Major U.S. airlines have increased fees for checked bags, and experts say the hikes are unlikely to reverse.
Soaring travel prices have become the norm, and airlines’ checked baggage fees are rising.
Major U.S. airlines are raising checked baggage fees again, and travelers may need to adapt new strategies to avoid additional costs.
- Major U.S. airlines recently raised checked baggage fees due to rising operating costs.
- Airlines often raise prices during economic shocks, such as rising oil prices, in order to increase revenue without raising ticket prices.
- Travelers can avoid these fees by purchasing fare bundles, obtaining an airline credit card, or obtaining elite frequent flyer status.
Cruising Altitude is a weekly column about air travel. Have a suggestion for a future topic? Fill out the form or email us at the address at the bottom of this page.
Will checked bag fees be higher? In this economy? yes.
Major U.S. airlines (American Airlines, United Airlines, Delta Air Lines, Southwest Airlines, and JetBlue Airways) have announced increased baggage fees in recent weeks. Sorry, $45 checked bag fees are the new normal. Prices will not be returned.
All airlines cited rising operating costs as the reason for increasing baggage fees. Soaring oil prices due to the Iran war have certainly increased costs for airlines for now, but baggage fees are unlikely to fall again if oil prices fall.
“There’s no way bag fees are going to go the other way,” said Brett Snyder, author of the blog Cranky Flier and owner of travel agency Cranky Concierge.
“Baggage fees are only going to go up. The only way they could change is if the model changes,” he added.
Snyder noted that airlines used to charge across-the-board change and cancellation fees, but have eliminated those fees in an unusual consumer-friendly move during the COVID-19 pandemic. These fees have not yet been returned.
Here’s why airlines continue to charge fees for checked baggage:
Why are baggage fees increasing?
Baggage fees are increasing because airlines want to increase their profits without raising ticket prices. Travelers rarely think about the full cost of their trip when they book a flight ticket.
“The reason you’re seeing increases in baggage fees and not airline tickets is because we’re comparing airline tickets…It’s a big amount, and it’s something you see when you’re shopping, and that’s what’s noticeable,” Vicki Morwitz, the Bruce Greenwald Professor of Management and professor of marketing at Columbia Business School, told me. “It’s important to do your best to take all of this into consideration and compare the total price. People are more optimistic about whether they can save money when they’re further away from traveling.”
Mowitz added that airlines have recognized that economic shocks such as high oil prices can successfully cover price increases without offending customers.
“Perhaps there was a plan at some point to increase baggage fees, but this simply gave them an opportunity to do it sooner in response to what seemed more acceptable,” she says. “While the academic literature tells us that it’s never good for prices to rise, we think it’s fairer if we consider that companies are doing it because their costs are going up, rather than simply because they want to increase profits.”
A (brief) history of airline checked baggage fees
When I saw JetBlue Airways increase its checked baggage fees on March 30th, my first thought was, “History does repeat itself.”
Checked baggage fees have most often been introduced and adjusted in response to economic shocks.
“About 20 years ago, under similar pressure during the Great Recession, airlines started looking at ways to raise money, starting with charging fees for second checked bags,” Snyder said. “American Airlines was the first company to introduce a first checked bag fee. This was a recognition that people were not considering baggage fees when purchasing airline tickets.”
Rising oil prices were a major factor in the decision to introduce checked baggage charges for the first time in 2008.
So, as oil prices rise again, airlines are turning to the same proven strategy. None of us should be surprised. Nor should you expect airlines to favorably lower their fees in the future. That’s because companies generally don’t like to leave money on the table after developing new ways to earn more revenue.
U.S. airlines collected a total of $7.3 billion in baggage fees in 2024, according to the Bureau of Transportation Statistics.
What does this mean for overhead shelf space?
While increased checked baggage fees may encourage people who previously checked baggage to opt for carry-on only, it is unlikely to have a major impact on the already-scrumptious scramble for overhead storage space.
“If I’m going to pay $35 to check a bag, I’m going to pay $45,” Snyder said. “I don’t know if $10 will actually make or break things. If anything, it might encourage more people to get credit cards.”
The fee increase also comes as more travelers than ever come to terms with the fact that they have to pay to check their bags. I previously wrote about the gradual increase in baggage screening rates as more travelers consider baggage screening fees to be part of the new normal.
How can I avoid paying checked baggage fees?
“It’s an optional fee. You don’t have to check a bag, so they might look for a way around it,” Morwitz said.
As a snowboarder, I cannot completely agree with this statement. There’s no way you can put your board bag in the overhead bin, but she’s right that most travelers who don’t have specialized heavy equipment can often skip the baggage check. If you’re strategic, you can avoid paying fees when traveling with your snowboard.
Here are three main ways to avoid paying checked baggage fees when you actually need to check something, whether it’s a standard suitcase or specialized equipment.
- Purchase a ticket that includes checked baggage. Many airlines offer bundled fares that include add-ons such as seat selection and checked baggage as part of the fare. In a sense, you’re still paying for checked baggage with this option, but it can still be more cost-effective than paying separately.
- Get an airline credit card. Most airline co-branded credit cards include an initial checked bag fee as a perk. If you fly the same airline frequently, it may be worth looking into the perks that come with that credit card to see if the product is right for you.
- Earn mileage elite status. Free checked baggage is often a perk of frequent flyer status, so if you can fly primarily with one airline, you may not have to pay baggage fees.
Otherwise, be prepared to pay.
Zach Wichter is a travel reporter and writes the Cruising Altitude column for USA TODAY. He is based in New York and can be reached at zwichter@usatoday.com.
