# airline mileage: fungible?

**URL:** <https://boards.straightdope.com/t/airline-mileage-fungible/368002>\
**Category:** Factual Questions\
**Created:** [August 9, 2006, 2:15pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002 "2006-08-09T14:15:45Z")\
**Posts on this page:** 13\
**Page:** 1

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**Author:** ![drhess](https://avatars.discourse-cdn.com/v4/letter/d/94ad74/32.png) [@drhess](https://boards.straightdope.com/u/drhess)\
**Post date:** [August 9, 2006, 2:15pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/1 "2006-08-09T14:15:45Z")

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I’ve heard of people giving mileage or tickets from mileage to other people and to charities. Is it legal to sell your “miles”? 😃

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**Author:** ![FormerMarineGuy](https://avatars.discourse-cdn.com/v4/letter/f/65b543/32.png) [@FormerMarineGuy](https://boards.straightdope.com/u/FormerMarineGuy)\
**Post date:** [August 9, 2006, 2:21pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/2 "2006-08-09T14:21:17Z")

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> [@drhess](#):
>
> I’ve heard of people giving mileage or tickets from mileage to other people and to charities. Is it legal to sell your “miles”? 😃

Legal, apparently so. Allowed, no it is not. According to [smartertravel.com](http://www.smartertravel.com/travel-advice/legal-sell-airline-miles.html?id=10981) there are no laws saying no, but most contracts for the airlines state you are not allowed to sell, trade, or barter your miles.

However, I am sure there is a [way](http://www.frequentflyerdepot.com/nf_how.htm#rates) to do it. This site buys and sells miles.

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**Author:** ![CookingWithGas](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/cookingwithgas/32/485_2.png) [@CookingWithGas](https://boards.straightdope.com/u/CookingWithGas)\
**Post date:** [August 9, 2006, 2:26pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/3 "2006-08-09T14:26:37Z")

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Nothing illegal about it but it all depends on the policy of the airline.

[United](http://www.united.com/page/article/0,6722,1155,00.html) mileage is non-trasnferable, and sale is explicitly and bold-facedly prohibited.

US Airways allows [donations](http://www.usairways.com/awa/content/dividendmiles/programdetails/memberguide.aspx#milesofhope), and redemption for [anyone you name](http://www.usairways.com/awa/content/dividendmiles/programdetails/memberguide.aspx#transferawards).

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**Author:** ![Canadjun](https://avatars.discourse-cdn.com/v4/letter/c/76d3ee/32.png) [@Canadjun](https://boards.straightdope.com/u/Canadjun)\
**Post date:** [August 10, 2006, 1:10pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/4 "2006-08-10T13:10:00Z")

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Aeroplan also allows you to donate miles to charity or to transfer them to other Aeroplan members.

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**Author:** ![Rick](https://avatars.discourse-cdn.com/v4/letter/r/9f8e36/32.png) [@Rick](https://boards.straightdope.com/u/Rick)\
**Post date:** [August 10, 2006, 3:20pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/5 "2006-08-10T15:20:19Z")

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> [@CookingWithGas](#):
>
> Nothing illegal about it but it all depends on the policy of the airline.
> 
> [United](http://www.united.com/page/article/0,6722,1155,00.html) mileage is non-trasnferable, and sale is explicitly and bold-facedly prohibited.
> 
> US Airways allows [donations](http://www.usairways.com/awa/content/dividendmiles/programdetails/memberguide.aspx#milesofhope), and redemption for [anyone you name](http://www.usairways.com/awa/content/dividendmiles/programdetails/memberguide.aspx#transferawards).

United prohibits transfers at death or divorce and alike. The op is asking about gifts. I can assure that you can use United miles to give someone a free trip. I have done it several times. I took my entire family to Hawaii on United FF miles.  
I can gift my miles to anyone. I cannot transfer them.

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**Author:** ![CookingWithGas](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/cookingwithgas/32/485_2.png) [@CookingWithGas](https://boards.straightdope.com/u/CookingWithGas)\
**Post date:** [August 10, 2006, 4:17pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/6 "2006-08-10T16:17:38Z")

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> [@Rick](#):
>
> United prohibits transfers at death or divorce and alike. The op is asking about gifts. I can assure that you can use United miles to give someone a free trip. I have done it several times. I took my entire family to Hawaii on United FF miles.  
> I can gift my miles to anyone. I cannot transfer them.

United certainly does allow you to redeem an award for a ticket to give someone else:

> [@United](#):
>
> Awards may, at the request of the member, be issued by Mileage Plus in the name of the member or in the name and for the use of any other person.

