Free Calculator

Rewards Card Break-Even Calculator

Enter the card's annual fee and rewards rate, plus your baseline no-fee option. The model shows break-even spend and the year-1 vs year-2+ advantage of the fee card.

Annual fee ($)

Fee-card rewards rate (%)

Baseline no-fee rate (%)

Typical monthly spend on this card ($)

Signup bonus value ($)

Signup min-spend req (first 3 mo, $)

Break-even annual spend

$9500

Excluding signup bonus

Year-1 advantage vs baseline

$835

Includes signup bonus

Year 2+ ongoing advantage

$85/yr

Estimate only — not an offer or approval decision

Assumptions used

Rewards value is calculated at your entered rate — for points, use your realistic redemption cents-per-point.
Baseline is a no-fee card earning the entered flat rate on all spend.
Year-1 math assumes the signup bonus is earned in full.
Ongoing advantage is fee-card annual rewards minus annual fee minus baseline rewards.

Not included in this estimate

Statement credits, retention offers, and category multipliers
Foreign transaction fees and interest charges
Card benefits value: lounges, insurance, TSA credits
Behavioral risk of overspending to hit thresholds

Real rates, payments, and eligibility depend on the lender or issuer, your credit profile, and current market conditions. Verify current terms directly with the provider before making a financial decision.