I tend to get pretty amused by "break even" analysis anyway. I usually find those calculations rather twisted attempts to justify what the analyst is going to do anyway, no matter how the numbers look. Those analyses also usually leave out the annual MF's, which actually are the largest component of your true cost of lodging. I think a much more sensible financial analysis is to assume a ten-year useful life and no recovery at the end of ten years -- so divide your initial cost (including finance costs, if applicable) by 10 to get an annual cost. Then add the MF's for the year. Then divide that total by the number of points you receive each year -- that's your per point cost including all components of that cost. To calculate the cost of a night's stay, multiple your per point cost X number of points needed. Compare the per night cost to other options and see if it seems reasonable to you for the lodgings you will be receiving. That said, I think most of us have legitimately justified our purchases using non-financial criteria...which usually are more rational than the financial gymnastics people typically use.