If nothing else, one has to admire air carriers for consistency, as a fresh round of airfares increasing has been reported. However, fuel costs are still very high.
Costs going up again
According to CBS, United Airlines recently raised the base rate for airfares, adding $4 to $10, depending on the route, according to recent information from FareCompare.com. Airfare increasing is the rule rather than the exception these days, and several other big companies followed suit. JetBlue, Virgin and Southwest Airlines quickly elevated their base charges soon after, according to USA Today. Joining them were Delta, American Air carriers and US Airways, according to CBS.
There have been seven tries to increase airfares this year, though this is just the fourth time it has stuck.
Not too big
Though another $4 to $10 isn't really massive, numerous increases of that much over the course of a year can add up. Last year, fares rose nine times.
However, the news is not all bad. Some air carriers are only raising prices on longer routes, as Southwest is excluding flights under 500 miles. Not every person is going to feel the pinch though, as late August is generally when the slow season for air travel begins. Fewer people fly during fall and as a result, air carriers generally cut back. Airlines usually cut charges by 10 to 20 percent during the sluggish season, which might save some travelers some cash.
Some increased fees may come in the form of airline fuel surcharges, though. According to the LA Times, a study by Cason Wagonlit Travel found that fuel surcharges have not diminished across almost the entire industry over the past few years, regardless of fuel costs dropping at times. In fact, fuel surcharges have increased 53 percent since April 2011, though fuel costs increased only 24 percent in the same period.
However, Airlines for America, the trade group for major air companies in the United States, notes fuel costs are roughly $3.05 per gallon, compared to $3.00 per gallon in 2010.
Slight amount of income
Despite the truth that airlines make billions of dollars off of additional charges such as baggage charges, you would be amazed to see how much those airlines really take home after paying all of their own fees. The Huffington Post points out that airline charges are really decreasing right now, and fuel surcharges have to be disclosed under federal laws for ticket prices now.
If you want to be able to fly in the skies, you have to deal with the fuel costs. A 2010 CNN article explained that on average, a flight from LA to New York was, at the time, about $506.62, and only $33.34 of it was profit, or about 6.6 percent. About $200 goes into labor and fuel costs, $97.85 percent of which goes into fuel. The profit margin decreases to 4.8 percent with a 10 percent increase in fuel costs to $23.67.
Costs going up again
According to CBS, United Airlines recently raised the base rate for airfares, adding $4 to $10, depending on the route, according to recent information from FareCompare.com. Airfare increasing is the rule rather than the exception these days, and several other big companies followed suit. JetBlue, Virgin and Southwest Airlines quickly elevated their base charges soon after, according to USA Today. Joining them were Delta, American Air carriers and US Airways, according to CBS.
There have been seven tries to increase airfares this year, though this is just the fourth time it has stuck.
Not too big
Though another $4 to $10 isn't really massive, numerous increases of that much over the course of a year can add up. Last year, fares rose nine times.
However, the news is not all bad. Some air carriers are only raising prices on longer routes, as Southwest is excluding flights under 500 miles. Not every person is going to feel the pinch though, as late August is generally when the slow season for air travel begins. Fewer people fly during fall and as a result, air carriers generally cut back. Airlines usually cut charges by 10 to 20 percent during the sluggish season, which might save some travelers some cash.
Some increased fees may come in the form of airline fuel surcharges, though. According to the LA Times, a study by Cason Wagonlit Travel found that fuel surcharges have not diminished across almost the entire industry over the past few years, regardless of fuel costs dropping at times. In fact, fuel surcharges have increased 53 percent since April 2011, though fuel costs increased only 24 percent in the same period.
However, Airlines for America, the trade group for major air companies in the United States, notes fuel costs are roughly $3.05 per gallon, compared to $3.00 per gallon in 2010.
Slight amount of income
Despite the truth that airlines make billions of dollars off of additional charges such as baggage charges, you would be amazed to see how much those airlines really take home after paying all of their own fees. The Huffington Post points out that airline charges are really decreasing right now, and fuel surcharges have to be disclosed under federal laws for ticket prices now.
If you want to be able to fly in the skies, you have to deal with the fuel costs. A 2010 CNN article explained that on average, a flight from LA to New York was, at the time, about $506.62, and only $33.34 of it was profit, or about 6.6 percent. About $200 goes into labor and fuel costs, $97.85 percent of which goes into fuel. The profit margin decreases to 4.8 percent with a 10 percent increase in fuel costs to $23.67.
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