If you’re opting to apply for the Chase Sapphire Preferred card because the fee is more affordable, we suggest you take a closer look at the Chase Sapphire Reserve – it offers a better value for many frequent travelers.
If you’re searching for a flexible travel card to help fund your next vacation, the Chase Sapphire cards may be your best bet. Both the Chase Sapphire Preferred Card and the Chase Sapphire Reserve card can take you a long way on points, but with drastically different price tags. The Chase Sapphire Preferred card charges $95 per year for card membership, while the Chase Sapphire Reserve card charges a hefty $550 annual fee.
Perhaps you’ve already decided that the Sapphire Reserve’s fee is beyond your means and are ready to apply for the Sapphire Preferred card. However, we suggest that you pause for a moment and carefully compare the two cards. Our analysis suggests that the Sapphire Reserve is the better value for many cardholders. Not to mention – thanks to a $300 annual travel credit and other reimbursements that make up for most of the annual fee – it’s a surprisingly affordable option.
By our math, if you spend just over $5,400 per year on travel and restaurant purchases, you’re likely to come out ahead with the Sapphire Reserve card.
Read on to see which card is the better option for you – the Sapphire Reserve or the Preferred.
Chase Sapphire Preferred vs. Chase Sapphire Reserve
|Sign-up bonus||60,000 points if you spend $4,000 in first three months||50,000 points if you spend $4,000 in first three months|
|Who should get this card?|
Chase Sapphire Preferred
The Chase Sapphire Preferred is Chase’s original premium travel card – and a wildly popular one thanks to its solid sign-up bonus and versatile rewards points. New cardholders are treated to 60,000 bonus points for signing up and spending $4,000 in the first three months. Cardholders also get 5 points per dollar on travel purchased through the Chase portal, 3 points per dollar on restaurant and dining purchases, including qualifying delivery services, which is an increase from the previous earnings rate of 2 points per dollar. All of this is on top of 2 points per dollar on other travel purchases and 1 point per dollar on everything else.
Best option for a lower annual fee
If you prefer not to risk the high annual fee on the Chase Sapphire Reserve card – because you’re not certain you can charge enough travel expenses to use the travel credit, or you simply can’t afford $550 – the Chase Sapphire Preferred card is a great option with a lower annual fee.
For $95 a year, you get many of the same features as the Sapphire Reserve card:
- A sign-up bonus worth $750 when redeemed for travel through the Ultimate Rewards portal (60,000 points when you spend $4,000 in the first three months).
- Flexible points that can be redeemed for travel purchases from practically any source.
- The ability to transfer points 1:1 to 13 travel partners.
- Fantastic travel protections for its price tag.
Additionally, with the Preferred, you’ll get a $50 annual statement credit for hotel bookings made through the Chase portal, which can help you recoup more than half of the card’s annual fee.
That said, be sure to do the math before you opt for the Sapphire Preferred simply because the fee is lower – for many cardholders, the Sapphire Reserve is the better option.
Best option for an entry-level travel rewards card
If you have good-to-excellent credit and want to get your feet wet before you dive into a more complex rewards program, the Chase Sapphire Preferred is a great starter travel card. Since the Sapphire Preferred’s points transfer to a variety of travel programs, you can learn the workings of a few airline loyalty programs and test out transferring points to miles for a relatively small $95 annual fee. Or, if you decide this is all too complicated and time-consuming for you, you can cash in your points for statement credits and call it a day.
Chase Sapphire Reserve
The Chase Sapphire Reserve card is Chase’s luxury-level card with a $550 annual fee. Although the 50,000-point sign-up bonus for spending $4,000 in the first three months is a bit lower than the Sapphire Preferred card’s bonus, you’ll get the same value ($750) when redeeming for travel through Chase due to the Sapphire Reserve’s boosted rewards value: 50% extra redemption value toward Chase Ultimate Rewards travel and Pay Yourself Back purchases (compared to 25%). You’ll also earn more in rewards – 3 points per dollar on travel, compared to 2 points.
