kranky
Elite Member
- Oct 9, 1999
- 21,014
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Amex Blue Cash Preferred - 6% on groceries year round, 3% gas year round, 3% dept stores year round, 1% everything else
Target card: 5% off at Target.
Chase Freedom & Discover More - 5% rotating categories, 1% everything else.
I did the math a couple years ago and figured I was averaging a little more than 3% back overall, which adds up to a lot of money. The only thing I buy that I don't use CC's for is Mortgage payment and water bill.
I stopped recommending that great card because people reflexively refuse to pay an annual fee. I pay it (as you do), and it's well worth it if you can grind on the 6% cashback on groceries (limited to $6k of groceries/year). That alone is $360 cash back, and net $285 after the annual fee. The 3% on department stores is icing on the cake for me. Heck, I can get back the annual fee cost just on the special offers I pick up on the Amex website which is on top of the cashback from purchases.
There's a no-fee version of that card that pays 3% on groceries, but then the most you could net on grocery cashback is $180.