Is the Amex Gold Card's $325 annual fee worth the cost?

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The American Express® Gold Card is great for dining out, ordering takeout and earning travel rewards, but it comes with a relatively high $325 annual fee (see rates and fees).

It's possible to make up the cost if you maximize the Amex Gold's benefits because you can earn over $400 in statement credits every year, and that doesn't factor in the value of the American Express Membership Rewards® Points you can earn. However, some of these perks are tied to specific brands or are earned in small monthly increments, so a high upfront annual fee may not make sense for your budget.

CNBC Select breaks down the features of the Amex Gold card so you can decide if the annual fee is worthwhile.

To recoup the American Express Gold Card's $325 annual fee, you’ll need to take advantage of the card’s benefits:

• Up to $120 per year in dining credits: Receive a $10 statement credit every month for purchases made at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder (enrollment required).
• Up to $120 per year in Uber Cash: Get $10 in Uber Cash every month that you can apply toward Uber Eats orders and Uber rides. (An Amex Card must be selected as the payment method for your Uber or Uber Eats transaction to redeem the Amex Uber Cash benefit. The Amex Benefit may only be used in the United States.)
• Up to $100 in Resy credit: You can receive up to $50 semi-annually for in-person dining at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. (enrollment required).
• Up to $84 in Dunkin' credit: You can earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin' locations (enrollment required).

On top of that, the card has a generous rewards program:

• 4X points for dining at restaurants worldwide, which includes delivery and takeout within the U.S. (on the first $50,000 in eligible purchases per calendar year, then 1X points)
• 4X points at U.S. supermarkets on up to $25,000 per year, then 1X points
• 3X points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. 
• 1X points for all other purchases

When you redeem American Express Membership Rewards points for options such as gift cards, statement credits or travel, you'll get 0.5 cents to one cent per point in value. You can dramatically boost your return by taking advantage of the best Amex points redemptions. If you transfer points to Amex's partner travel programs, you can multiply the value you receive by booking premium airfare.

Additionally, Amex provides targeted deals, known as Amex Offers. With these offers, you can earn statement credits or bonus points on eligible purchases once you add them to your card.

You can also save money and increase your peace of mind when you take advantage of this card's shopping and travel protections, including:

• Trip delay insurance**
• Baggage insurance*
• Car rental loss and damage insurance***
• Extended warranty*
• Purchase protection*

*Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company.

**Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/ benefitsguide for more details. Underwritten by New Hampshire Insurance Company, an AIG Company.

***Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

Spend a lot of money on food

If you spend a good chunk of your budget each month on eating out or grocery shopping for home-cooked meals, the Amex Gold deserves consideration. Just keep in mind there's a $25,000 yearly spending cap on the U.S. supermarkets category (then 1%) and a $50,000 yearly spending cap on the dining category (then 1%).

Want to earn Membership Rewards®

American Express Membership Rewards® Points are among the most valuable credit card rewards currencies on the market, with some points and miles experts valuing them at up to 2 cents apiece toward transfer partner travel.

Amex offers 20 different hotel and airline partners, the majority of which you can transfer points to at a 1:1 ratio. This is often the most valuable way to spend your rewards, but you can also redeem them for simpler options, like statement credits, gift cards or deposits into qualified checking accounts.

Take advantage of the credits

The Amex Gold card comes with over $400 in annual statement credits, so if you fully maximize them, you'll cover the cost of the annual fee (see rates and fees) without factoring in any rewards from spending.

What's nice about Amex statement credits is that they only require you to enroll and swipe your card at eligible locations. In other words, the statement credits work passively in the background as you spend on eligible services.

*Enrollment required for Select benefits mentioned

If it doesn't make sense for you to pay $325 for the Amex Gold card, there are suitable alternatives with no annual fee or benefits that are easier to use. And if you can't get approved for the Amex Gold card because of your credit, you may be able to earn rewards on grocery and restaurant purchases while you build your credit with a secured credit card.

Alternative for no annual fee

The Wells Fargo Autograph® Card is a top-notch no-annual-fee travel credit card that earns transferrable rewards. While the Wells Fargo Autograph Card doesn't offer premium perks such as airport lounge access or statement credit offers, it is exceptionally generous for all sorts of spending, including restaurants.

Alternative for luxury travel benefits

On the surface, the Capital One Venture X Rewards Credit Card is more expensive than the Amex Gold because of its $395 annual fee. However, The Venture X comes with two easy-to-use benefits that can completely offset its yearly cost. Every year, you'll receive a $300 travel credit that's valid for bookings you make through Capital One Travel, including hotels, car rentals, flights and more. Additionally, on every card anniversary, you'll get a 10,000-mile bonus, which is worth at least $100 in travel.

Alternative for no or low credit

If you're a current Chase banking customer and want access to credit, consider the Chase Freedom Rise℠ Credit Card. Not only does it not require a credit history, but your approval odds are increased if you have at least $250 in a Chase checking or savings account. The card earns 1.5% cash back on all your purchases, and if you enroll in automatic payments within the first three months, you'll receive a $25 statement credit.

It's not hard to justify paying the American Express® Gold Card's $325 annual fee (see rates and fees) because it provides over $400 in statement credits annually. The caveat is, that you have to fully utilize these annual perks to make it worthwhile, and the benefits are somewhat complicated. You'll have to manage three monthly offers and one semi-annual credit. Plus, most deals are only valid with specific brands or a small list of merchants.

If that sounds like too much for you to juggle, you may be better off getting a card with more straightforward benefits or a smaller annual fee.

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For rates and fees of the American Express® Gold Card, click here.

For rates and fees of the Discover it® Secured Credit Card, click here.

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.