Originally Posted by
Laughing_Jakal
It could be worse....Delta + a nickel would mean we have to look like Delta too with a double breasted blazer, hat, Less Vacation, No A fund, and PBS, not to mention a whole lot less Widebody/Narrow Body ratio.......
I thought I wanted "Cash over Cap", until I found out the benefits of cash balance plan (which I am only not partaking because of my age).....that money is Cash over...but protected as a DB.....
You do not understand the MBCBP plan and CoC relative to Delta. For one of our ten year WB Captains, this TA will lead to a massive shortcoming. The Delta Captain will contribute $100,000 less to his DC over twenty years. And Delta will contribute $400,000 more over that some 20 years. That means the Delta pilot will have $5,000 more annually in discretionary income. And he will have company contributions of $20,000 more annually in tax advantaged accounts annually. And this does not include Profit Sharing, which is pensionable. Probably estimated at $8,000 per year into tax advantaged accounts. Also doesn’t account for Delta’s 8.5% target which is superior to our 6.5%. Also doesn’t account for the investment returns over that 20 years.
Cash over Cap with a spillover MBCBP at 18% is far superior to our IRS limited 9%DC / MBCBP 11%.
Oh, and we’d have to spend more negotiating capital to get cash over cap in the next contract.