Programs for frequent fliers in 2024 differ from past years. Bargain hunters will be happy to see a return to low-cost flight deals, but watch out for fees that might take a bite right back out of your travel budget.
To understand what the year will bring for frequent fliers, Sandra Block, senior editor for Kiplinger’s Personal Finance magazine, sat down with Katy Nastro. Ms. Nasto is a travel expert for Going.com (formerly Scott’s Cheap Flights), a subscription service that alerts travelers to deals on airfares.
Frequent fliers in 2024: the summer travel season
What’s the outlook for the 2024 summer travel season?
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
We’re not anticipating any major increases in airfares in 2024. Airfares won’t go back to pandemic lows, when you could get a round-trip ticket to Europe for around $200. But we anticipate deals that we haven’t seen for quite some time will come back. For example, Going.com recently found a $399 round-tripfare from Phoenix to Madrid, which we hadn’t seen in over a year. However, a deal that might have been available for five days in the past may disappear within one or two days.
If you see a really good deal and it fits your budget, go ahead and book it, and remember: If you book directly with the airline, you have 24 hours to ask for a refund, so you’re not locked in.
What about fees?
To encourage nervous travelers to fly, many airlines scrapped flight-change fees during the pandemic. Do you expect airlines to reinstate them? And do you anticipate increases in baggage fees?
Analysts assumed that once the industry recovered from the pandemic, change fees would come back. But so far, they haven’t. We don’t expect any airlines to bring back change fees for standard economy tickets in 2024. But if you buy a basic economy ticket, nine times out of 10 it will have a change fee.
When it comes to bag fees, most U.S. airlines charge about $30 for the first checked bag on domestic flights. We expect at least two carriers to increase that price to $35 this year. Data shows that airlines can generate quite a bit of money by raising baggage fees by just a small amount, and the last time major carriers increased fees was in 2018.
How to beat the crowds
You’re predicting that there will be a record number of air travelers this year. What advice do you have for travelers who will likely face big crowds at the airport?
If you don’t have TSA PreCheck, which provides expedited security screening, this is the year to get it. It’s good for five years, so it’s worth the cost [a $78 fee for first-time enrollees] even if you fly only once a year. Not having to wait an hour or more in security lines reduces the stress of traveling.
If you’re looking for cheap flights and you can be flexible, go in the spring or after Labor Day. September is a fantastic month to go to Europe. For those who need to travel in the summer, try heading out the first two weeks in June or the last two in August, when airfares can cost up to 30% less than in the peak of summer.
Use those points and miles
Last year, Delta Air Lines changed the way its frequent-flier miles are structured, reducing the value for many longtime customers. Do you expect other airlines to follow suit this year?
In the past decade or so, airlines have been moving toward rewarding fliers who spend more versus those who fly more. Delta rolled back some of its changes in response to the backlash it experienced, but you still need to spend more money to get the benefits. While it’s unclear whether another big airline will follow suit, if you’re sitting on points and miles, try to use them this year instead of hoarding them, because there’s a good chance they’ll lose some of their value moving forward.
What about Alaska Airlines?
Alaska Airlines plans to buy Hawaiian Airlines for $1.9 billion, pending approval from the U.S. Department of Justice. How would the merger affect fares to destinations served by those airlines?
Going.com founder Scott Keyes correctly predicted last year that the Justice Department would block JetBlue’s proposed acquisition of Spirit. Even though this administration isn’t super merger-friendly, we suspect this merger will get the green light from regulators. But the process takes a long time, so even if this merger goes through, we’re unlikely to see its effects on airfares within the next year.
Read More
-
Stock Market Today: Have We Seen the Bottom for Stocks?Solid first-quarter earnings suggest fundamentals remain solid, and recent price action is encouraging too.
-
Is the GOP Secretly Planning to Raise Taxes on the Rich?Tax Reform As high-stakes tax reform talks resume on Capitol Hill, questions are swirling about what Republicans and President Trump will do.
-
Reminder: The Basics of Using HSA FundsHealth savings accounts (HSAs)can help you cover out-of-pocket medical costs. Just make sure you understand the rules and keep records of qualifying expenses.
-
Why You Need a Trusted Contact for Your BrokerageYour brokerage or bank needs someone to reach out to if it's concerned you're experiencing fraud or cognitive decline. That's where a trusted contact can help.
-
ABLE Account: A Savings Tool to Empower People With DisabilitiesAn ABLE account can improve quality of life for individuals with a disability — it permits tax-free saving for ongoing expenses without jeopardizing benefits.
-
20 Ways to Clean Up Your Finances This SpringSpring cleaning is therapeutic and stops costly problems from building up around the home. Why not tackle the dusty corners of your finances at the same time?
-
Planning Summer Travel? Use These StrategiesTo save money on summer travel, book your tickets well ahead of time, use technology and avoid popular destinations.
-
The 'Concerning Trends' in Retirement NowAmericans are less satisfied with their life in retirement and cite inflation and higher healthcare costs as just two of the problems they're facing.
-
Private Jets Are Within Reach for Wealthy RetireesRealizing an adult fantasy like booking a private jet doesn’t come cheap. But so what?
-
An Inventory of What We’ve Endured: After the WildfiresA traumatic experience like the California wildfires reminds us of other losses we've endured. But simple tasks return us to the present and drive away despair.
