Cash Back Calculations

          Amex Blue Cash Preferred
Monthly Spend Assumptions     Spend Category   Rate Annual Cash Back
US Supermarkets  $546.43   U.S. Supermarkets   6% $365.57
Gas  $174.17   U.S. Gas Stations   3% $62.70
Department Stores $110.36   Select U.S. Department Stores   3% $39.73
Travel $170.08   Travel Spend   1% $20.41
Other  $442.38   Other   1% $53.09
Total Monthly Spend  $1,443.41   Total Annual Cash Back   $541.50
             
      Year 1 Cash Back Total    
      Cash Back     $541.50
      Cash Bonus     $150.00
      Annual Fee     $95.00
      Net Cash Back First Year   $596.50
             
      Year 2+ Cash Back Total    
      Cash Back     $541.50
      Annual Fee     $95.00
      Net Cash Back Year 2+     $446.50
             
      Total Cash Back     $1,042.99


Spend Assumptions

Food Spend

 
Source: USDA Data https://www.cnpp.usda.gov/sites/default/files/usda_food_plans_cost_of_food/CostofFoodJul2014.pdf
Family size of 2     Family size of 4    
  low-cost
plan
moderate-cost
plan
  low-cost
plan
moderate-cost
plan
19-50 years $496.90 $618.60 2-3 and 4-5 years $722.60 $893.10
51-70 years $476.50 $593.70 6-8 and 9-11 years $854.60 $1,064.60
Average of 2 family plans $546.43   Average of 2 family plans $883.73  
           
           
Average of 2 and 4 family plans $715.08        

Gas Spend

Source https://www.bls.gov/news.release/cesan.nr0.htm
Annual household spend $2,090.00
Monthly household spend $174.17

Travel Spend  

Source http://www.travelpulse.com/news/features/americans-to-spend-475-billion-on-vacations-in-2016.html
Annual Average  $2,041.00
Monthly  $170.08

Department Store Spend  

 
Sources: https://www.ibisworld.com/industry/default.aspx?indid=1090
   
Total Department Store Revenue $165,000,000,000.00
Number US Households 124,590,000
Annual Average $1,324.34
Monthly $110.36


Other Categories

  Annual  Monthly  Source
Entertainment $2,827.00 $235.58 https://www.creditloan.com/blog/average-american-spends-on-entertainment/
Personal Care $606.00 $50.50 https://www.creditloan.com/blog/average-american-spends-on-entertainment/
Miscellaneous $858.00 $71.50 https://www.creditloan.com/blog/average-american-spends-on-entertainment/
Restaurants $2,787.00 $232.25 http://www.foxbusiness.com/markets/2017/01/01/here-what-average-american-spends-on-restaurants-and-takeout.html
Total Other $7,078.00 $589.83  
Estimated non-credit card   25%  
Total Credit Card Monthly   $442.38