Southwest is an airline that has a revenue-based award system (which is something most people dread) but it just happens to also be one of the best deals as well. While people (and Southwest) would throw around a value of around 1.5 cents per point, it is actually easy to get much higher than that in value – even well over 2 cents per point!
How A Single Southwest Card OFfer Could Be Worth More Than $1,300!
That kind of value turns the big 60,000 Southwest card offers (currently available on the Southwest Business card) into being worth over $1,300 at the high end! That kind of value is definitely worth it for a card application, and that is even before you figure in using the Companion Pass (which I don’t really count as getting value from points since it can work with regular tickets as well).
Which Tickets Give the Best Value?
So, which tickets should you be looking at to get the most value out of your sign-up bonus?
Here are values I found based on recent sale prices:
As you can see, the lower priced tickets yield the better point value. It sounds strange to think of spending points for a $31 ticket (especially since you have to pay the $5.60 fee on award tickets) but using points on a ticket like that can actually increase your card bonus value – by a lot!
Lower Priced Tickets vs Higher Priced Tickets
If you were to use your Southwest points for the more expensive tickets, you would get about 1.57 cents per point, which would equal around $940 in total value from your 60,000 point sign-up bonus. That means using your bonus for the more expensive tickets would cause you to lose almost $400 in value from the sign-up bonus on a 60,000 point bonus!
Does this mean you should only use your Southwest points for the cheapest of tickets? Absolutely not! But, do be aware as you book award tickets as to which tickets will get you the best value.
If this works as an option for you, it may work better to buy Southwest gift cards when they are on sale on eBay or at an office supply store with a Chase Ink card to get 5X points. That way, you are earning points on the expensive tickets and can redeem for the cheaper tickets.
Right now, the two Southwest personal cards are at 40,000 points and the business is at 60,000 points. The personal cards should be at 60,000 points in the next few months.