Holiday airfares reach 10-year high as jet fuel costs spike. Here’s how to save on flights.
Holiday Airfares Reach 10-Year High as Fuel Costs Rise
Wertynews.com – Holiday airfares reach 10 year high levels this season, raising the cost of Thanksgiving and Christmas trips for many U.S. travelers. Airlines are facing elevated jet fuel expenses linked to the conflict involving Iran, and those higher operating costs are showing up in ticket prices.
Hopper estimates that the average round-trip domestic fare for Thanksgiving travel is $402, or $95 more than during the same period last year. Average round-trip fares for Christmas travel are $452, up $85 from a year earlier.
Domestic round-trip prices have already increased 31% year over year, according to Hopper. Airlines are dealing with higher fuel bills and limited capacity on popular routes, especially around the busiest holiday travel dates.
Why jet fuel is pushing fares higher
Fuel can account for as much as 30% of an airline’s operating costs. When jet fuel becomes significantly more expensive, carriers may raise base fares, add surcharges, or reduce flight options to offset the added expense.
Before the Iran war began in late February, worldwide jet fuel prices averaged about $99 per barrel, according to International Air Transport Association figures. Prices climbed to $209 per barrel in April and remained near $195 per barrel by mid-September, based on S&P Global Energy Platts data cited by IATA.
“When you see a more than doubling of that cost, it’s inevitable that prices will have to increase to offset it.”
Brent crude briefly rose above $101 per barrel before easing to $97.83. Although oil flows from the Middle East recovered to more than 75% of their pre-war volume, lower fuel costs may take time to reach airlines and travelers.
How to save when holiday airfares reach 10-year highs
Book holiday flights before Halloween
Travelers with confirmed Thanksgiving or Christmas plans may benefit from booking before Halloween. Prices typically rise as departure dates approach, particularly when fewer seats remain on flights serving major cities and family-travel destinations.
Booking early can be especially valuable for families, since a higher fare multiplied across several tickets can quickly increase the cost of a trip. It also gives travelers more options for departure times, connections, and nearby airports.
Choose flexible travel dates
Thanksgiving Day falls on Nov. 26 this year, and the Wednesday before the holiday is expected to be among the most expensive days to depart. Flying on Monday or Tuesday before Thanksgiving may offer more affordable choices.
The return trip can make just as much difference. Sunday, Nov. 29, is likely to command a premium as travelers head home. Black Friday, Saturday morning, the following Monday, and Tuesday may be less costly alternatives for people who can adjust their schedules.
Compare destinations and airports
Travelers planning a leisure trip may be able to save by comparing similar destinations instead of committing to one city. Hopper economist Hayley Berg said that considering alternatives can save hundreds of dollars on a round-trip ticket.
Checking nearby airports can also uncover lower fares, though travelers should account for parking, ground transportation, and extra travel time before deciding. The best value is not always the lowest advertised ticket price.
FAQ: U.S. holiday flight planning
When should I buy Thanksgiving or Christmas flights?
If your plans are firm, booking before Halloween may reduce the risk of further price increases. Waiting until the final weeks before departure can leave travelers with fewer seats and more expensive itinerary options.
Which Thanksgiving travel days may cost less?
Monday or Tuesday before Thanksgiving may be less expensive than the Wednesday before the holiday. For the return trip, consider Black Friday, Saturday morning, Monday, or Tuesday instead of Sunday, Nov. 29.
Will holiday airfares drop if oil prices decline?
A fall in oil prices does not necessarily lead to immediate airfare reductions. Airlines may still be managing previously purchased fuel, strong holiday demand, and limited seat availability, so travelers should not rely on a last-minute price drop.