MW You have to spend a year's salary to really get the most out of the new Chase Sapphire Reserve card

By Genna Contino

The new rewards card is raising its annual fee to almost $800, but cardholders must spend $75,000 to unlock its best perks. How to tell if the card works for you.

When Rasheed Bennett saw that a $300 annual StubHub credit was included in the new Chase Sapphire Reserve credit card rewards, his interest was piqued.

The Philadelphia-based travel enthusiast was already considering applying for the card, but the StubHub perk stood out to him because he frequently attends live sports events. Bennett currently has the American Express $(AXP)$ Platinum and Delta $(DAL)$ SkyMiles Reserve cards, and increasing annual fees within the premium-travel-card industry haven't dissuaded him from seeking out the perks.

"If a person is able to be on top of the credits, they will come out on top," Bennett said. The airport-lounge access and other travel perks he uses regularly make the $695 fee on his Amex Platinum card worth it, he added.

JPMorgan Chase $(JPM)$ announced Tuesday that the Sapphire Reserve annual fee would jump from $550 to $795 on June 23. While Bennett said the price increase wouldn't deter him from applying, some existing cardholders were put off by the 45% fee hike.

"So glad my card recently renewed with the lower fee because what the hell is that," one commenter said on an Instagram post from the travel site The Points Guy about the announcement.

"Yeahhhhhh! $795 so I can get DoorDash $(DASH)$! What a deal!!!" another said, referring to the monthly DoorDash promotions and complimentary DashPass membership that now come with the card.

With the Sapphire Reserve card price tag set to rise to nearly $800 and the possibility that Amex Platinum could start carrying a $1,000 fee later this year, consumers are weighing the perks of different cards in the market with more scrutiny than ever. Experts say it's important to go line by line through each of the rewards to determine if the benefits apply to your specific spending habits - but doing so is getting more tedious as the industry continues to embrace the "coupon book" model of rewards, where benefits are more fragmented and require users to actively manage niche benefits.

See more: As Chase Sapphire Reserve raises fees to almost $800, is a $1,000-a-year premium credit card in sight?

"Some people will fully take advantage of these and get much more than their money's worth on this card," said Matt Schulz, chief consumer finance analyst at LendingTree (TREE). "But an awful lot of people will not do anything with these credits, and end up making these cards a little more profitable for the issuers."

Chase didn't immediately respond to a MarketWatch request for comment.

Amex Platinum or Sapphire Reserve? Do your homework to find the best fit.

Consumers don't tend to think about credit cards as something with a lot of upfront costs, but that's changing as higher annual fees for premium-rewards cards become the status quo, Schulz said. Six million U.S. cardholders - or 3% of all cardholders - would consider a $1,000 annual fee, according to a 2024 LendingTree survey. Still, nearly half of all cardholders say they would never pay an annual fee for a credit card.

"There are very few things that people spend $1,000 a year on on a whim, and there's a reason for that," Schulz said. "It's a big cost and it's something that requires your time."

The new Sapphire card offers a myriad of perks that are covered by the annual fee, but whether it's the right fit for you depends on your existing spending habits. Many consumers seeking premium rewards cards find themselves weighing the perks of the Sapphire Reserve card against those of the Amex Platinum card.

Nick Ewen, senior editorial director at The Points Guy, recommends going through each of the statement credits that different cards offer and looking for subscriptions or perks you're already paying for without the card, rather than ones you don't have yet. A statement credit is money added to your account balance for making specific purchases.

For example, if you aren't an Apple $(AAPL)$ TV+ or Apple Music subscriber and think the complimentary subscription that comes with the updated Sapphire Reserve card would ease the financial burden of the annual fee, "that's not actually helping your bottom line the way that it would if you already subscribe to it," said Ewen, who has been a Sapphire cardholder since 2017.

On the other hand, "if you already subscribe to Apple Music and now you're going to be getting it for free, that is actually offsetting this increased annual fee," he said. "This holds true not just for this card, but any credit card that charges an annual fee. You should go through that process every year of analyzing the annual fee and the actual real-world value."

With the Amex Platinum, the Equinox Fitness statement credit might not make the most sense if you don't have one of the gyms in your city. But if you already subscribe to Disney+ $(DIS)$, Hulu or Peacock, the monthly $20 digital entertainment credit might strike your fancy. Frequent Delta Air Lines flyers might be intrigued by the access to Delta airport lounges that the Platinum card offers.

