Originally Posted by CBreezy

The Min Balance Plan was brought up because any DC increases would have a disproportionate benefit to the most junior pilots and almost no benefit to pilots retiring in the near future. In order to recognize this fact, the min balance plan idea was created. It basically creates an annuity which would take whatever gain in DC we get and bridge the gap for those close to retirement. Every year after the agreement is signed, the value of the annuity decreases until the end of the agreement or 5 years (can't remember which) at which point no pilots would qualify for an annuity.