Originally Posted by
StarClipper
I'm hoping someone on here knows the answer because I'm not sure and I'm looking for clarification.
What happens if an individual, goes on long term disability? Do they still accrue longevity towards their A plan? And does the company continue to contribute towards that A plan? "Example someone who already have their high five but doesn't have 25yrs"
How about the B Plan "would the company still contribute to your B plan while on LTD"
Question 1 A Plan. Yes you will continue to accrue 2% a year until you have 25 YOS or you hit 65 whichever comes first. When you retire you HIGH 5 will be calculated on when you went on LTD but you will at least have a 50% pension of your high 5.
Question 2. B plan. Once on LTD all your B plan contributions STOP. So does your 401K contributions.... Yeap they both stop forever unless you come back off LTD.
Now lets assume under your scenario that you had an active 15 years and then went on LTD. Lets say that you had just upgraded from NB Captain to WB Captain 1 year ago. Your High 5 is in the ball park of $260K, $248K, 240K 235K and 200K ( I'll say the last year was a WB FO. Your High 5 is 237K. So you will have whatever you had in your 401K and B plan I'll estimate (600K). For the next 10 years (Lets say you are 55) you will earn 150K on LTD maybe more if you have Alpa LTD supplemental. You will get no 401K or B plan contributions. but when you retire you will get 119K in your pension and you have 600K in you 401K and B plan. The above numbers are merely estimates and assumptions. YMMV, but I would bet under a LTD issue, everyone wants to have an A plan along with a B plan. B plan only...not so much.