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Overview

Plan Information

  • Plan Year01/01/2019 — 12/31/2019
  • Date of Plan01/01/1991
  • Net Assets as of 12/31/2019 $8,166,245,113
  • Plan Number4
  • Plan Type Single Employer
  • Is the plan collectively bargained? No
  • Did the plan file for an extension of time or the DFVC Program?Yes
  • Plan Funding Arrangement Trust
  • Plan Benefit Arrangement Trust

Participant Information as of 12/31/2019

  • Active (Eligible) Participants55,098
  • Retired or separated participants receiving benefits419
  • Other retired or separated participants entitled to future benefits4,671
  • Subtotal60,188
  • Deceased participants whose beneficiaries are receiving or are entitled to receive benefits144
  • Total60,332
  • Total number of participants as of 01/01/201958,446
  • Number of participants with account balances59,049
  • Number of participants that terminated employment during the plan year with accrued benefits that were less than 100% vested718

Expenses

  • Total Benefit Payments$0
  • Corrective Distributions$0
  • Administrative Service Providers$0
  • Other Expenses$0
  • Total Expenses$0
  • Total Transfers$0

Sponsor Information

  • Address2702 Love Field Drive, Hdq-6Tx
  • CityDallas
  • StateTX
  • Zip75235
  • Telephone(214) 792-4000
  • EIN74-1563240
  • Industry Code481000

Plan Administrator Information

  • Administrator NameSouthwest Airlines Co. Ps 401K Committee
  • AddressPo Box 36611
  • CityDallas
  • StateTX
  • Zip75235-1908
  • Telephone(214) 792-4000
  • Administrator EIN75-1544136

Audit Information

  • Audit StatusAudited
  • AuditorMayer Hoffman Mccann Pc
  • Auditor EIN43-1947695
  • Audit OpinionUnqualified
  • Audit Type Full Audit

Benefits Provided Under the Plan

Code Benefit Description
2E Profit-sharing A defined contribution plan that allows employer discretionary contributions. These plans often contain a 401(k) feature.
2F ERISA section 404(c) Plan This plan, or any part of it is intended to meet the conditions of 29 CFR 2550.404c-1.
2G Total participant-directed account plan Participants have the opportunity to direct the investment of all the assets allocated to their individual accounts, regardless of whether 29 CFR 2550.404c-1 is intended to be met.
2J Code section 401(k) feature A cash or deferred arrangement described in Code section 401(k) that is part of a qualified defined contribution plan that provides for an election by employees to defer part of their compensation or receive these amounts in cash.
2K Code section 401(m) arrangement Employee contributions are allocated to separate accounts under the plan or employer contributions are based, in whole or in part, on employee deferrals or contributions to the plan. Not applicable if plan is 401(k) plan with only QNECs and/or QMACs. Also not applicable if Code section 403(b)(1), 403(b)(7) or 408 arrangements/accounts/annuities.
2R Brokerage Window Participant-directed brokerage accounts provided as an investment option under the plan.
2S Automatic Enrollment Plan provides for automatic enrollment in plan that has employee contributions deducted from payroll.
2T Participant-directed Account Total or partial participant-directed account plan - plan uses default investment account for participants who fail to direct assets in their account.
3H Controlled Group Plan sponsor(s) is (are) a member(s) of a controlled group (Code sections 414(b), (c), or (m)).

