Our experts answer readers' credit card questions and write unbiased product reviews (here's how we assess credit cards). In some cases, we receive a commission from our partners; however, our opinions are our own. Terms apply to offers listed on this page.
Southwest loyalists don't choose this airline for its premium perks. The "LUV" airline is known for its open seating format and consumer-friendly policies such as free checked bags and automatic priority boarding for parents with young children.
In keeping with this egalitarian approach, Southwest offers consistently predictable return value on award flights booked with Rapid Rewards points, which Insider values at 1.4 cents apiece on average.
Read on to see which redemption options you should target and avoid to get the most out of your Rapid Rewards points. (And if you're in the market for a Southwest credit card, there's a great welcome offer available right now that can get you halfway to earning the coveted Companion Pass.)
We're focused here on the rewards and perks that come with each card. These cards won't be worth it if you're paying interest or late fees. When using a credit card, it's important to pay your balance in full each month, make payments on time, and only spend what you can afford to pay.
Best ways to use Southwest points
The Southwest Rapid Rewards frequent flyer program doesn't offer many opportunities for high-end award redemptions, since there aren't any airline partners to broaden its route network and it doesn't offer first- or business-class seats.
Southwest uses dynamic award pricing, so the cash price of a flight determines the number of points needed to book an award ticket. But there's some wiggle room because of how Southwest prices award flights.
You can maximize redemption value by using points when the base fare for a flight comprises a relatively small percentage of the total fare, which includes various taxes and fees. This tends to happen on cheaper flights, as well as flights with taxes and fees that are not passed on when booking an award, such as on many international routes.
Cheap flights
Since taxes and fees are generally fixed for a given itinerary, the base fare represents a smaller percentage of the total fare as the ticket price decreases. For example, consider this flight from San Jose to Las Vegas in February. A one-way Wanna Get Away fare is available for just under $46 on the later departure.
Southwest
The base fare for this flight is just under $29 — about 63% of the total fare. The remainder of the cost comes from various taxes and fees, which are broken out in detail within the white box under the blue price banner.
Southwest
The award price is calculated according to the base fare of $28.89. And since the base fare is low relative to the total, the award price is also relatively low.
Southwest
You still have to pay the $5.60 9/11 security fee when booking this award, but you're off the hook for the other charges, which add up to almost 25% of the total fare. As a result, you get a redemption value of 1.67 cents per point, which is slightly higher than our high-end valuation of 1.6 cents for Rapid Rewards points.
Flights with high taxes and fees
While taxes and fees are generally fixed for a given itinerary, they may vary from one itinerary to another. In some cases, higher taxes and fees will increase the total fare without affecting the base fare.
For example, consider this flight from Fort Lauderdale to Nassau, Bahamas, in January. A one-way Wanna Get Away fare is available for a little under $65.
Southwest
The base fare for this flight is $34 (about 52% of the total fare). The remainder is again comprised of various taxes and fees.
Southwest
As before, the base fare is low relative to the total, so the award price is also relatively low.
Southwest
You still have to pay the $5.60 9/11 security fee and a $1 Bahamas passenger levy, but the remaining fees disappear when booking an award. This itinerary has both a low base fare and high taxes and fees; as a result, you get a redemption value of over 2 cents per point, which is about as high as you're likely to get from Rapid Rewards.
This high-value approach only works if the taxes and fees are not passed on when booking an award. If you have to pay those charges in addition to points, then they don't have the same impact on your redemption value.
Leverage Wanna Get Away fares for maximum award value
Southwest offers four fare classes, from least to most expensive:
- Wanna Get Away
- Wanna Get Away Plus
- Anytime
- Business Select
Wanna Get Away fares provide the best redemption value because the base fare comprises a smaller portion of the total.
For example, here are cash prices for a flight from Denver to Phoenix in January.
Southwest
The base fare for the Wanna Get Away ticket is just over $28 (about 63% of the total), while the base fare for the Business Select ticket is just over $150 (about 85% of the total). That leads to the award prices below.
Southwest
This Wanna Get Away fare has a redemption value of 1.68 cents per point, which is well above our high valuation. Meanwhile, the Wanna Get Away+, Anytime, and Business Select fares in this example have redemption values of 1.53, 1.4, and 1.37 cents per point, respectively. That trend holds across other flights, with the upshot that Wanna Get Away fares are your best bet to maximize redemption value.
Average-value redemption options
One nice aspect of the Rapid Rewards program is that, while you're never going to get an amazing redemption value on flights, you're also never going to get far below average.
