What is the break even point for TIW?

[Nanajo1]

I know I should be able to figure this out but I am having a brain lapse. TIA.

 

[OKW Lover]

Take the cost and divide by .20

If the cost is $150, then 150/.2 = $750.

<<<example updated to reflect current prices and to fix my math error>>>

 

[Nanajo1]

Thanks!

 

[loves to dive]

Price went up to $150. Break even would be $750.

 

[DisBuckMan]

Take the cost and divide by .20

If the cost is $125, then 125/.2 = $500.

$125 / .2 = $625.

The breakeven point when the TiW was $100 was $500..... $100/.2 = $500.

 

[TayjaDanger]

Ok forgive me for being slow, but I'm still trying to understand. The break even is cost/20%, because you save 20% with the card. That part makes sense. But then you are charged an 18% gratuity (which granted you would be paying at least that anyway, but hear me out here). So if you were really trying to figure out how much it is to break even, wouldn't it be TIWcost/.02=break even ?
We basically looked at it like it was paying our tip for us and giving us the benefit of valet parking. But for our upcoming trip, when we won't have a rental car, will it really be worth it for just 3 people?

 

[Minniesgal]

For us last trip the break even was much higher that $750. In fact it was over $1000 as we have a good few meals that were also available for a DVC discount and some black out days.

You really need to do the math to find out if you will save. I consider it free tip and reduced tax and you don't always Dave massive amounts but even if we save $100 it's $100 more in my pocket than Disneys

 

[MHDTS]

We used to buy TIW every year, but the increased cost has made it less attractive. We find the annual pass and DVC discounts often are as good or better than shelling out the $150 for TIW.

 

[NicoleLarson]

We used to buy TIW every year, but the increased cost has made it less attractive. We find the annual pass and DVC discounts often are as good or better than shelling out the $150 for TIW.

We feel the same way. We absolutely loved our TIW at $100 but $150, no way. We realized what our breaking point was and disney found it. We now pack lunches instead of doing TS and just park in the parking lot instead of doing valet and it's dropped our costs dramatically plus we still save at most of our favorite places with an AP or DVC discount.

 

[Hopefully]

I disagree with the belief that DVC discounts are as good as TIW. They are more limited ie only 10 %, not at as many restaurants, and many only offer the discount on weekday lunch. We use our TIW card on dinners and we always have an adult beverage or two with dinner. We buy the TIW card on the years we plan on taking 2 trips in less than 12 months. Yes, it is less attractive as the price went up, but we still save a lot over 2 trips

 

[porschegrl]

Ok forgive me for being slow, but I'm still trying to understand. The break even is cost/20%, because you save 20% with the card. That part makes sense. But then you are charged an 18% gratuity (which granted you would be paying at least that anyway, but hear me out here). So if you were really trying to figure out how much it is to break even, wouldn't it be TIWcost/.02=break even ?

Think of it this way: Without TIW, you're paying the gratuity on top of the regular cost. With TIW, you're paying the gratuity on a 20% reduced cost.

Now, if you do want to complicate the math a bit, you can look at where you're eating and what other discounts you'd be eligible for without TIW. For example, Biergarten accepts TIW and also has 10% discounts for AP, DVC, and Disney Visa. So if you have any of the latter, you're really only saving 10% more with TIW.

 

[kittyab]

Remember the TIW card is good for 13 months so if you go back within that time period it is definitely worth it. On our last trip we got AP & TIW, we are going back this fall and we get to use them again

 

[Minniesgal]

Think of it this way: Without TIW, you're paying the gratuity on top of the regular cost. With TIW, you're paying the gratuity on a 20% reduced cost.

Now, if you do want to complicate the math a bit, you can look at where you're eating and what other discounts you'd be eligible for without TIW. For example, Biergarten accepts TIW and also has 10% discounts for AP, DVC, and Disney Visa. So if you have any of the latter, you're really only saving 10% more with TIW.

This is incorrect you pay the tip on the amount before discount

You do save on tax though

 

[porschegrl]

This is incorrect you pay the tip on the amount before discount

You do save on tax though

I was addressing the idea that the TIW savings is really only 2%. But I do apologize if my "clarification" was, in itself, still confusing!

 

[DisBuckMan]

Ok forgive me for being slow, but I'm still trying to understand. The break even is cost/20%, because you save 20% with the card. That part makes sense. But then you are charged an 18% gratuity (which granted you would be paying at least that anyway, but hear me out here). So if you were really trying to figure out how much it is to break even, wouldn't it be TIWcost/.02=break even ?
We basically looked at it like it was paying our tip for us and giving us the benefit of valet parking. But for our upcoming trip, when we won't have a rental car, will it really be worth it for just 3 people?

Let's give a simple example, assuming you tip normally (hoping you do). If you don't tip, or you tip "low", then that's a different conversation that's not allowed here....

Let's say your bill is $100. Without TiW, Your bill, plus a tip of 18% would be $118.

If you have TiW, your bill of $100 is reduced to $80. The auto-gratuity of 18% is still figured on the original $100, so still an $18 tip. But, since your bill was lowered by 20%, your total out of pocket is now $98, instead of $118. I've left out tax to make the example easier to understand.

The ONLY reason you should look at it as paying your tip is if you would not tip normally. Otherwise, you're getting a 20% discount. Of course, as has been stated before, there is a dollar amount to be reached (which can depend on other discounts you qualify for) before you truly realize a discount.

 

[Lauralaylin]

Don't you also get free valet parking with it? I believe I saved $40 on my last trip from that alone.

 

[OKW Lover]

Don't you also get free valet parking with it? I believe I saved $40 on my last trip from that alone.

You get free valet parking only if you are eating at that resort. You'll be asked to show your receipt.

 

[DisBuckMan]

You get free valet parking only if you are eating at that resort. You'll be asked to show your receipt.

Correct. It is not for all-day theme park valet parking at resorts.

 

[addiln]

I disagree with the belief that DVC discounts are as good as TIW. They are more limited ie only 10 %, not at as many restaurants, and many only offer the discount on weekday lunch. We use our TIW card on dinners and we always have an adult beverage or two with dinner. We buy the TIW card on the years we plan on taking 2 trips in less than 12 months. Yes, it is less attractive as the price went up, but we still save a lot over 2 trips

I do the same thing. If I know we are going back within that 14 month window I will get the card and it saves us a ton of money. Our DVC discount is nice if we are not going to be going back and does help save some money but TIW saves us much more. Also being able to us this card at the pool bars and on drinks makes it more appealing to me.

 

[Deb & Bill]

$125 / .2 = $625.

The breakeven point when the TiW was $100 was $500..... $100/.2 = $500.

TIW costs $150, not $125.