Is the Southwest Rapid Rewards® Priority Worth the $229 Annual Fee?
Likely yes. On a typical budget the Southwest Rapid Rewards® Priority earns about $343 a year in rewards, which already clears the $229 fee with $114 to spare, before counting the $75 in credits. Heavier spenders come out further ahead.
Every credit, broken down
The Southwest Rapid Rewards® Priority offsets its fee with statement credits and benefits. Here is every one, with the most you can get from each per year. Remember that credits only count if you would have spent that money anyway, and some renew on a monthly or semi-annual schedule you have to use or lose.
| Credit or benefit | Up to |
|---|---|
| $75 Southwest annual travel credit | $75 |
| 7,500 anniversary bonus points each year | varies |
| Total stated value | $75 |
If you use all of it, that is $75 back against a $229 fee, leaving $154 of the fee for your rewards to make up.
What you earn on spending
Credits are only half the story; the card also earns rewards every time you swipe. On $29,160 of annual spending, the Southwest Rapid Rewards® Priority earns about $343 a year at a flat 1 cent per point. The figure below is based on a typical household budget. See the full category breakdown in our Southwest Rapid Rewards® Priority review, or run your own numbers in the rewards calculator.
The break-even
Add it up. The Southwest Rapid Rewards® Priority costs $229 a year. Its credits return up to $75, and everyday rewards add about $343. That is a net of $189 in your favor every year you hold it, before any welcome bonus. First-year holders also collect a welcome bonus worth about $900, pushing the first-year total to roughly $1,089.
Frequently asked questions
- Is the Southwest Rapid Rewards® Priority worth the annual fee?
- Likely yes. On a typical budget the Southwest Rapid Rewards® Priority earns about $343 a year in rewards, which already clears the $229 fee with $114 to spare, before counting the $75 in credits. Heavier spenders come out further ahead.
- How do you offset the Southwest Rapid Rewards® Priority annual fee?
- Use the statement credits first: the Southwest Rapid Rewards® Priority offers up to $75 a year, which knocks the effective cost down to about $154. Everyday rewards add roughly $343 more on a typical budget.
- Is there a no-annual-fee alternative to the Southwest Rapid Rewards® Priority?
- Yes. If you cannot clear the $229 fee, a no-fee card keeps every dollar of rewards as profit. See our ranked no-fee picks to compare.
