Turn Business Spend Into Alaska Miles via BofA
Bank of America is adding Alaska Airlines as a transfer partner in 2027, creating a major opportunity for owners to turn overhead into high-value miles.
By MyBizNerd Team · Published
Key Takeaways
- Bank of America will add Alaska Airlines as a transfer partner for its Atmos rewards program starting in 2027.
- Existing holders of the Bank of America Business Advantage Travel Rewards card should maintain accounts to benefit from the upcoming 1:1 transfer ratio.
- A business spending $15,000 monthly on travel and dining could generate over 500,000 Alaska miles annually under the new structure.
Bank of America recently confirmed a major shift for 2027: business owners will soon be able to transfer reward points directly to Alaska Airlines. This update, first reported by Doctor of Credit, turns the bank's often-overlooked points into a currency that can fund international business class seats. The move marks the first time Alaska Airlines has partnered with a major U.S. bank for direct point transfers outside of its own co-branded credit cards.
Who does this change actually help?
If you currently carry the Bank of America Business Advantage Travel Rewards card, you're first in line. For years, these points were worth a flat 1 cent each when redeemed against travel purchases. In 2027, the math changes. Those same points will likely transfer to Alaska at a 1:1 ratio.
This hits two groups of owners differently. First, there are the Preferred Rewards members. If you keep $100,000 in combined business balances across BofA and Merrill, you get a 75% bonus on credit card rewards. For an HVAC company or a marketing agency with high cash reserves, this effectively turns a 1.5x card into a 2.62x card for every dollar spent. Second, it helps owners who live in West Coast hubs like Seattle or Portland. Alaska miles are notoriously difficult to earn without flying, and this provides a new pipeline for your business spend to fund family trips.
What's the reward math for your company?
To see if this is worth the effort, you have to look at the numbers. The following table assumes you're a 'Platinum Honors' member in the Preferred Rewards for Business program (requiring a $100k balance). We value Alaska miles at approximately 1.8 cents each, though you can get higher value on partner airlines like Japan Airlines or Qantas.
| Monthly Spend Category | Amount Spent | Points Earned (w/ 75% Bonus) | Estimated Value in Alaska Miles |
|---|---|---|---|
| General Business Overhead | $10,000 | 26,250 | $472.50 |
| Travel & Dining (3x Base) | $5,000 | 26,250 | $472.50 |
| Monthly Total | $15,000 | 52,500 | $945.00 |
| Annual Total | $180,000 | 630,000 | $11,340.00 |
Note: Points earned are based on current Bank of America Business Advantage Travel Rewards structures as of June 2024. Verify current terms with the issuer.
How should you prep in the next 90 days?
Even though the transfer ability doesn't go live until 2027, your spending strategy needs to shift now if you want a significant pile of miles when the gate opens.
- Check your tier status. Log into your business banking portal and confirm your current Preferred Rewards for Business level. You need a three-month average balance of $100,000 to hit the 75% bonus. If you're close, consider moving operating capital from a low-yield account to meet the threshold.
- Audit your current card mix. If you're putting $50k a month on a card that only gives 1.5% cash back, you're missing out on the multiplier.
- Register your business correctly. Ensure your EIN is linked to your banking profile to qualify for business-specific bonuses. You can verify your EIN status or apply for a new one at IRS.gov.
- Review your airline loyalty. If you aren't already an Alaska Mileage Plan member, sign up now. You want a mature account with a history before you try to transfer 200,000 points in three years.
- Consult your CPA. Travel rewards earned on business spend are generally not considered taxable income by the IRS, but using them for personal trips while deducting the original business expense is a nuance your tax pro should confirm. General guidelines can be found on the Small Business Administration (SBA) site regarding business expenses.
When should you skip this?
Don't chase this if you cannot maintain the $100,000 balance required for the Platinum Honors tier.
Without that 75% bonus, the earning rate is mediocre compared to other cards. If you prefer a simpler 2% cash back for your business cash reserves, stick to a card like the Ink Business Premier. Alaska miles are for owners who actually want to fly. If you just want to lower your monthly bill, cash is still king.
Start shifting your non-category spend to your Bank of America business card now. By the time 2027 rolls around, you could have enough points to move your vocation to your vacation without touching the company checking account.
📋 Disclaimer
This article is for informational purposes only and does not constitute legal, tax, financial, or professional advice. Laws and regulations change frequently, and the information presented may not reflect the most current legal developments. Always consult with a qualified professional (CPA, attorney, financial advisor) before making business decisions based on this content. MyBizNerd may receive compensation through affiliate links, but this never influences our recommendations.
Frequently asked questions
- When will Bank of America points transfer to Alaska Airlines?
- Bank of America will add Alaska Airlines as a transfer partner for its Atmos rewards program starting in 2027.
- Which Bank of America card benefits most from the Alaska Airlines transfer?
- Existing holders of the Bank of America Business Advantage Travel Rewards card will benefit most, especially with a 1:1 transfer ratio.
- How can I maximize my Bank of America points for Alaska Airlines transfers?
- Achieve 'Platinum Honors' status ($100k balance) in Preferred Rewards for Business to get a 75% bonus on card rewards, effectively boosting your earning rate significantly.
- Are Alaska miles from business spend taxable?
- Travel rewards from business spending are generally not considered taxable income, but consult your CPA for confirmation if used for personal trips while expensing the original business cost.