rewrite this title Why the Amex Gold Deserves a Spot in My Wallet – NerdWallet

It’s a hefty, metal card that makes me feel fancy when I plunk it down at dinner with my friends.

It earns stellar rewards rates on categories I spend a lot on, like restaurants and supermarkets. I like the practical perks like purchase protections, extended warranties and no foreign transaction fees.

And, I’m a little obsessed with how it looks. Really. Its sleek rose-gold metallic tint really makes it one of the most attractive cards around (but you could opt for classic gold if that’s more your speed).

But when it comes down to it, the reason the American Express® Gold Card holds a prominent spot in my wallet: the math just makes sense.

This one credit card helps turn the money I spend on dining into rewards toward my next vacation.

Here’s why this card can more than pay for itself, despite its hefty annual fee.

If you’re like most Americans, a hefty chunk of your monthly budget goes toward food.

The American Express® Gold Card card earns generously on dining, with a high rewards rate and large caps on those rewards, which Amex calls Membership Rewards®:

Here’s how that breaks down, on average, for my family. My household includes two kids and two pets (yes, pet food purchased at U.S. supermarkets counts, too).

We spend an average of around $300 per week at supermarkets:

On average, our family spends about $100 eating out at restaurants per week:

That sounds like a lot of points, but you’re probably wondering: How much are these points worth?

Great question. The answer is, it depends.

Adding up the points I earn on purchases at supermarkets plus the points earned at restaurants, I’m earning 83,200 Membership Rewards earned each year.

That’s because Membership Rewards® points can have different values depending on how you use them.

They can be worth as little as 0.6 cents a piece for statement credits toward your bill (we don’t recommend this), or they can be worth 1.2 cents each – or more – when you transfer to travel partners.

We’ll use a baseline value assuming points are worth 1 cent each.

That means the 83,200 points I earn each year from dining and supermarket purchases on my American Express® Gold Card are worth at least $832 toward travel.

Yes, there are some restrictions: many are doled out in monthly use-or-lose increments that can be a hassle to juggle.

But, as a busy mom I don’t find it too difficult to unlock value. Here’s how.

Just add the American Express® Gold Card to your Uber account and you’ll automatically get $10 in Uber Cash each month. (Terms apply.)

If you’re like me, you may not use rideshare much in your daily life.

But don’t discount that credit, because here’s what many people don’t realize: Uber Cash is good toward Uber Eats orders in the U.S., too, not just U.S. rides.

Since Uber Eats operates in more than 500 cities across the U.S., chances are it won’t be too hard to find a restaurant to use your credit. Plus, if you order for pickup you’ll save the delivery fees.

You’ll get $120 (doled out in monthly $10 credits) on your account that can be applied toward purchases made with select partners: Grubhub, Five Guys, The Cheesecake Factory, Goldbelly and Wine.com. Enrollment required, terms apply.

I tend to use my credit toward Grubhub since so many restaurants are available on that platform. And here’s my trick to using the Uber and Grubhub credits in one fell swoop that could work for you, too: Many restaurants are available on both the Uber Eats and the Grubhub platform.

Here’s an example. My family likes our local Jersey Mike’s subs, which is an option in both Uber Eats and Grubhub. I place half of my family’s order via Uber Eats to use that credit, and then I place another order via Grubhub for the rest of the food. I do the pickup option and grab both orders—and now I don’t have to cook and I’ve knocked out both of my monthly credits.

Sure, it adds a few extra clicks to place 2 orders, but it’s not a big deal to me. If you regularly use both platforms or the other eligible dining partners, you won’t need to jump through any extra hoops to easily take advantage of these monthly credits.

This credit is also available in monthly increments: Earn up to $7 back in statement credits when you pay with the card at U.S. Dunkin’ locations. Enrollment required, terms apply.

Admittedly, I’m more of a Starbucks gal when it comes to coffee. And since Dunkin’ locations are much more plentiful in certain parts of the U.S. than others, some may have trouble utilizing this credit.

One thing you can try is downloading the Dunkin’ app, and loading some money to your account using the Gold card each month. That way you could still earn the credit but use it for another time when a Dunkin’ run is more convenient (but no guarantees that this trick will always work).

This one is easier than it sounds. You’ll get up to $100 in statement credits each year when you dine at a Resy restaurant and pay your bill with your American Express® Gold Card. These credits are issued semi-annually – meaning you can earn up to $50 in the first half of the calendar year, and up to $50 again in the second half of the year. Enrollment required, terms apply.

Resy is a restaurant reservation platform, similar to OpenTable. While it sounds like it may be niche, the platform actually offers access to more than 20,000 restaurants across the U.S.

Utilizing this semi-annual $50 credit is easy because you don’t have to remember to book a reservation using Resy – you just have to pay with your American Express® Gold Card.

If you’re using the card for all your dining purchases anyways, you may use up the credit easily by happenstance. If you don’t have many Resy restaurant options close by, you could seek a special restaurant to visit when traveling once or twice a year.

To recap, here’s the value of all the dining credits this card can give each year:

That adds up to a total of $424 in dining credits per year.

Plus, as I showed you above, I’ll earn approximately 83,200 Membership Rewards® points from U.S. restaurants and supermarket purchases from the card each year, worth at least $823 toward travel.

$424 in credits… plus $823 in rewards…

And that’s not even including the rich welcome offer new cardholders receive!

When you factor in the value of the welcome offer you’ll get when you open the card and meet the requirements, the American Express® Gold Card is a no-brainer for the first year for many people.

Right now, new cardholders can: Earn 60,000 Membership Rewards® Points after you spend $6,000 on eligible purchases on your new Card in your first 6 months of Card Membership. Terms Apply.

Using a baseline value of 1 cent per point, those 60,000 Membership Rewards points you’ll earn are worth at least $600 toward travel.

Yes, this card does carry a hefty $325 annual fee. Many consumers can’t stomach the thought of any annual fee to hold a credit card, and if that’s you then I respect your decision. But because I understand how much value using the card for my spending can unlock for me each year, I’m happy to pay this fee.

If someone offered you a $50 bill if you gave them $10, would you take that deal? That’s how I think about cards with annual fees.

If I know for sure that I’ll get more value from it than I pay in annual fees, then it makes sense to me.

I know from my family’s spending I’ll earn rewards worth at least $823 toward travel each year… plus $424 in dining credits… for a total of at least $1,247 in value.

Once I subtract the $325 annual fee, I still see a net positive of $922. I’ll take that deal any day.

Plus, don’t forget the value of the big welcome bonus you’ll earn in the first year, as well as other valuable perks and protections like:

The American Express® Gold Card features rich benefits for foodies, including lucrative rewards at restaurants and U.S. supermarkets, plus various dining credits that can help offset its admittedly pricey annual fee.

For me, the math makes sense. I’m happy to pay the annual fee when I know I’ll earn close to $1,000 in net value each year.

I love the thought that using the card to pay for my family’s dining can earn valuable travel rewards to use on our next vacation.

Do the math for your own spending habits to see if it makes sense for you. But, don’t forget to add in the value of that big welcome bonus! 🙂

Erin is a former writer and and assigning editor on the NerdWallet Content team who now heads NerdWallet’s travel business. She is no longer on the editorial staff, but is a travel rewards expert and opinions are her own.