Manufactured Spending Calculator
Do the fees beat the rewards? Enter what you would pay and what you would earn. You get the net if everything is paid out, the break-even fee, and what you are left with if the rewards are reversed. Every number is yours: nothing here is a typical figure.
The starting numbers are placeholders, not typical figures. Replace each with what you would actually pay and earn.
The total spend this method would add.
How many separate transactions that takes.
Any fee charged as a share of the amount, from your actual receipt or terms.
Any flat per-transaction fee, from your actual receipt or terms.
Cash-back rate, or points per dollar times what you value a point.
Dollar value of the bonus; 0 if this spend is not for a bonus.
Result
- Fees you pay
- $0.00
- Rewards and bonus
- $30.00
- Net if paid out
- $30.00
- Net if reversed
- $0.00
- Break-even percentage fee
- 1.00%
- Reward per $1 of fees
- —
What this does not count
- The “net if reversed” row assumes only that the rewards and bonus are taken back. Issuers can also close the account.
- Whether a given method is allowed is set by the issuer’s terms, which change; this calculator cannot tell you.
- Your time, the credit-score effect of any closed account, and any tax on rewards are not included.
Frequently asked questions
What is manufactured spending?
Manufactured spending means running money through a credit card in ways that are not ordinary purchases, usually by buying items that can be turned back into cash or near-cash, in order to meet a sign-up bonus minimum or earn rewards.
Is manufactured spending illegal?
Our guide covers this in detail. In short, buying things with a card is not a crime in itself, but many methods break the issuer’s terms, and structuring transactions to avoid reporting requirements can raise federal-law problems. This is general information, not legal advice.
What fee makes it worth doing?
There is no universal number. It depends on your fees, the reward rate and any bonus the spend unlocks. The break-even percentage fee in the result is the highest percentage fee at which your own numbers still come out even.
What does “net if reversed” mean?
Issuers’ terms commonly allow them to reverse rewards or a bonus. If that happens, the fees you already paid are not refunded, so the net is minus those fees. The calculator shows that downside next to the best case. Accounts can also be closed, which is not a dollar figure here.
Does this tell me whether my method is allowed?
No. Whether a method is allowed is set by your card issuer’s terms, which change. Read your cardmember agreement, and see the guides linked below.