Strategies to Meet Minimum Spending Requirements for Big Travel Rewards

In the world of miles, points, and travel hacking, the basic strategy revolves around opening credit cards, meeting the minimum spending requirements, and then using those cards strategically to earn and maximize rewards. These points can then be redeemed for free travel, or in the case of transferable currencies, transferred to travel partners for even greater value.

One of the most crucial steps in this process is meeting the minimum spending requirement to earn a welcome bonus. These bonuses are often the fastest way to accumulate a large number of points, but depending on your budget and spending habits, hitting the required spend within the given timeframe (usually three months) can seem daunting. Fortunately, there are several clever ways to meet these requirements without unnecessary spending.

However, like all responsible credit card spending, only charge what you can afford to pay off in full each month to avoid interest charges.

Smart Strategies for Minimum Spending Requirements

1. Use Your New Card for Everyday Purchases

This is the simplest and most effective method. Make sure to use your new card for all your regular expenses, including groceries, gas, dining, and entertainment. Even small purchases add up quickly over time.

2. Prepay Bills and Utilities

Many service providers, such as electric, water, and internet companies, allow you to prepay your bill. However, some may charge a small processing fee for credit card payments. Depending on the situation, the rewards earned can far outweigh the fee, making it a worthwhile strategy to consider.

3. Buy Gift Cards for Places You Shop Regularly

If you frequently shop at a particular grocery store, Amazon, or big-box retailers like Target or Walmart, consider purchasing gift cards in advance. This lets you effectively front-load spending without wasting money on unnecessary items. Additionally, some credit cards offer bonus points for grocery or office supply store purchases, making this strategy even more valuable.

4. Pay Insurance Premiums in Advance

If your car, home, or health insurance allows for lump sum payments (most do) instead of monthly installments, consider paying the entire bill upfront. This can be a great way to hit your spending goal while covering a necessary expense and even help you qualify for a discount with your insurance provider when paying in full up front.

5. Fund an Investment or Savings Account

Some banks and brokerages allow you to fund new accounts using a credit card (often with a small processing fee). This can be a great way to meet spending requirements while investing for the future. If following this strategy make sure that these transactions will not be processed as a cash advance as cash advance fees can be high and may not count towards credit card bonus minimum spending. One way to insure this doesn’t happen is contacting your credit card provider and setting your cash advance limit to $0 or an amount lower than your planned transaction, that way if transaction is processed as a cash advance it will simply decline rather than incurring these hefty fees.

6. Cover a Large Group Purchase with Friends or Family

If you’re planning a trip with friends or family, or covering a group meal at a restaurant, you can offer to put the entire charge on your credit card and have everyone reimburse you. This is a simple and effective way to meet spending requirements without incurring additional expenses. Booking airfare, hotels, or event tickets for a group can also help you reach your spending goal quickly while still ensuring that you’re only paying for your own share.

7. Make Charitable Donations

If you already give to charity, using your credit card instead of cash or checks can help you meet spending requirements while supporting a good cause. Just ensure the charity doesn’t charge excessive processing fees.

8. Use Your Card for Business Expenses or to Start a Business

Having a business—or even starting one—can be a fantastic way to meet minimum spending requirements and earn ongoing points for travel. Business expenses such as inventory, advertising, and supplies can quickly add up and help you hit spending thresholds. Additionally, credit cards can assist with business cash flow, making it a win-win for earning points and travel miles. If you have reimbursable work expenses, consider using your personal credit card (if allowed by your employer) and submitting expense reports promptly for reimbursement.

9. Pay Taxes with a Credit Card

While there’s usually a small processing fee, paying taxes with a credit card can help meet spending requirements quickly. If the welcome bonus outweighs the fee, this could be a valuable strategy.

10. Split Large Purchases

If you have a big expense coming up—such as home renovations, medical bills, or tuition—consider splitting the payment across multiple cards if needed to meet minimum spending requirements on each one.

Final Thoughts

Meeting minimum spending requirements doesn’t have to be stressful or lead to unnecessary spending. With careful planning and strategic use of your credit card for everyday expenses, bills, and planned purchases, you can unlock huge rewards and enjoy free travel without going over budget.

By using these strategies, you’ll be well on your way to earning points and miles efficiently—getting you one step closer to your next adventure! Once you have your points you’re ready to book free travel. Read a beginners strategy to booking your next trip using miles and points for those who are starting their journey in the Southwest or live anywhere in Southwest Airlines footprint.