How Silo Points Are Taxed
Earning Silo Points should be simple, and understanding how they are reported for tax purposes should be too. Here's how Silo calculates the value of redeemed points and when you can expect a Form 1099-MISC.
100,000 redeemed points = $1,000 in reportable redemption value.
Membership fee offsets may increase the redemption amount before Silo issues a 1099-MISC.
One value, however you redeem.
Silo uses $0.01 per point for 1099-MISC reporting, whether you redeem for cash, book through the Silo Travel portal, or transfer points to an airline or hotel partner. Your reporting value does not change based on the redemption method.
When does Silo issue a 1099-MISC?
For the 2026 calendar year, the federal Form 1099-MISC reporting threshold for other income is $2,000. Silo tracks the total value of points you redeem from January 1 through December 31, rather than the points you simply earn and leave in your account.
Qualifying subscription fees paid in the same calendar year offset redemption value when determining whether that reporting threshold is reached. The plan examples below assume the full stated annual fee qualifies.
The $2,000 amount is a reporting threshold, not a tax-free allowance.
Once the applicable threshold is reached, Silo will report the full value of points redeemed during that calendar year, not just the amount above the threshold.
Reporting Thresholds by Plan
Membership fees can make a meaningful difference. Here's the redemption value at which Silo's 2026 reporting calculation would trigger a Form 1099-MISC, assuming a full year's qualifying subscription fees.
| Membership Plan | Annual Membership Fee | Reporting Begins At | Points Redeemed |
|---|---|---|---|
| No Active Plan No qualifying fee offset | $0 | $2,000 | 200,000 points |
| Silo Blue | $95/year | $2,095 | 209,500 points |
| Silo Gold | $240/year | $2,240 | 224,000 points |
| Silo Platinum | $960/year | $2,960 | 296,000 points |
Thresholds are reached at the amounts shown, not only after exceeding them. These examples use Silo's fee-offset calculation; the method and actual qualifying fees are subject to tax review and applicable law.
Example: Silo Platinum
Suppose you redeem 300,000 points in 2026 and pay the full $960 Platinum membership fee that year.
Redeemed point value
$3,000
Membership fee offset
−$960
Amount tested against $2,000
$2,040
Because $2,040 reaches the reporting threshold, Silo would issue a Form 1099-MISC. Under the reporting approach described here, the form would reflect the full $3,000 redemption value, rather than only the $40 above the threshold.
A few things worth knowing.
Do points count when I earn them or when I redeem them?
For Silo's 1099-MISC reporting calculation, points count in the calendar year you redeem them. Points you have earned but have not redeemed are not included in that year's redemption total.
What if I transfer my points instead of redeeming for cash?
Transfers to airline or hotel partners count as redemptions. Silo values those transferred points at 1¢ each for reporting, just like cash and Silo Travel redemptions.
What if I don't have an active subscription?
Without an active, qualifying membership and applicable fee offset for the year, the standard $2,000 / 200,000 point reporting threshold applies under this calculation.
What if I change plans or subscribe for only part of the year?
Your reporting calculation may differ from the full-year examples. Any applicable offset is based on qualifying membership fees actually paid during that calendar year, not automatically the annual fee of your current plan.
Important Tax Information
This page describes Silo's 2026 rewards reporting approach for general informational purposes and is not personal tax, accounting, or legal advice. The federal reporting threshold is $2,000 for applicable 2026 Form 1099-MISC other-income payments; thresholds and requirements may change in later years. Other filing circumstances, including backup withholding, may require reporting regardless of amount.
Please consult a qualified tax professional about your individual circumstances. For IRS guidance, see the Form 1099 reporting overview. For questions about your Silo account, email support@silomarkets.com.
