American Airlines AAdvantage miles are some of the most useful points in the game right now, especially with the Citi / AAdvantage Executive World Legend Mastercard offering a hefty 125,000-mile welcome bonus after $15,000 of spend in five months. If you're sitting on a balance — or tempted to chase one — here's what the miles actually get you.

Flights are still the best use. American prices its own award flights dynamically, meaning the same route can swing wildly in cost depending on the date and when you book — no fixed chart to fall back on. Partner awards, though, mostly follow published charts: a one-way economy ticket from the continental U.S. or Canada to Europe starts at 22,500 miles off-peak (30,000 standard), while Hawaii economy runs 22,500 miles and business class to Asia Region 1 starts at 60,000. One quirk worth knowing: if even a single leg of your trip is on a partner airline, the whole itinerary is usually priced off the partner chart, which can work in your favour. Fiji Airways and Air Tahiti Nui awards are exceptions that use dynamic pricing, so expect some inflated rates there.

Taxes and fees matter too. Awards including British Airways-operated segments often carry steep surcharges, so compare operating carriers before you book — the AA website and app show the cash component upfront. Search on the site itself is decent: you can filter by stops and carrier, view a whole month of award prices via the calendar, and cancel unused awards before departure with miles reinstated for free. For flexible destination hunting, the built-in award map underdelivers; third-party tools like Seats.aero do a better job of surfacing cheap options.

The non-flight redemptions? Mostly a hard pass. Upgrades, Main Cabin Extra seats, Admirals Club passes (7,900 miles for a day) and annual lounge memberships all work out to roughly 1 cent per mile — well below the 1.45 cents TPG values AAdvantage miles at. Hotel, car, cruise and gift card redemptions are similar or worse. The lounge access loophole: the Citi Executive card includes Admirals Club membership for the primary cardholder, which beats burning miles on it. There's also Five Star Service — a VIP airport escort at 16 U.S. airports — costing 35,000 miles or $350, which is niche but handy for tight connections or nervous travellers.

The quick maths for any redemption: take the cash price, subtract the taxes and fees you'd pay on the award, divide by the miles required. If you're beating 1.45 cents per mile, book it. If not, you're better off saving the miles for a partner business-class award or a well-priced economy ticket.

This one's for points hobbyists and casual redeemers alike — especially anyone who just landed that 125k welcome bonus and wants to avoid the classic mistake of frittering it away at 0.7 cents a mile.

Story via The Points Guy.