For example, consider this flight from Nashville to Los Angeles around the peak of the holiday travel rush. The one-way Wanna Get Away fare is $323.
Southwest
Alternatively, you could book the same flight as an award for a little under 24,000 points plus the $5.60 security fee. That yields a redemption value of 1.33 cents per point — which is below our average valuation of 1.4 cents per point, but not by much.
Southwest
This example offers typical value, and illustrates how Rapid Rewards offers a more consistent return than most airline programs. The redemption value you get from booking Southwest award flights is reliably high enough that using points is always at least a decent option.
Low-value ways to redeem Southwest points
Rapid Rewards credit cardholders have a variety of additional redemption options through the More Rewards program, but none of them offer good value.
For example, the More Rewards menu offers a variety of gift cards and retail items, but the redemption value is below 1 cent per point. Gift cards top out at an abysmal 0.67 cents per point.
Southwest
The More Rewards menu also offers VIP travel packages called Rapid Rewards Access Events. The redemption value of these awards is hard to pin down since the packages include features that aren't for sale publicly.
But even if the redemption value is adequate, the opportunities are not. As of the time of this post update, all five events currently listed on the More Rewards page were either sold out or in the past — or both.
Southwest Airlines
Finally, Southwest used to let Rapid Rewards members redeem points to book international flights on global carriers. Unfortunately, while the Southwest website still lists this as an option, the link to book flights has disappeared.
Though the redemption value topped out around 1 cent per point, this was sometimes a useful alternative to paying cash or redeeming other rewards. Hopefully, this benefit will return.
Other valuation factors
Redemption rates aren't the only variable we use to assess the value of points and miles. Here's how the Rapid Rewards program performs across other facets we take into consideration:
- Expiration policy (+) — Rapid Rewards points don't expire as long as your account remains open and in good standing. That means there's no pressure to redeem until you're ready, which is a great feature for any travel rewards.
- Award availability (+) — You can use Rapid Rewards points to book any available seat on a Southwest flight, though the cheapest (Wanna Get Away) fares tend to run out when flights are nearly full.
- Sharing/pooling (-) — There is no complimentary way to share points between Rapid Rewards accounts. You can transfer up to 60,000 points to another member at a cost of 1 cent per point, which is only useful in very limited circumstances (for example, if you need a small number of points right away to book an award).
- Ease of accumulation (+) — Earning rates for flight activity are good, and you can earn Rapid Rewards points from welcome bonuses and spending on an assortment of Southwest credit cards. You can also transfer points instantaneously from Chase Ultimate Rewards® at 1:1, or within a week from Marriott Bonvoy at 3:1.
- Award change and cancellation policy (++) — You can change and cancel award flights with no fee up to 10 minutes before the originally scheduled departure time. Southwest also makes it incredibly easy to rebook award flights at a lower price when fares drop.
- Surcharges (+) — Southwest Airlines doesn't add surcharges to Rapid Rewards flights. You'll only pay government-imposed taxes and fees, some of which are waived on award flights as described above. Southwest also doesn't tack on fees for booking awards close to departure or by phone.
- Route network and partners (-) — Southwest serves over 100 destinations in the US, plus a dozen or so more in Mexico, the Caribbean, and Central America. That covers a lot of ground, but the lack of airline partners means there are no good options to use Rapid Rewards for flights beyond that region.
- Southwest Companion Pass (++) — The Southwest Companion Pass allows you to book a companion into any available seat for only the cost of taxes and fees, and unlike most companion tickets (which only apply to cash fares), you can use the Companion Pass even when booking with points. It doesn't affect the redemption value of your points directly (since you can add a companion regardless of how you pay), but it inarguably adds value to the Rapid Rewards program as a whole.
A lack of airline partners means the Rapid Rewards program offers limited utility beyond Southwest flights, but it offers consistent, albeit unexceptional, value on Southwest flights. The lack of a free mileage pooling option is the only other clear negative among these miscellaneous factors, while the Companion Pass and award change policy are standout features.
What to know about Southwest points value
While it isn't flashy, the Rapid Rewards program should not be overlooked. Southwest Rapid Rewards is a utilitarian frequent flyer program: not a good fit for jet setters seeking a high-end travel experience, but favorable to domestic travelers who just want to get from A to B.
The Companion Pass is a boon to those who travel with others, and the dependable redemption value means you'll never get gouged when booking an award.