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How to Fly First Class for Free

How to Fly First Class for Free


    There’s a way for you to fly first class for free over and over again.

    The best part? It doesn’t require incredible negotiation skills or dumb luck. Anyone can do it.

    Let me tell you everything you need to know so you can decide if this powerful travel strategy is right for you.

    How to Fly for Free

    A few years back, I started searching for the best ways to travel for cheap. I wanted to get out and see the world … or at least the United States.

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    What I ended up finding were a small group of people that were booking free flights over and over again with a strategy that was the complete opposite of what most people do.

    You see, most people know that you can book a free flight by using frequent flyer miles. And if you have enough frequent flyer miles, then you can even fly first class for free. Of course, the only problem is that it’s really hard to accumulate a lot of miles by flying.

    Luckily, there is a way to get hundreds of thousands of frequent flyer miles without flying at all.

    This travel strategy is a special process called “credit card churning” and here’s how it works…

    The credit card industry is extremely competitive. As a result, many credit card companies are willing to offer you huge frequent flyer mile bonuses if you sign up for their card.

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    This strategy works so well for getting frequent flyer miles that a group of people called credit card “churners” have used it to earn more than 1 million frequent flyer miles in a year. They apply for card after card and churn through as many applications as possible. Then, they spend the minimum amount needed to get the bonus (for example, $1,000 in 3 months) and move on to the next card. Some people routinely have over 15 credit cards on rotation!

    The good news is that credit card bonuses work just as well for normal people like you and me. By simply getting 1 or 2 new cards, you can get enough frequent flyer miles for multiple round–trip flights.

    There is no need to go crazy and get 15+ new cards. Of course, if you did, then you could literally earn enough miles to fly around the world multiple times.

    Regardless of how many cards you’re comfortable with getting, these frequent flyer mile bonuses are the best way to fly for free because you can use frequent flyer miles to book flights anywhere and at anytime. For example, I used frequent flyer miles to book a free flight to Costa Rica last December, which is during the “high season” down there.

    Where to Get Started

    Many credit card churners get their information from a variety of blogs, forums, and websites. Thankfully, there are services that can do all of that research for you.

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    A great one to start with is The Credit Card Fly. It’s a free email newsletter that sends you a short weekly update of the best credit card deals for earning frequent flyer miles, free hotel stays, and rewards points.

    Once you know the deals to apply for, the 3–step process looks like this:

    1. Apply for a new credit card that has a big frequent flyer mile bonus.
    2. If necessary, spend the minimum amount to get the bonus. Many cards have no spending requirement.
    3. Redeem your miles and fly anywhere.

    Does this Hurt Your Credit Score?

    Applying for new credit cards actually helps your score in one way and hurts it in another. Let me explain…

    When you apply for a new credit card there is an inquiry on your account. New credit inquiries usually drop your score by a few points, but new inquiries only make up 10% of your overall credit score so the drop is small.

    On the flip side, when you get a new credit card this also increases your overall credit limit and this will probably help your credit utilization ratio.

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    For example, let’s say that before your new card you were spending $2,000 and your total credit limit was $10,000. In this case, your credit utilization ratio was 20% ($2,000/$10,000). Then you get a new card and let’s say your credit limit raises to $15,000. Remember, your spending habits should be about the same because you’re only spending the minimum needed to get your frequent flyer miles. So now your credit utilization ratio is only 13% ($2,000/$15,000).

    This is a good thing. A lower credit utilization ratio helps your credit score. For this reason, many credit card churners actually see their score increase over time. Many churners have 10 or more credit cards and still hold excellent credit scores in the 780 to 800 range.

    How to Know if This Will Work for You

    As a rule of thumb, your credit score should be 700 or above if you’re thinking about following this credit card travel rewards strategy.

    And if you’re planning on applying for a bunch of cards to get tons of frequent flyer miles, then you should probably have a credit score above 720.

    No matter what your score is, this strategy will only work if you pay your balance in full each month and carry no debt on your new cards. It doesn’t matter how good your history is, if you get a new credit card and start piling on debt, then your credit score will suffer and this travel strategy is useless.

    If you have the discipline to pay your balance in full each month, then you’re ready to hit the skies.

    (Photo credit: Passenger Windows on Plane via Shutterstock)

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    Published on June 12, 2018

    How Much Money Do I Need to Retire? Find Your Answer Here

    How Much Money Do I Need to Retire? Find Your Answer Here

    It is never too early nor is it ever too late to start planning for retirement. It ultimately depends on your way of life, where are you living, and whether you need to let go of anything. A successful retirement strategy is to have enough pay to cover your expenses with a little cash going into a savings account for sudden financial needs.

    With regards to retirement, we all have an alternate vision in mind. In fact, some think about traveling throughout the world, while some think of a peaceful life with their grandchildren. Whether we get ready for it or not, we will one day turn to retirement age and so, we should be prepared for it. I’m going to tell you how in this article.

