American Express Qantas Business Rewards Card

The American Express Qantas Business Rewards Card is a charge card for Australian business owners that earns Qantas Points into a Qantas Business Rewards account rather than an individual Qantas Frequent Flyer account. That single design decision shapes almost everything else about the card, and it is the main reason a business would choose it over a personal Qantas-earning card used for work expenses.

Points land in the business, not in one person's account

On most Qantas-earning cards, the points go to the frequent flyer number of whoever holds the card. On this card they are credited to the business's Qantas Business Rewards account, and from there they can be transferred to any individual Qantas Frequent Flyer member.

For a company with more than one traveller, that is the practical difference. Points accumulated from company spending can be distributed to staff as an incentive, split between several executives, or pooled for one long-haul redemption, without the awkwardness of a balance sitting in the director's personal account. Membership of Qantas Business Rewards, which normally carries a joining fee, is included with the card.

Card Members can also move a limited number of points each year from the business account into a personal Qantas Frequent Flyer account in a way that counts towards Qantas Points Club status, which is otherwise difficult to reach on business spending alone.

How the earn is structured

The card uses a tiered earn structure rather than a flat rate. Rather than quoting rates that change, it is more useful to know which spending falls into which tier.

Two details are worth noting. The first is that the flight bonus is paid after travel, not at the time of purchase, so there is a lag between booking and the points appearing. The second is a volume threshold: once the business has earned 500,000 Qantas Points in a calendar year, the everyday business earn rate steps down to a lower level for the remainder of that year. Earning is not capped — it simply slows. For most small businesses the threshold is academic, but a company putting very large volumes through the card should model it.

Paying the ATO with the card does earn, at the reduced tier. Whether that is worthwhile depends on any card payment fee the agency charges.

Flying with Qantas compounds the earn

Because points earned on the card sit in a Qantas Business Rewards account, flights taken by people in that account also earn points for the business, separately from the points the traveller earns personally. Those flight points are calculated from the distance-based amount a Bronze-status frequent flyer would earn on the same flight, regardless of the passenger's actual status, then increased by a multiplier of between 20% and 40% depending on the business's Qantas Business Rewards membership level.

The practical result for an eligible Qantas flight paid for on the card is three separate earns:

• The traveller's usual points into their personal Qantas Frequent Flyer account
• The card earn on the fare, at the Qantas products tier
• The post-travel flight bonus, once flown

Flight points also count towards the business's Qantas Business Rewards membership level, so a business that flies Qantas regularly climbs the tiers faster and then earns at a higher multiplier — a compounding effect that is the core argument for the card if your travel is Qantas-aligned.

It is a charge card, not a credit card

The card is a charge card with flexible spending power, sometimes described as no pre-set spending limit. There is no fixed credit ceiling published up front; how much can be spent adapts to transaction patterns, the business's credit profile and other factors. American Express indicates that consistent use and an unbroken payment record help that spending power grow, particularly in the early months.

For a business that occasionally needs to put an unusually large transaction through — a stock purchase, an equipment order, a round of flights — that flexibility is the point. It is also a reason the card can suit businesses whose spending is lumpy rather than even.

A Flexible Payment Option is available for cash flow management. Rather than clearing the closing balance in full each statement period, the Card Member can pay the closing balance, the minimum amount due, or anything in between up to their Flexible Payment Option limit, and carry the remainder forward. Any amount not paid in full attracts interest until it is repaid, and the current rate is shown on monthly statements. Carrying a balance on a points-earning card is usually a losing trade — the interest almost always exceeds the value of the points — so this is best treated as a timing tool, not a funding strategy.

Employee cards and expense management

The account supports a large number of supplementary Card Members at no additional card fee, which lets a business issue cards across a team and consolidate all of that spending into one points balance. Supplementary card balances can be checked through the online account, and each card's spending is itemised on the statement.

Transaction data can be exported in several formats, including CSV and QIF as well as formats used by Quicken, QuickBooks and Microsoft Money. Businesses using MYOB can automate the transfer of card transaction data into their accounts, and Xero users are similarly catered for. For a small business without a dedicated finance function, that reconciliation saving is a real, if unglamorous, benefit.

Travel benefits

The travel benefits are modest but targeted at the domestic business traveller:

• Two Qantas domestic lounge invitations each year
• Complimentary travel insurance, including Travel Inconvenience Cover for flight delays, missed connections and delayed luggage, where the trip was paid for with the card
• Compatibility with Apple Pay, Google Wallet and Samsung Pay

The insurance carries the usual conditions: cover limits, exclusions, a maximum age at the time travel is purchased, and an exclusion for pre-existing medical conditions. The product disclosure statement is the document that governs what is actually covered, and it should be read before the cover is relied on in place of a standalone policy.

Eligibility

The card is aimed at established small businesses rather than start-ups. The stated minimum requirements are:

• Aged 18 or over
• A permanent Australian resident, or a non-permanent resident with more than 12 months remaining on the visa
• A good credit history with no payment defaults
• Annual business revenue of $75,000 or more
• A director or controller of the business
• A business owner with a valid ABN — sole trader, company or trust

Bonus point offers on American Express cards separately require that you have not held any American Express card issued in Australia in the previous 18 months. Further documentation, including evidence of revenue, is generally requested during the application.

Who it suits

This card makes most sense for a business whose travel is already booked with Qantas and paid for by the business directly, and which wants the resulting points to belong to the company rather than to one person. The combination of the Qantas products earn tier, the post-flight bonus and the Qantas Business Rewards flight multiplier only stacks up if Qantas is genuinely the airline of choice.

It also suits businesses that want charge card flexibility for larger transactions and a straightforward way to give employees cards without paying per card. The annual fee is at the higher end, though it may be deductible as a business expense — a question for your accountant rather than a points publication.

It suits you less well if your travel is spread across airlines, if your spending is dominated by utilities, insurance and government payments, which sit in the lowest earn tier, or if you would rather points landed straight in a personal frequent flyer account.

Frequently asked questions

Where do the points go — Qantas Frequent Flyer or Qantas Business Rewards? Into the business's Qantas Business Rewards account. From there they can be transferred to any individual Qantas Frequent Flyer member.

Can points be given to staff? Yes. Transferring from the business account to an individual member's account is how points are distributed to employees or executives.

Is this a credit card or a charge card? A charge card, with flexible spending power rather than a pre-set limit. A Flexible Payment Option allows a balance to be carried, with interest.

Is there a cap on points earning? No. After 500,000 Qantas Points are earned in a calendar year the everyday earn rate steps down for the rest of that year, but earning continues.

Do ATO payments earn points? Yes, at the lowest earn tier, alongside utilities and insurance providers.

Does Jetstar spending count for the Qantas flight bonus? No. Jetstar is excluded from the bonus paid on eligible Qantas flights.

How many employee cards can be added? A large number of supplementary Card Members can be added without an additional card fee, with each card's spending itemised on the statement.

What lounge access is included? Two Qantas domestic lounge invitations each year.

This information is general in nature. It does not take your personal circumstances into account.