Originally Posted by
pilotstats
Oh my.... This is not a good way to do math. Your 5th grade teacher should be ashamed. Get your son or daughter in the room, you need assistance!
Conditions:
206.69/hr
16.5% PS
75 pay hours per month
(the actual average pay hours per month is 89, but I like the idea of working from 75, why work extra!)
You also leave out the 15% DC, which is paid as regular after-tax income to a pilot once he has reached the 415c limits. That's real money too.
STATUS QUO:
206.69 x 12 x 75 = $186,021 + PS of 16.5% = $216,714
With 15% DC = 249,221
Two year total = $498,442
With the Booger's rumored numbers:
2015 Jan.-June 206.69 x 6 x 75 = $93,010
2015 July-Dec. (+8%) 223.22 x 6 x 75 = $100,451
2015 total $193,461 + PS of 16.5% = $225,382
2015 With DC 15% = $259,189
2016
(+6%) 236.62 x 12 x 75 = $212,958
PS = 10.75% (16.5%-5.75%)
212,958 + PS 10.75% = $235,851
With DC 15% = $271,229
Two year total = $530,418
That is actually a hypothetical increase to that hypothetical pilot of $31,975.
Using your numbers it equates to:
His 2015 earnings being 4% higher than without said hypothetical deal.
His 2016 earnings being 8.8% higher than without said hypothetical deal.
Quite a difference from the 2.25% you errantly compiled!
(Let's not get into what the compounding of the DC and the equivalent of an extra mortgage payment of over $1776 per month can do!)
In the future, please do your math correctly or leave it to those who can.....
Wow, we both thought of the 5th grade math teacher at the same time.
If I may add one thing to your example:
The 2015 pay increase is really only for the last half of the year. The 4% annual increase is mathematically correct, but it sort of understates the true value of the increase.