Southwest Airlines 401(k) at a glance
| Employer match | For 2025, Southwest matched 100% of your contributions up to 9.3% of pay for most employees. Union contracts can set different match terms. |
|---|---|
| Maximum match | 9.3% of pay |
| Contribution needed for full match | 9.3% of pay |
| Company contribution (no match needed) | Southwest also makes a profit-sharing contribution. By default it equals 15% of the company's operating profit (as defined in the plan), shared by pay. The board can set a different amount, and you need 1,000 hours in the year. |
| Vesting | 5 years to fully vestMatch and profit-sharing money vests 20% per year of service, fully after 5 years. Full vesting also applies at age 59½, disability or death. |
| Eligibility | You can make salary contributions from the first of the month after one full calendar month of service. Profit-sharing eligibility starts on day one. |
| Automatic enrollment | New employees are auto-enrolled at 3% of pay. |
| Roth 401(k) option | Yes |
| Pension | No |
| Plan provider | Empower |
| Who this applies to | US employees of Southwest Airlines; union employees only if their contract provides for the plan |
How much is the Southwest Airlines match worth?
If you contribute 9.3% of your pay, Southwest Airlines adds the full match. Here is what that means at different salaries, per year, before investment growth:
| Salary | You contribute (9.3%) | Southwest Airlines match |
|---|---|---|
| $40,000 | $3,720 | $3,720 |
| $60,000 | $5,580 | $5,580 |
| $90,000 | $8,370 | $8,370 |
| $150,000 | $13,950 | $13,950 |
Illustration based on the plan terms above. Your actual match depends on eligible pay, timing and plan rules.
Good to know
- The 11-K says the 9.3% match applied to 'the majority of each participant's compensation' for both union and non-union employees in 2025.
- The profit-sharing amount changes with company profits and can be zero.
Other Southwest Airlines retirement benefits
- Profit sharing (formerly a separate plan, merged into the Retirement Savings Plan in May 2024)
How to make the most of your Southwest Airlines 401(k)
- Always get the full match. Contribute at least 9.3% of pay. It is an instant return you cannot get anywhere else.
- Check your vesting date before you change jobs, so you do not leave unvested money behind.
- Pre-tax or Roth? If you expect a higher tax rate in retirement, Roth contributions can pay off. Model it with our Roth conversion calculator.
- Watch fees and prefer low-cost index or target-date funds in the plan lineup.
- Plan the whole picture: see how your state taxes retirement income before you decide where to retire.
Frequently asked questions
Does Southwest Airlines match 401(k) contributions?
For 2025, Southwest matched 100% of your contributions up to 9.3% of pay for most employees. Union contracts can set different match terms. Southwest also makes a profit-sharing contribution. By default it equals 15% of the company's operating profit (as defined in the plan), shared by pay. The board can set a different amount, and you need 1,000 hours in the year.
When does the Southwest Airlines 401(k) match vest?
Match and profit-sharing money vests 20% per year of service, fully after 5 years. Full vesting also applies at age 59½, disability or death.
When can I join the Southwest Airlines 401(k)?
You can make salary contributions from the first of the month after one full calendar month of service. Profit-sharing eligibility starts on day one.
How much should I contribute to get the full Southwest Airlines match?
Contribute at least 9.3% of your pay. Anything less leaves part of the match unclaimed.
Sources (last verified 2025)
- Southwest Airlines Co. Retirement Savings Plan Form 11-K for 2025 — SEC EDGAR (2026-06-26)
Educational content only, not tax, legal or investment advice. Plans and tax laws change; confirm details with your employer's plan documents or your state revenue department. Smart Financial Lifestyle is not affiliated with any employer named on this site.