Best for travel and dining spending
It doesn’t require as much spending as you’d expect to see the value in the Chase Sapphire Reserve, thanks to the card’s three-point earning rate on dining (including eligible food delivery services) and travel combined with the $300 travel credit you receive each year. Plus, the card added another credit that offers value to people who spend a significant amount on dining – a $60 credit for DoorDash orders in 2021.
Here’s a breakdown of the rewards earned from each card on $2,226 dining and $1,272 travel, based on Bureau of Labor Statistics average spending in these categories.
Chase Sapphire Reserve card
Chase Sapphire Preferred card
|$2,226 dining spend x 3 points x 0.15 point value (when redeemed through Ultimate Rewards) = $100 value in rewards||$2,226 dining spend x 3 points x 0.125 point value (when redeemed through Ultimate Rewards) = $83 value in rewards|
|$1,272 travel spend x 2 points x 0.125 point value (when redeemed through Ultimate Rewards) = $32 value in rewards|
However, these calculations don’t take into consideration the points earned when booking travel through the Ultimate Rewards portal. If you use the Chase Sapphire Preferred to book travel through Chase, you earn 5X points, which would be about $80 in value for travel spending.
Furthermore, if you book hotel stays through Chase’s redemption portal with the Chase Sapphire Reserve, you’ll earn 10X points – an impressively high rewards rate not seen with many other cards.
Best value in the first year
The $550 annual fee on the Chase Sapphire Reserve card may give you sticker shock, but think things through thoroughly before you opt for a card with a lower annual fee. There is a large amount of value hidden beneath the Chase Sapphire Reserve’s glossy surface.
The Sapphire Reserve offers a couple of generous travel credits – an annual $300 travel credit that covers anything that Chase categorizes as a travel purchase, including airfare, and up to a $100 statement credit every four years for Global Entry/TSA PreCheck. If you are a frequent traveler, you should be able to easily recoup $300 in travel costs, which will cancel out most of the card’s annual fee.
Purchases that qualify for the Sapphire Reserve’s travel credit
- Hotel stays
- Parking garages
- Toll booths
- Pedicab rides
- Taxi rides (including ride-share services)
- Uber Eats purchases
- Public transportation
- And more
As you can see from the table below, when you add together the travel credits and the sign-up bonus for the Chase Sapphire Reserve, the value of the card easily outmatches its annual fee in the first year (and that’s not including the extra points you earn on travel and dining). It also surpasses the value of the Chase Sapphire Preferred card, despite that card’s lower annual fee and higher sign-up offer.
In terms of first-year bonuses, the Chase Sapphire Reserve is also the better choice if you’ve been brainstorming future vacations or weekend getaways:
Value of bonuses plus credits in first year
|Chase Sapphire Preferred||Chase Sapphire Reserve|
|Sign-up bonus ($750 value when redeemed for Ultimate Rewards travel) + $60 Peloton membership credit +$50 hotel credit – $95 annual fee = $765||Sign-up bonus ($750 value when redeemed for Ultimate Rewards travel) + $300 travel credit + $100 Global Entry credit + $60 DoorDash credit + $120 Peloton membership credit – $550 annual fee = $780|
Best for lounge access
In combination with a valuable rewards program, the lounge access on the Chase Sapphire Reserve card is a compelling reason to sign up. While there are many competing luxury cards that come with lounge access – including The Platinum Card® from American Express, which offers the widest lounge network including ultra-swanky Centurion lounges – the Chase Sapphire Reserve offers a good value on lounge access.
For a $550 annual fee, you and two guests get free access to the Priority Pass lounge network, and if you add on an authorized user for $75, that user is entitled to the same lounge access. Chase will also provide Reserve cardholders with access to its upcoming Chase Sapphire Lounge by The Club locations, which will be opening at airports in New York, Boston and Hong Kong.