Questions and Answers

Question Answer Amount
During the plan year did the employer fail to transmit to the plan any participant contributions within the time period described in 29 CFT 2510.3-102? No
Were any loans by the plan or fixed income obligations due the plan in default as of the close of plan year or classified during the year as uncollectible? Disregard participant loans secured by participant's account balance. No
Were any leases to which the plan was a party in default or classified during the year as uncollectible? No
Were there any nonexempt transactions with any party-in-interest? No
Was this plan covered by a fidelity bond? Yes $15,000,000
Did the plan have a loss, whether or not reimbursed by the plan's fidelity bond, that was caused by fraud or dishonesty? No
Did the plan hold any assets whose current value was neither readily determinable on an established market nor set by an independent third party appraiser? No
Did the plan receive any noncash contributions whose value was neither readily determinable on an established market nor set by an independent third party appraiser? No
Did the plan have assets held for investment? Yes
Were any plan transactions or series of transactions in excess of 5% of the current value of plan assets? No
Were all the plan assets either distributed to participants or beneficiaries, transferred to another plan, or brought under the control of the PBGC? No
Has the plan failed to provide any benefit when due under the plan? No
If this is an individual account plan, was there a blackout period? No
If there was a blackout period, have you either provided the required notice or one of the exceptions to providing the notice applied under 29 CFR 2520.101-3? No

Financials

Income and Expense Statement

Income $2,104,269,226
Contributions $605,465,306
Cash Contributions $605,465,306
Cash from Employers $254,008,508
Cash from Participants $322,261,462
Others (including rollovers) $29,195,336
Noncash Contributions $0
Total Earnings on Investments $1,489,741,424
Total Interest $8,564,716
Interest-Bearing Cash $0
U.S. Government Securities $0
Corporate Debt Instruments $0
Loans (other than to participants) $0
Participant Loans $8,564,716
Interest from Other Investments $0
Total Dividends $255,947,423
Preferred Stock $0
Common Stock $0
Rents $0
Net gain (loss) on sale of assets $0
Aggregate Proceeds $0
Aggregate Carrying Amount $0
Total Unrealized Appreciation (depreciation) of assets $0
Real Estate $0
Other $0
Net investment gain (loss) from common/collective trusts $737,109,274
Net investment gain (loss) from pooled separate accounts $0
Net investment gain (loss) from master trust investment accounts $33,094,719
Net investment gain (loss) from 103-12 investment entities $0
Net investment gain (loss) from registered investment companies $455,025,292
Other Income $9,062,496
Expenses $420,535,923
Total Benefit Payments $418,634,097
Directly to participants or beneficiaries, including direct rollovers $418,634,097
To insurance carriers for the provision of benefits $0
Other Benefit Payment Fees $0
Corrective Distributions $10,146
Certain deemed distributions of participant loans $1,780,486
Interest expense $0
Total Administrative Expenses $111,194
Professional Fees $48,424
Contract Administrator Fees $0
Investment Advisory and management fees $61,462
Other Administrative Fees $1,308
Net Income $1,683,733,303
Transfers of Assets to this Plan $0
Transfers of Assets from this Plan $0

Asset and Liability Statement

12/31/2019 12/31/2018 Change YOY
Total Assets $8,166,245,113 $6,482,511,810 25.97%
Total noninterest-bearing cash $0 $0 0.0%
Receivables $23,360,112 $21,297,784 9.68%
Employer Contributions $10,058,494 $9,243,777 8.81%
Participant Contributions $13,301,618 $12,054,007 10.35%
Other Contributions $0 $0 0.0%
General Investments $0 $0 0.0%
Interest-bearing cash $0 $0 0.0%
U.S. Government Securities $0 $0 0.0%
Corporate Debt Instruments $0 $0 0.0%
Preferred $0 $0 0.0%
All Other $0 $0 0.0%
Corporate Stocks $0 $0 0.0%
Preferred $0 $0 0.0%
Common $0 $0 0.0%
Partnership/joint venture interests $0 $0 0.0%
Real estate (other than employer real property) $0 $0 0.0%
Loans (other than to participants) $0 $0 0.0%
Participants Loans $168,168,747 $158,780,786 5.91%
Value of interest in common/collective trusts $4,117,276,114 $3,084,984,545 33.46%
Value of interest in pooled separate accounts $0 $0 0.0%
Value of interest in master trust investment accounts $636,207,870 $633,216,593 0.47%
Value of interest in 103-12 investment entities $0 $0 0.0%
Value of interest in registered investment companies $3,166,285,285 $2,540,685,301 24.62%
Value of funds held in insurance co. general account $0 $0 0.0%
Other Investments $54,946,985 $43,546,801 26.18%
Employer-related Investments $0 $0 0.0%
Employer Securities $0 $0 0.0%
Employer Real Property $0 $0 0.0%
Buildings and other property used in plan operation $0 $0 0.0%
Total Liabilities $0 $0 0.0%
Benefit Claims Payable (1) $0 $0 0.0%
Operating Payables (1) $0 $0 0.0%
Acquisition Indebtedness (1) $0 $0 0.0%
Other liabilities (1) $0 $0 0.0%
Net Assets $8,166,245,113 $6,482,511,810 25.97%