See more: Premium travel perks like VIP lounges and rewards points offer less than they used to - but these upgrades are still worth it

A travel perk to consider is the limited number of airport lounges that Chase offers. Currently, only seven Chase Sapphire lounges are open in the U.S. and China, compared with the nearly two dozen Amex Centurion lounges across the globe. Ewen suggests checking if there's a Sapphire lounge at your nearest airport - and if the lounge is in proximity to the terminal through which you most regularly travel.

Subscriptions, travel and dinner reservations: Which new Sapphire Reserve perks are worth it?

One of the big Sapphire changes that stands out to Ewen is the expanded opportunities to earn statement credits on different purchases, such as Apple TV+, Apple Music, DoorDash and StubHub transactions. Cardholders will also have access to $120 in annual credits for Peloton memberships.

"My wife is a loyal Peloton user; she has a hundred-and-something streak going with keeping workouts active," he said. "So for me personally, that's something that's going to put $10 a month back in our pocket."

There are also a variety of new travel perks available, such as a $500 credit for The Edit, which is Chase Travel's in-house booking platform for hotels and resorts.

The new Sapphire card offers a $300 annual dining credit and reservations at Sapphire Reserve Exclusive Tables, a chance to access exclusive reservations at hundreds of restaurants across the U.S. The move is reflective of a broader industry shift toward emphasizing dining, said Ewen, who noted that Amex Gold cardholders get $100 in credits for reservations made through the restaurant-reservation platform Resy.

"Issuers are really looking at growing more and more in this lifestyle space and incentivizing cardholders to use their cards," Ewen said. "Not just for travel purchases, but for many of their everyday purchases as well."

One perk Sapphire Reserve cardholders will get to keep is the $300 travel credit - Ewen's personal favorite. It's an automatic rebate for any travel purchase, not just those made through the Chase Travel portal.

For most people, $75,000 to unlock premium perks is 'a silly amount of money'

While many of the Sapphire Reserve changes sound exciting, some of the rewards come with important asterisks.

For example, cardholders can get higher earning rates - eight points per dollar - on travel booked through the Chase Travel portal than on travel booked directly. Hotels and flights booked directly only yield four points per dollar, while cruises, vacation rentals and transit transactions offer only one point per dollar.

While the earning rates for the travel portal are attractive, it's important to keep in mind that you might not be able to leverage an elite status or earn loyalty points with a specific travel brand, Ewen said. Also, if there's a delay or cancellation for a flight booked through the portal, you'll have to go through Chase rather than the airline to deal with any travel hiccups.

The refreshed Sapphire card will offer even more exclusive benefits if you spend $75,000, a limit out of reach for many cardholders in the U.S. where median household income was about $80,000 in 2023. The average spending on a general-purpose credit card is about $8,800, according to data from NerdWallet.

Spending $75,000 in a calendar year unlocks IHG $(IHG)$ One Rewards Diamond Elite Status, Southwest Airlines $(LUV)$ A-List Status, $500 Southwest credits booked through Chase Travel and a $250 credit for The Shops at Chase. Those benefits are expanded for cardholders who spend $120,000 in a year.

"Seventy-five thousand dollars is a silly amount of money to spend on a credit card for most people," Schulz said. "With that, you're talking about the very highest spenders."

That $75,000 has become a standard in the industry for unlocking these perks, Ewen said, but he recommends that cardholders do not go out of their way to hit that spending requirement.

"The same advice applies here as applies to any single credit card on the planet: Do not spend beyond your means," he said.

Want the Sapphire card but don't love the higher fee? Get approved before June 23.

The Sapphire Reserve $550 annual fee will be adjusted to $795 on existing cardholders' renewal date, and the new perks will be available to them starting Oct. 26. Those who apply and are approved for the Sapphire card before June 23 won't have to pay the new annual fee yet, but will have to wait until Oct. 26 with current cardholders to enjoy the benefits.

People who apply for the card on or after June 23 will get to access the new rewards immediately, but the $795 annual fee will apply. Authorized user cards require a $195 annual fee.