Though the Citi Prestige® Card* also offers a Priority Pass membership to authorized users (plus you can bring along your entire immediate family for free), the Citi Prestige can’t compare to the Sapphire Reserve card’s rewards program and flexible annual travel credit. For the all-around best value on luxury perks, the Sapphire Reserve card comes out ahead of Citi’s flagship travel card.
Best for travel insurance
Both Chase Sapphire cards come with great travel protections, including primary car rental insurance, insurance for lost and delayed luggage and up to $20,000 worth of trip cancellation and interruption insurance. However, the Sapphire Reserve has the edge over the Sapphire Preferred in terms of comprehensive travel coverage. It also offers credit toward roadside assistance, $100,000 worth of emergency evacuation insurance and $2,500 worth of medical and dental insurance, in case you need to see a doctor while you’re traveling.
If you’re looking for the go-to card to cover your next vacation, you should check out the Chase Sapphire Reserve card.
Travel insurance benefits
Chase Sapphire Preferred card
Chase Sapphire Reserve card
Best for families
The Chase Sapphire Reserve is considered a luxury travel card, but it’s also a great card for families trying to score discounted travel. Since the card has superior point-earning potential, you can earn your way to a free ticket faster. You can use the card’s car rental perks with National Car Rental and Avis to get a discount on your car rental.
Depending on the airport, you can use your Priority Pass membership to snag some snacks while you’re waiting for your flight. In some airports, you can even stop by a participating restaurant to grab a free meal for you and your family since you get a $28 credit toward your meal plus credit for each authorized user and one additional guest (credit and guest terms may vary).
Also, family-friendly Southwest Airlines is included in the Sapphire Reserve’s list of travel partners. If you already fly Southwest with your family because of its flexible seating and ticket change policies, you should take a close look at the Sapphire Reserve card – you can collect points for Southwest flights at a much faster pace.
Chase travel partners
- Singapore Airlines
- Iberia Plus
- Southwest Airlines
- JetBlue Airways
- United Airlines
- British Airways
- Emirates Skywards
- Air France/KLM
- Aer Lingus
- Virgin Atlantic
- World of Hyatt
- Marriott Bonvoy
See related: Chase Ultimate Rewards transfer partners
Which is right for you?
The choice between the Sapphire Preferred and Sapphire Reserve cards almost exclusively comes down to your travel and dining expenses. Here are three key questions to ask yourself when deciding between the two cards:
- Can you afford the fee? Are you able to pay the Sapphire Reserve card’s $550 annual fee? Note – you shouldn’t skip the Sapphire Reserve just because the fee seems pricey. However, if you can’t afford to withdraw $550 from your bank account, you should consider the $95 Sapphire Preferred card instead.
- How much do you spend on travel and dining? If you can afford the Sapphire Reserve card’s annual fee, you’ll need to get your calculator out and determine how much you’re likely to spend on travel and dining this year. If you spend an average of $3,498 on travel and dining combined each year, the Sapphire Reserve is likely to be the better value.
- Do you value lounge access? If you’re looking for a credit card with lounge access, then the Chase Sapphire Reserve is the better option between these two. If you don’t picture yourself kicking back in airport lounges, though, it shouldn’t necessarily be a deal-breaker – you can get plenty of value out of the remainder of the Sapphire Reserve card’s features.
The Chase Sapphire Preferred and Reserve are two wildly popular travel cards for good reason – they offer highly flexible rewards that can be a great value for many types of cardholders. In the battle between these cards, the Sapphire Reserve card has a clear advantage, and you’ll want to do some careful math before you go with the Sapphire Preferred card. Chase only allows you one Chase Sapphire card at a time, and you may have to wait a year or longer before you can change to a different card.
Be sure you’re selecting the card that matches your spending and travel patterns because you’ll have to hold onto it for a while.
*Information about the Citi Prestige Card has been collected independently by CreditCards.com. The issuer did not provide the details, nor is it responsible for their accuracy.