Service Providers

Persons Receiving Only Eligible Indirect Compensation

  • Great-West Life & Annuity Ins Co
  • Charles Schwab & Co., Inc.

Other Service Providers Receiving Direct or Indirect Compensation

Name Nature of Service Relationship to Plan Sponsor Direct Compensation Paid by Plan Indirect Compensation Paid by Plan Total Compensation
Nepc LLC Investment advisory (plan), Direct payment from the plan Investment Advisor $47,687 $0 $47,687
Mayer Hoffman Mccann, Pc Accounting (including auditing), Direct payment from the plan Auditor $25,999 $0 $25,999
Qdro Consultants Company Consulting (general), Direct payment from the plan Consultant $22,425 $0 $22,425
Charles Schwab & Co., Inc. Investment advisory (participants), Securities brokerage, Direct payment from the plan, Shareholder servicing fees, Securities brokerage commissions and fees Broker $13,775 $0 $13,775
Great-West Life & Annuity Ins Co Recordkeeping and information management (computing, tabulating, data processing, etc.), Participant loan processing, Direct payment from the plan, Shareholder servicing fees, Recordkeeping fees Recordkeeper $0 $0 $0
Total $109,886 $0 $109,886

Indirect Compensation

Name Source of Indirect Compensation* Nature of Service Description of Indirect Compensation Indirect Compensation Paid by Plan
Great-West Life & Annuity Ins Co Millennium Trust Company Recordkeeping and information management (computing, tabulating, data processing, etc.), Recordkeeping fees Payments of Up To $10.00 Per Rollover Account $0
*As outlined by the Form 5500 Instructions for service providers with indirect compensation.

Service Providers Who Fail or Refuse to Provide Information

There are no service providers who failed or refused to provide information.

Termination Information on Accountants and Enrolled Actuaries

There is no termination information for this plan.

Investments

Investments

Name of Investment Investment Manager Type of Investment Dollar Value
Vftc Institutional 500 Index Trust Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $953,323,906
Master Trust Agreement for Qualifie Southwest Airlines Co. DFE: Master Trust Investment Account $636,207,870
Vanguard Target Retire 2030 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $471,419,711
Vanguard Target Retire 2035 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $408,992,139
Vanguard Target Retire 2025 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $405,274,672
Pimco Total Return Collective Tr II Sei Trust Company DFE: Common/Collective Trust $358,908,604
Vanguard Target Retire 2040 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $310,959,280
Vanguard Target Retire 2045 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $251,841,533
Fiam Small Capitalization Core Fidelity DFE: Common/Collective Trust $221,237,846
Vanuard Target Retire 2020 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $209,520,380
Vanguard Target Retire 2050 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $182,828,344
Vanguard Target Retire 2055 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $116,672,466
Vanguard Target Retire 2015 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $81,029,060
Vanguard Target Retire 2060 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $52,990,830
Vanguard Target Retire Inc Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $40,682,788
Vanguard Target Retire 2065 Select Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $15,579,323
Vftc Inst Total Int Stk Mkt Idx Trs Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $12,919,610
Vftc Inst Extended Mkt Idx Trust Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $12,409,953
Vftc Total Bond Mkt Idx Trstswatbm Vanguard Fiduciary Trust Company DFE: Common/Collective Trust $10,685,669
Total $4,753,483,984

Insurance Information

Insurance Information

There are no insurance carriers listed for this plan.