Originally Posted by
bugman61
The MBCBP will also be expensive and inefficient. Why do you think PWC and Fidelity love selling them to pilot unions?
The payroll tax savings to the company at that level is minimal, should just be 1.45% for Medicare. Most everything else should have been paid to the cap. So it’s not like they have this huge savings to split with us.
It seems you love this plan and really want it. So maybe spend your time pressuring ALPA to actually be honest about the “optional” nature of the plan and commit to abandoning it if it’s mandatory. If they actually did that then most of us arguing against the MBCBP would back off.
Many retirement plans allow the company full deductibility for funding into employee plans. The tax savings can be huge. You can bet the company will know exactly what the tax implications are during negotiations. If they are favorable it allows us to negotiate a bigger slice of the pie.