What is revenue-based redemption?

How does revenue-based redemption work?

A fare-linked award price works in the opposite direction to a classic award chart. On a chart, a given route in a given cabin costs a published number of miles, and the cash fare has no bearing on that number. Under revenue-based redemption, the programme starts from the cash fare the same trip would cost and builds a points price from it, so the points price moves with the fare, the season and the demand for that particular departure. The reader's question therefore changes from "which award band is this route in?" to "what does this seat cost in cash today?".

The practical consequence is that a sale fare becomes a cheaper award as well. Southwest states that the number of points needed for a reward flight depends on the fare, and that when fares go on sale, so do the points needed for redeeming a reward flight. [1]

Because the price is built from the fare rather than from a separate chart, the familiar divide between "award seats" and "cash seats" can fall away. Southwest says points can be redeemed for any available seat on any flight booked through Southwest and for any other products or services approved by Southwest. [2]

How does Southwest Rapid Rewards set the points price?

Southwest sets the number of points required for a redemption itself. The figure may vary based on destination, time, day of travel, demand, fare class, point redemption rate and other factors, and the number required for a particular redemption is disclosed on the Southwest website. [2]

The price is not locked in until the booking is confirmed: Southwest says the number of points required to purchase a reward flight is subject to change at any time until the booking is confirmed. [2] The points figure is therefore not a standing price for a route; it is attached to the specific flight and the fare attached to it. [1]

What is Cash + Points on Southwest?

Southwest also sells travel for a mixture of cash and points through Cash + Points, an option the airline dates from 22 April 2024. [1] The number of points required when paying with Cash + Points may vary on the same factors as a full points redemption, including destination, time, day of travel, demand, fare class and point redemption rate, and is subject to change until the booking is confirmed. [2]

Earning follows the cash. With a Cash + Points booking, points are earned only on the portion of the base fare that is paid with dollars. [1] [2] A Companion Pass may be added to travel booked with Cash + Points as a form of payment. [2]

Do other programmes tie the points price to the cash price?

Fare-linked pricing is not confined to flights. For certain pay-now hotel properties booked through Delta Stays, Delta Air Lines gives SkyMiles members the option to pay for all or a portion of a booking with miles earned in the Delta SkyMiles programme. [4] There is no minimum number of miles needed, but a member who wants to cover the whole stay with miles must hold a balance at least equal to the total of the booking. [4]

A member without enough miles can split the transaction: the member enters how many miles to apply, and the remaining value, after subtracting the miles used, is charged in US dollars to a credit or debit card. [4] Miles for one booking may only come from a single SkyMiles account, and a member must be logged in to complete a purchase with miles. [4] Delta describes this option for hotel stays booked through Delta Stays. [4]

Limits and exceptions

• The price can move after booking. Southwest says that changes to the itinerary after the initial booking may result in a change to the number of points required to purchase the reward flight. [2]
• Some fares cannot be bought with points. Special fares such as military and government fares are not eligible to be purchased with points or with Cash + Points; other travel excluded includes charter flights, group travel, Getaways by Southwest vacation bookings, service-charged, reduced-rate and trade-out travel, and travel not purchased directly through Southwest Airlines, while Cash + Points also excludes travel purchased through a travel agent. [2]
• Taxes and fees sit outside the points price. Reward travel and Cash + Points bookings are subject to taxes, fees and other government or airport-imposed charges from $5.60 per one-way trip, which vary by origin and destination and must be paid when the booking is made. [2]
• Points are not cash. Southwest states that points, reward flights and drink coupons have no cash value, and that members do not acquire property rights in accrued points and rewards. [2]
• The rules can change. Southwest reserves the right to amend, suspend or change the programme and its rules at any time without notice, and to end the programme with six months' notice. [2]
• Award travel does not earn. Reward flights are excluded from Qualifying Flights, so they accrue no points. [1] [2] On the Delta side, miles are not awarded on any portion of a stay paid for with miles, and a booking paid partly in miles and partly by card is refunded along the same split. [4]

Frequently asked questions

Does revenue-based redemption give points a fixed cash value?

No fixed cash value follows from it. In Southwest Rapid Rewards the points price follows the fare, but Southwest states that points and reward flights have no cash value and that members do not acquire property rights in accrued points. [2]

Why is the same Southwest trip sometimes cheaper in points?

Because the points needed depend on the fare, and Southwest says that when fares go on sale, so do the points needed for a reward flight. [1] Demand, day of travel and fare class also feed into the figure. [2]

Can I book any Southwest seat with points?

Southwest says points can be redeemed for any available seat on any flight booked through Southwest. [2] Special fares such as military and government fares cannot be bought with points. [2]

Do I earn points on a Southwest award flight?

No. Reward flights are excluded from Qualifying Flights, and on a Cash + Points booking points are earned only on the portion of the base fare paid with dollars. [1] [2]

Are taxes and fees included in the points price?

They are charged on top: reward travel and Cash + Points bookings are subject to taxes, fees and government or airport-imposed charges from $5.60 per one-way trip. [2]

Related pages

Terms: cents per point, fixed-value points, saver award, all glossary terms. Guides: what are miles worth? and when not to redeem.

Sources

Sources accessed on 18 October 2026. Southwest Rapid Rewards and Delta SkyMiles hotel bookings are covered here; other programmes, including JetBlue TrueBlue, United MileagePlus, American Airlines AAdvantage, The British Airways Club and Air Canada Aeroplan, are not covered on this page.

1. Southwest Airlines, How to Redeem Points, checked 18 October 2026
2. Southwest Airlines, Rapid Rewards Terms & Conditions, checked 18 October 2026
3. Delta Air Lines, How to Earn Miles (including Delta Stays terms), checked 18 October 2026