The OP is a little general, “giving mileage or tickets. . .Is it legal to sell your ‘miles’?” though. You can’t sell your miles, or sell a ticket:

> [@United](#):
>
> The sale or barter of any such mileage, certificates, awards or benefits other than by United is expressly prohibited. Any mileage, certificates, awards or benefits transferred, assigned or sold in violation of the Program Rules, in addition to exposing the member to the penalties otherwise associated with violations, may be confiscated or cancelled.

But the answer to the OP is that it is not governed by law, but by airline policy.

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**Author:** ![Dpimi](https://avatars.discourse-cdn.com/v4/letter/d/9dc877/32.png) [@Dpimi](https://boards.straightdope.com/u/Dpimi)\
**Post date:** [August 10, 2006, 11:31pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/7 "2006-08-10T23:31:55Z")

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One thing that’s interesting is the IRS says the airline miles ARE NOT income. Because they are property of the airline. However if you sell them then they ARE income and that must be reported as such.

This was a big issue when our company gave out airline miles as bonuses. Our controller didn’t take note and the IRS came back on two people. It was a lot of miles though over 200,000 miles transfered as a bonus to the employees

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<div class="post-metadata">

**Author:** ![Dpimi](https://avatars.discourse-cdn.com/v4/letter/d/9dc877/32.png) [@Dpimi](https://boards.straightdope.com/u/Dpimi)\
**Post date:** [August 10, 2006, 11:37pm UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/8 "2006-08-10T23:37:24Z")

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One thing that’s interesting is the IRS says the airline miles ARE NOT income. Because they are property of the airline. However if you sell them then they ARE income and that must be reported as such.

This was a big issue when our company gave out airline miles as bonuses. Our controller didn’t take note and the IRS came back on two people. It was a lot of miles though over 200,000 miles transfered as a bonus to the employees

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**Author:** ![Shagnasty](https://avatars.discourse-cdn.com/v4/letter/s/9dc877/32.png) [@Shagnasty](https://boards.straightdope.com/u/Shagnasty)\
**Post date:** [August 11, 2006, 12:11am UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/9 "2006-08-11T00:11:48Z")

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The easy way to sell them is to find someone you know that needs a ticket, redeem your miles and get a ticket in their name and have them pay you something less than the cost of the ticket. I am sure that happens all the time although it may need to be family member under certain airline policies.

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<div class="post-metadata">

**Author:** ![Dpimi](https://avatars.discourse-cdn.com/v4/letter/d/9dc877/32.png) [@Dpimi](https://boards.straightdope.com/u/Dpimi)\
**Post date:** [August 11, 2006, 12:29am UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/10 "2006-08-11T00:29:55Z")

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One thing that’s interesting is the IRS says the airline miles ARE NOT income. Because they are property of the airline. However if you sell them then they ARE income and that must be reported as such.

This was a big issue when our company gave out airline miles as bonuses. Our controller didn’t take note and the IRS came back on two people. It was a lot of miles though over 200,000 miles transfered as a bonus to the employees

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<div class="post-metadata">

**Author:** ![Shagnasty](https://avatars.discourse-cdn.com/v4/letter/s/9dc877/32.png) [@Shagnasty](https://boards.straightdope.com/u/Shagnasty)\
**Post date:** [August 11, 2006, 12:32am UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/11 "2006-08-11T00:32:47Z")

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Although no one has had the sense to mention it yet, airline miles are NOT income according to the IRS. Be careful though because you can get in big trouble if they are sold and you don’t report it.

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**Author:** ![Moirai](https://avatars.discourse-cdn.com/v4/letter/m/96bed5/32.png) [@Moirai](https://boards.straightdope.com/u/Moirai)\
**Post date:** [August 11, 2006, 1:04am UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/12 "2006-08-11T01:04:02Z")

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American allows you to “gift” your miles to another person, but there is an insanely low limit to the number of miles- like less than 20,000 IIRC.

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<div class="post-metadata">

**Author:** ![LiveOnAPlane](https://avatars.discourse-cdn.com/v4/letter/l/3d9bf3/32.png) [@LiveOnAPlane](https://boards.straightdope.com/u/LiveOnAPlane)\
**Post date:** [August 11, 2006, 5:32am UTC](https://boards.straightdope.com/t/airline-mileage-fungible/368002/13 "2006-08-11T05:32:11Z")

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Just to add one more thing, if you do get caught selling your miles, the airline can, and usually will, close your account. Goodbye miles.

This may not sound too bad if you have 30-40,000 miles, but if you have a million miles in your account, it is gonna hurt big time.
