What Are Bonus Categories?
Most rewards cards offer multiplied points on certain spending categories. Instead of earning 1 point per dollar, you might earn 3x on dining, 4x on groceries, or 5x on travel.
The math difference is significant:
That's 39,000 extra points per year just by using the right card for each category.
Common Bonus Categories
Dining (3-4x)
Restaurants, bars, takeout, food delivery apps. Best cards: Amex Gold (4x), Chase Sapphire cards (3x).
Groceries (3-4x)
Supermarkets (not Walmart or Target). Best card: Amex Gold (4x up to $25k/year).
Travel (3-5x)
Airlines, hotels, rental cars, public transit. Best cards: Chase Sapphire Reserve (3x), Capital One Venture X (2x, but 10x via portal).
Gas (3x)
Gas stations. Best cards: Citi Strata Premier (3x), Wells Fargo Autograph (3x).
Rotating Categories (5x)
Chase Freedom Flex and Discover It offer 5% on quarterly categories that change (Amazon, gas, groceries, etc.). Requires activation.
Simple vs. Optimized Approach
Simple: One Card for Everything
Use a 2x everything card like Capital One Venture. You'll never miss a bonus, never have to think about which card to use.
Optimized: Right Card for Each Category
Use specific cards for each spending type. More complex, but significantly more points.
Example setup:
- Dining/Groceries: Amex Gold (4x)
- Travel: Chase Sapphire Reserve (3x)
- Everything else: Chase Freedom Unlimited (1.5x)
Watch for Category Quirks
- Grocery stores: Walmart and Target often don't code as groceries
- Dining: Some fast food might code differently
- Online purchases: May not get in-store bonuses
- Caps: Many bonuses have annual spending limits (e.g., 4x up to $25k/year)
Key Takeaways
- Bonus categories can multiply your earning by 3-5x
- Match your cards to your biggest spending categories
- Simple approaches work; optimization earns more but adds complexity
- Watch for spending caps and category quirks