How I earned 75,000 points — worth $750 in travel — by paying my taxes with a credit card

elizabeth aldrich

 Summary List Placement
To pay my taxes, I looked for a travel credit card with a big welcome bonus and valuable perks.
I knew I wanted a business credit card so that I could separate my personal and business finances.

Using a credit card to pay your taxes is an easy way to hit high minimum spending requirements.

Read Insider’s guide to the best rewards credit cards.

Last year, when my tax bill ended up in the thousands, I decided to make the most of it by paying with a rewards credit card.

While you do have to pay a credit card processing fee that’s just under 2%, I figured that if I could earn enough credit card points, it might be worth paying the fee. I knew I needed to find a big welcome bonus to do this.

In the end, I earned 75,000 rewards points that are worth $750 in travel, and only paid around $60 in credit card processing fees. Here’s how I did it.

 American Express® Business Gold CardHow I chose a card with a good welcome bonus

I knew that it would only be worth paying my taxes with a credit card if I could meet a credit card bonus minimum spending requirement I wouldn’t otherwise be able to reach. Most credit cards require you to spend a certain amount of money in the first few months to earn the intro bonus, so I decided to look for a card with a hefty welcome offer and a large minimum spending requirement.


I ended up opting for the American Express® Business Gold Card because, at the time, it offered 50,000 Membership Rewards points if you spent $5,000 in the first three months and another 25,000 points if your spending totaled $10,000 in the first six months (this offer is no longer available). A total of 75,000 Membership Rewards points was one of the most generous offers I’d ever seen on this card, and I knew that I’d be able to earn it with the help of my several thousand dollar tax bill.

Quick tip: The American Express® Business Gold Card currently has an elevated welcome bonus until April 7, 2021. You’ll earn 35,000 points after you spend $5,000 in the first 3 months from account opening, and new cardholders can also earn up to $300 in statement credits in the first three months (terms and cap apply): up to $150 in statement credits toward eligible U.S. advertising purchases in select media, and up to $150 toward eligible U.S. shipping purchases (terms and cap apply). 

Making sure the card has staying power

Another important factor was making sure the points I earned were valuable and easy to use. I wanted to be able to get at least 1 cent per point in value, which is what Membership Rewards points are worth when you use them to book flights, hotels, and more through

Source:: Business Insider


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