Originally Posted by
John 3:16
Amazingly useful posts guys - please keep it coming (STS).
My question is, is there some prohibition against taking SBP and having life insurance as well? My gameplan is to do both, and am comparing VGLI vs other life insurance options. Anyone in the know?
For background, I'm 50, retiring USAF O-6 F-16 pilot. Kids are grown and gone, so it's just me and the hot blonde. I've got a class date at SkyWest (haven't flown since '06), and another civilian flight instruction job lined up, still struggling to decide what I really want to do when I grow up...
John,
Somewhat similar circumstances. You can have both SBP and insurance. i do. Problem is most companies require a physical after age 48 to get life insurance and they will look for any reasons to say no, e.g. BMI, sleep apnea, skin cancers removed, PSA, BP, etc. Good idea until you can replace the insurance with your own assets. Currently Fedex has a DB plan as their main retirement vehicle and think that has some provision for paying after your death. Other flying jobs are almost all B/C plans with some in the 15-16% contribution range. Yours from the git go. Add your max contribution and as a late starter in airline game you may be able to exceed reduced DB payout with 401k/B/C contribution.
Advice shared with me and will pass on is if you can do something else and be happy go do it. The path to a major is not easy, but the reason people do it is because if you love to fly, or you have grown tired of politics, paperwork, and 9-5, there is not a better job. PM me if you have any other questions.
D7