Is AmEx Business Gold Worth Its Annual Fee? – TBEN


the American Express® Business Gold Card offers rewards that scale with your spending, as well as other perks that make the card more valuable to some users. So is the American Express® Business Gold Card the right card for you? Here is an overview of the main features of the card, followed by a little analysis assessing your potential rewards against the $ 295 annual subscription. Conditions apply.

Bonus categories that adapt to your business

the American Express® Business Gold Card awards you American Express Membership Rewards points for each qualifying purchase. Like many cards, it has bonus categories that yield even more points. But unlike many competitors, the American Express® Business Gold CardThe bonus categories are in line with the spending habits of your business. Each billing cycle will earn you 4 Membership Rewards points per dollar in two of the categories where you spend the most. Conditions apply. The categories are:

  • Airline tickets purchased directly from airlines.

  • Advertising online, television, radio and more in the United States.

  • Computers, software and other technology in the United States from specified vendors including Apple and IBM.

  • Purchases in the United States for shipping.

All other purchases earn 1 point per dollar. Conditions apply.

4x categories are limited to $ 150,000 in combined expenses in a calendar year. After that you will earn 1 point per dollar. Conditions apply.

25% discount on air exchanges

When you use Pay With Points to book an eligible flight through the American Express Travel Portal, you get 25% off those points. Qualifying flights include any flight from the airline you pre-select at the start of each year. For all other airlines, you get the 25% discount on first class and business class seats only. It will take approximately six to ten weeks for the discount points to appear in your account and there is a cap of 250,000 discount points each year. Conditions apply.

This advantage gives you a value of 1.33 cents per point. For example, if you purchased a ticket worth $ 500, which would cost 50,000 Membership Reward points, your cost would be 37,500 points after the 25% discount. This comes down to 1.33 cents per point of value.

Valuable welcome offer

New cardholders can take advantage of an attractive welcome offer: Earn 35,000 Membership Rewards® points after spending $ 5,000 on qualifying purchases with the Business Gold Card in the first 3 months after joining the Card. * Conditions apply. Since Membership Rewards points are valued at 1 cent each, this welcome offer is worth $ 350. But if you’ve redeemed those points for flights eligible for your 25% discount, the welcome bonus is worth around $ 465. Conditions apply.

Justify the annual fee

You will easily compensate for the $ 295 annual fee by spending at least $ 7,400 each year in categories that earn you 4x points. If you take advantage of the 25% point discount on flights (and the 1.33 cent per point increase), that breakeven point drops to around $ 5,500 per year spent in 4x categories. Spending $ 5,500 on 4x bonus spending would net you 22,000 points and it would be worth around $ 293.

For most businesses, these are easy spending thresholds, especially since the bonus categories are in line with your company’s natural spending habits. But if your spending isn’t concentrated in areas that earn you 4x points, you might do better with a card like American Express Blue Business® Plus Credit Card, who pays 2x points on purchases in each category, up to $ 50,000, while charging a $ 0 annual subscription. Conditions apply.

The bottom line

the American Express® Business Gold Card offers a unique and flexible income structure that can be very rewarding. With the 25% discount on airline trades and bonus categories based on your natural spending habits, many users will reap far more value from this card than they pay in annual fees. Conditions apply.

Information relating to Ink Business Preferred® Credit Card was collected by TBEN and has not been reviewed or provided by the issuer of this card.

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