (+100.00%)$1,203 (+113.30%)$752$1,598 (+112.50%)$1,708 (+127.13%)
New Zealand$564$658 (+16.67%)$703 (+24.65%)N/AN/AN/A


I hope all those calculations are correct - a bit hard doing them all manually then typing out the table in BB code! :-|

Thanks very much, makes for very interesting reading.
 
It should be noted here again (although most would be aware) that AA awards are not as generous (in general) compared to US awards.

AA awards do not allow en route stopovers. This is probably the biggest value impact when moving to AA awards apart from prima facie mileage price differences. On any legal routing, you can have as many transits as you like (defined as < 24 hours outside of N. America; < 4 hours inside N. America), but a stopover will cause the AA award to be split into multiple awards, which will increase the cost.

The only exception to the above rule is that any itineraries involving North America allow one free stopover at the international gateway in North America. Also, of course, oneworld Explorer tickets are intended to be multi-stopover.

Open jaws are allowed on AA, but only because you can redeem one-way awards with AA (in fact, all prices given on the AAdvantage award price charts are one-way prices). This is one of the few advantages over US, where the latter does not allow one-way awards at reduced cost.

AA requires you to more or less travel the most direct route. You can try and redeem some doozy itineraries (albeit with little point if not allowed to stopover) and it might not make the award split up and increase the cost, but it's not as far fetched as US.

So in summary, people say AA is less generous and more expensive than US. Are they right? Most likely! Not to mention that it's much harder to rack up AA miles purely through buying (buy promotions not as generous and mileage purchase limits apply per calendar year). Most on AFF who have been AA stalwarts have usually done so either via crediting QF / oneworld flights (i.e. forgoing QFF), and converting credit card points to Starwood then from there onto AA. (You could do the Starwood thing for US DM too, but for the latter it's far easier just to use the promotions).
 
I will check on this but I believe en route stopovers are permitted at the gateway port.

e.g. MEL-LAX-ORD would be just as valid as MEL-xLAX-ORD
 
I will check on this but I believe en route stopovers are permitted at the gateway port.

e.g. MEL-LAX-ORD would be just as valid as MEL-xLAX-ORD

I believe that's fine; as I stated above, the only exception is that itineraries involving North America allow a free stopover at the gateway in North America.
 
And some times the Aagents are generous and I have been allowed a CHC-xSYD-BNE as an Aaward.You cant count on it though.I was told they were being kind to me.
 
And some times the Aagents are generous and I have been allowed a CHC-xSYD-BNE as an Aaward.You cant count on it though.I was told they were being kind to me.
Shouldn't that be CHC-oSYD-BNE (or CHC-SYD-BNE)?
 
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Whatever means I got a stopover in SYD on the way from CHC to BNE is what I should have written.:oops::shock::D
 
Does US offer a status match with AA EXP, I have passed the qualifying mark this year for AA and bonus levels.
 
Whatever means I got a stopover in SYD on the way from CHC to BNE is what I should have written.:oops::shock::D

By stopover you mean you got > 24 hours in SYD?

If so, ah well. As the old process goes, if it works and it tickets, shut up and be happy! :D
 
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And stopovers can be booked online. A good example is HNL-JFK-NRT.
 
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