-Genna Contino

MW You have to spend a year's salary to really get the most out of the new Chase Sapphire Reserve card

By Genna Contino

The new rewards card is raising its annual fee to almost $800, but cardholders must spend $75,000 to unlock its best perks. How to tell if the card works for you.

When Rasheed Bennett saw that a $300 annual StubHub credit was included in the new Chase Sapphire Reserve credit card rewards, his interest was piqued.

The Philadelphia-based travel enthusiast was already considering applying for the card, but the StubHub perk stood out to him because he frequently attends live sports events. Bennett currently has the American Express $(AXP.AU)$ Platinum and Delta $(DAL.UK)$ SkyMiles Reserve cards, and increasing annual fees within the premium-travel-card industry haven't dissuaded him from seeking out the perks.

"If a person is able to be on top of the credits, they will come out on top," Bennett said. The airport-lounge access and other travel perks he uses regularly make the $695 fee on his Amex Platinum card worth it, he added.

JPMorgan Chase (JPM) announced Tuesday that the Sapphire Reserve annual fee would jump from $550 to $795 on June 23. While Bennett said the price increase wouldn't deter him from applying, some existing cardholders were put off by the 45% fee hike.

"So glad my card recently renewed with the lower fee because what the hell is that," one commenter said on an Instagram post from the travel site The Points Guy about the announcement.

"Yeahhhhhh! $795 so I can get DoorDash (DASH)! What a deal!!!" another said, referring to the monthly DoorDash promotions and complimentary DashPass membership that now come with the card.

With the Sapphire Reserve card price tag set to rise to nearly $800 and the possibility that Amex Platinum could start carrying a $1,000 fee later this year, consumers are weighing the perks of different cards in the market with more scrutiny than ever. Experts say it's important to go line by line through each of the rewards to determine if the benefits apply to your specific spending habits - but doing so is getting more tedious as the industry continues to embrace the "coupon book" model of rewards, where benefits are more fragmented and require users to actively manage niche benefits.

See more: As Chase Sapphire Reserve raises fees to almost $800, is a $1,000-a-year premium credit card in sight?

"Some people will fully take advantage of these and get much more than their money's worth on this card," said Matt Schulz, chief consumer finance analyst at LendingTree (TREE). "But an awful lot of people will not do anything with these credits, and end up making these cards a little more profitable for the issuers."

Chase didn't immediately respond to a MarketWatch request for comment.

Amex Platinum or Sapphire Reserve? Do your homework to find the best fit.

Consumers don't tend to think about credit cards as something with a lot of upfront costs, but that's changing as higher annual fees for premium-rewards cards become the status quo, Schulz said. Six million U.S. cardholders - or 3% of all cardholders - would consider a $1,000 annual fee, according to a 2024 LendingTree survey. Still, nearly half of all cardholders say they would never pay an annual fee for a credit card.

"There are very few things that people spend $1,000 a year on on a whim, and there's a reason for that," Schulz said. "It's a big cost and it's something that requires your time."

The new Sapphire card offers a myriad of perks that are covered by the annual fee, but whether it's the right fit for you depends on your existing spending habits. Many consumers seeking premium rewards cards find themselves weighing the perks of the Sapphire Reserve card against those of the Amex Platinum card.

Nick Ewen, senior editorial director at The Points Guy, recommends going through each of the statement credits that different cards offer and looking for subscriptions or perks you're already paying for without the card, rather than ones you don't have yet. A statement credit is money added to your account balance for making specific purchases.

For example, if you aren't an Apple (AAPL) TV+ or Apple Music subscriber and think the complimentary subscription that comes with the updated Sapphire Reserve card would ease the financial burden of the annual fee, "that's not actually helping your bottom line the way that it would if you already subscribe to it," said Ewen, who has been a Sapphire cardholder since 2017.

On the other hand, "if you already subscribe to Apple Music and now you're going to be getting it for free, that is actually offsetting this increased annual fee," he said. "This holds true not just for this card, but any credit card that charges an annual fee. You should go through that process every year of analyzing the annual fee and the actual real-world value."

With the Amex Platinum, the Equinox Fitness statement credit might not make the most sense if you don't have one of the gyms in your city. But if you already subscribe to Disney+ $(DIS.UK)$, Hulu or Peacock, the monthly $20 digital entertainment credit might strike your fancy. Frequent Delta Air Lines flyers might be intrigued by the access to Delta airport lounges that the Platinum card offers.