    Benefits of early ventures for retirement

    The way this works is you figure out where you need to live, the amount it will cost you to live there (rent/food/transportation), and the various expenses you will need to account for, like travel/insurance/medical bills and taxes. Many people are struggling to put aside money for their future savings and some haven’t started yet. Think you can put off thinking about retirement? The reality is that you need to start thinking about it right now, and putting aside some money from today.

    There are a lot of benefits of taking early steps towards retirement. Utilize the power of compounding, low investment for targeted corpus and you can create more corpus investing the same money:

    • If someone saves $100 every month and starts investing for 30 years at 10% return, initially you will see that within 5-10 years, your investments will not multiply. However, after that period, the corpus will increase immensely with the impact of compounding. The investment period expands the extent of profits increments in the corpus.
    • Suppose there are two people, one aged 30, and the other 40. Both need to resign at 60 with the same retirement objectives of $300,000 USD each. Both will put resources into an investment with 10% of the return. Thus, to accomplish their retirement objective, the younger one needs to save $100 USD / month and the older one needs to collect $300 USD / month. Since the older one has started investing ten years later than the younger one, he will pay more than double what the younger one will pay.
    • If someone saves $100 USD every month and starts investing at 30 years old till 60 and gets 10% annual return, his corpus becomes around $170,000. Otherwise, if he starts the same amount spending at 40 years of age with the same 10% return, he will have around $57,000 USD. He can profit by just investing ten years early.

    You can’t invest too much money in retirement during the early stage of your career since you may have different objectives. However, you can increase the investment gradually if you start investing just a small amount.

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    Average retirement age

    For many people who are nearing retirement age or recently resigned, one of their most significant financial regrets is that they did not focus on saving for their golden years. As per the Consumer Reports study, it demonstrates that only 28% of investors with the age of 55 years or older are pleased with the way they have saved for retirement.

    As per the report, The Economic Policy Institute breaks down how much Americans have put away.[1] Since you know that when the majority of people retire, you can subtract your age from that more significant number and check down what number of more years you need to work.

    But many retirees go back to work. Some of them do part time job while others do seek for a second career. Some even come back to full-time work and then retire again in a couple of years. So deciding their retirement age could be tricky.

    Average retirement savings

    To get retirement started, saving is pretty easy, though it can seem complicated. These simple five steps will make you go on retirement now. So, you don’t need to stress over having the same regrets as today’s retirees.

    1. Invest 15% for your retirement

    Your initial step is to save 15% of your income. This will depend on your gross income and does not include any coordinating assets you get through your employer’s retirement plan.

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    It’s sufficient to enable you to achieve your retirement investment funds objectives, but not too much to keep you from enjoying your income today.

    2. Utilize tax-advantaged retirement plan

    Yes, we utilized the T-word; however, don’t daydream! Split your 15% retirement contributing budget between charge conceded retirement plans like your 401(k) or after-tax plans like a Roth IRA.

    3. Invest your money around

    To put it all in one place is the most significant risk that you can take with your retirement money. With mutual funds, however, you can invest in the biggest and most recognizable brands as well as that new organizations you’ve never known about but has a lot of growth potential.

    Opt a growth-stock mutual fund with background marked by solid returns for both your 401(k) and Roth IRA speculations.

    4. Stay with it

    Since mutual fund investing is less risky than investing in single stocks, it is not risk-free. You can see your savings grow in the long term as long as you can leave your money where it is and keep adding to it.

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    5. Work with an investing professional

    It is essential to look for an investment professional, as you must have a lot of queries concerning your retirement plan during 30 or more years of investing,

    Never make due with an investment professional who recommends or patronizes you to turn over all your investment choices to them. Since this is your retirement, nobody will think or care about it more than you do!

    You might analyze or compare your savings against the average retirement savings for your age group to check whether you’re falling behind or getting towards of the curve. On the other hand, it might be conceivable to hang up the work boots and hit the shoreline with fewer savings if you live easily or below your means.

    How to achieve your financial goals?

    An ideal approach to achieve your financial goals is to stay focused on what you need for your future, ignore everything (and everyone) else that may divert you. There’s a significant business culture out there that requires you to stay in debt, live for the occasion and stress over your future later on.

    You need to start planning for your future from now, not when you have more time or money to invest. You can even talk to a financial advisor for any help. Cooperate to set your money goals and make an action plan to reach them. You can retire younger than you thought you could if you create a project and follow up on it.

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    Start planning for your retirement

    A lot has changed in the last 30 years; our previous generation had an career goal and they would join either a large private company or a government organization immediately after school or college. Then they would spend the next 38 years in the same organization and the form of provident fund and gratuity. They would retire with a decent corpus and they would later spend the remaining time with their pension benefits. It’s a bit different now, but with the above information, you’ll be well prepared.

    Whether you can afford to retire now or not, you need not bother with a retirement calculator to get a rough estimate. You should have the capacity to closely approximate your daily spending habits to figure out how much money goes out the door every year.

    Featured photo credit: Pexels via pexels.com

    Reference

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