In this episode, Charlie Mattingly, CFP® | MBA and Andy Christopher, CFP® | CFA® | MSF, issued two important public service announcements for Southwest Airlines pilots regarding recent changes to their 401(k) election options.
This conversation highlights new features that may require manual adjustments to prevent missed savings opportunities or unexpected tax issues.
Key Topics Covered
- The Roth Catchup Contribution: Why this new setting is not defaulted to turn on catchup contributions.
- The Roth Non-Elective Contribution (NEC) Roth Option: Why selecting the new Roth NEC setting may not automatically withhold federal income taxes from those specific funds.
Actionable Takeaways
- Log onto the Southwest 401(k) portal to verify that your selections align with your financial plan.
- Reach out to the Leading Edge team at andrew@leadingedgeplanning.com or charlie@leadingedgeplanning.com for personalized guidance on your portfolio setup.
A thoughtful review of your 401(k) settings may help align your elections with your financial goals.
Timestamps
00:00 Introduction: Two changes to SWA 401(k) in 2026
00:55 Roth catchup contribution settings
01:14 The risk of double contribution in one pay period
03:53 New Roth 401(k) NEC setting
04:46 Tax implications for the new Roth NEC
06:32 Wrap up and disclaimers
For personalized guidance, visit Leading Edge Financial Planning or reach out to our team anytime.
Connect with Charlie Mattingly
charlie@leadingedgeplanning.com 
865-240-2292
Connect with Andrew Christopher
andrew@leadingedgeplanning.com 901-664-3753
#LeadingEdgePlanning #SouthwestAirlines #SWAPilot #PilotLife #PilotFamily #SWANEC #PilotNEC #SWA401k #RetirementPlanning #FinancialPlanning #TaxPlanning #RothNEC
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