A resort fee is a separate mandatory fee that a guest is charged by an accommodation aside from their regular room rate. In Vegas, many hotels have these nightly charges, which are often concealed and come as a shock to families when they receive their bill.
Resort fees have become a means for hotel’s financial gain and signs show they aren’t going anywhere — in fact, they’re rising.
Two major casinos have raised their resort fees since May to a record high on the Strip. As a result, vacation prices in Las Vegas are extremely inflated.
MGM Resorts International raised resort fees by $6 at three of their high-end resorts along the strip at the beginning of August. Now, if you want to stay at ARIA, Bellagio or Vdara, you’ll have to pay an extra $45 per night on top of your nightly room rate.
MGM spokesman Brian Ahern says in a statement: “We are constantly evaluating prices to ensure they properly reflect the business landscape and the services and amenities they support.”
Wynn Resorts raised their fees three months ago from $39 to $45 per night.
According to USA Today, a resort fee is “a mandatory charge that includes a bundle of services guests have come to expect during a hotel stay.”
These services can include free WiFi, pool access, complimentary drinks or a discounted breakfast.
For example, if you’re staying at the MGM Grand the base room rate is $145, after taxes, resort fees and taxes on the resort fees are factored in, the room will now be $206 per night.
Chad Beynon, a senior analyst at Macquarie Group Limited reveals that by raising fees by $5, companies end up generating an extra $50 million.
Beynon goes on to say, “MGM has company-wide goals to reach certain financial targets for 2020 that are extremely important for them to hit. If you could add another $50 million per year with resort fees, that is meaningful for a company to hit their goal.”
Resort fees became a favorable solution during the recession but it also has made it hard for travelers that want to enjoy Las Vegas on a budget.
Here’s how to determine resort fees before booking accommodations:
- Check Vegas Advisor which tracks resort fees.
- Head to the FAQ section of the resort’s website. You can usually find resort fee information there.
- Be mindful of your reservation summary where taxes and resort fees are listed.
- Ask a reservation agent to quote a complete price including taxes and resort fees before giving your payment information.
Las Vegas hotels that don’t charge resort fees:
- Four Queens – 202 Fremont Street
- Best Western Plus Casino Royale – 3411 S. Las Vegas Boulevard
- Candlewood Suites – 4034 Paradise Road
- Jockey Club – 3700 S. Las Vegas Boulevard