Originally Posted by
APC225
Triple tax advantage. Pretax in, tax free growth (7.8% YTD), untaxed out. R&I said about 200 pilots put 100% of paycheck into PRAP to start the year and around 3/16 the 16% spills into RHA for remainder of the year. Side benefit, after pretax 401k limit is reached, do the rest post tax and convert it to Roth for no taxable 70 1/2 RMD requirement.
I hope this isnt a dumb question. The 403b limits have an income limit of 280k (not positive of exact #). Ive never been in a position of reaching that amount. If we go over 280k...does the companies 16% contribution stop? So those pilots making over 280k, are they getting the 16% on amounts over 280k?? I assume they don’t but I would love to be wrong.