See more: Premium travel perks like VIP lounges and rewards points offer less than they used to - but these upgrades are still worth it

A travel perk to consider is the limited number of airport lounges that Chase offers. Currently, only seven Chase Sapphire lounges are open in the U.S. and China, compared with the nearly two dozen Amex Centurion lounges across the globe. Ewen suggests checking if there's a Sapphire lounge at your nearest airport - and if the lounge is in proximity to the terminal through which you most regularly travel.

Subscriptions, travel and dinner reservations: Which new Sapphire Reserve perks are worth it?

One of the big Sapphire changes that stands out to Ewen is the expanded opportunities to earn statement credits on different purchases, such as Apple TV+, Apple Music, DoorDash and StubHub transactions. Cardholders will also have access to $120 in annual credits for Peloton memberships.

"My wife is a loyal Peloton user; she has a hundred-and-something streak going with keeping workouts active," he said. "So for me personally, that's something that's going to put $10 a month back in our pocket."

There are also a variety of new travel perks available, such as a $500 credit for The Edit, which is Chase Travel's in-house booking platform for hotels and resorts.

The new Sapphire card offers a $300 annual dining credit and reservations at Sapphire Reserve Exclusive Tables, a chance to access exclusive reservations at hundreds of restaurants across the U.S. The move is reflective of a broader industry shift toward emphasizing dining, said Ewen, who noted that Amex Gold cardholders get $100 in credits for reservations made through the restaurant-reservation platform Resy.

"Issuers are really looking at growing more and more in this lifestyle space and incentivizing cardholders to use their cards," Ewen said. "Not just for travel purchases, but for many of their everyday purchases as well."

One perk Sapphire Reserve cardholders will get to keep is the $300 travel credit - Ewen's personal favorite. It's an automatic rebate for any travel purchase, not just those made through the Chase Travel portal.

For most people, $75,000 to unlock premium perks is 'a silly amount of money'

While many of the Sapphire Reserve changes sound exciting, some of the rewards come with important asterisks.

For example, cardholders can get higher earning rates - eight points per dollar - on travel booked through the Chase Travel portal than on travel booked directly. Hotels and flights booked directly only yield four points per dollar, while cruises, vacation rentals and transit transactions offer only one point per dollar.

While the earning rates for the travel portal are attractive, it's important to keep in mind that you might not be able to leverage an elite status or earn loyalty points with a specific travel brand, Ewen said. Also, if there's a delay or cancellation for a flight booked through the portal, you'll have to go through Chase rather than the airline to deal with any travel hiccups.

The refreshed Sapphire card will offer even more exclusive benefits if you spend $75,000, a limit out of reach for many cardholders in the U.S. where median household income was about $80,000 in 2023. The average spending on a general-purpose credit card is about $8,800, according to data from NerdWallet.

Spending $75,000 in a calendar year unlocks IHG $(IHG.UK)$ One Rewards Diamond Elite Status, Southwest Airlines (LUV) A-List Status, $500 Southwest credits booked through Chase Travel and a $250 credit for The Shops at Chase. Those benefits are expanded for cardholders who spend $120,000 in a year.

"Seventy-five thousand dollars is a silly amount of money to spend on a credit card for most people," Schulz said. "With that, you're talking about the very highest spenders."

That $75,000 has become a standard in the industry for unlocking these perks, Ewen said, but he recommends that cardholders do not go out of their way to hit that spending requirement.

"The same advice applies here as applies to any single credit card on the planet: Do not spend beyond your means," he said.

Want the Sapphire card but don't love the higher fee? Get approved before June 23.

The Sapphire Reserve $550 annual fee will be adjusted to $795 on existing cardholders' renewal date, and the new perks will be available to them starting Oct. 26. Those who apply and are approved for the Sapphire card before June 23 won't have to pay the new annual fee yet, but will have to wait until Oct. 26 with current cardholders to enjoy the benefits.

People who apply for the card on or after June 23 will get to access the new rewards immediately, but the $795 annual fee will apply. Authorized user cards require a $195 annual fee.

-Genna Contino

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June 17, 2025 18:53 ET (22:53 GMT)

MW You have to spend a year's salary to really -2-

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