FedEx to Modernize Retirement Plans?!?!?!?!
02-27-2007, 04:49 PM
#21
Line Holder
Joined APC: Feb 2007
Position: MD-11 Captain
Posts: 53
Even looking at him putting in 10% for his last 5 years were talking 50K with great luck it grows into 100K. Taking out 5% a year it adds only 5K to his anual retirement still a 10% reduction with 50 K of his own money in the pot
02-27-2007, 04:59 PM
#24
Gets Weekends Off
Joined APC: Aug 2006
Position: leaning to the left
Posts: 4,184
Originally Posted by RedeyeAV8r
BINGO , but they were many of the same employees that Ralled against the pilots on Democrat 1n 1998................Maybe some of them might learn the value of a Union negotiated Contract.
http://www.cnn.com/US/9811/17/fedex....ref=sitesearch
I felt the love. Still do.
On a side note: The last sentence of the article sure tells how things can change. Eh?
Last edited by Busboy; 02-28-2007 at 06:17 AM.
02-27-2007, 05:03 PM
#25
Gets Weekends Off
Joined APC: Aug 2006
Position: leaning to the left
Posts: 4,184
Originally Posted by FDXLAG
I know what 10% I was talking about. What you are missing is there is a 7% DC plan and an increased 401K matching so it is Freds. But I do hope ALPA gets us a better DC plan before we lose the DB plan.
02-27-2007, 05:05 PM
#26
Gets Weekends Off
Joined APC: Sep 2006
Position: Retired
Posts: 3,717
Originally Posted by Huck
I'm 40, and I consider my A plan to be worthless. There is NO WAY the MBA's in Memphis haven't watched the passenger airlines over the past few years. They'll come after us soon. Some dogsh!t deal like this one, maybe even tied into the over-sixty debacle that is on the horizon.
You see why it is so important to maximize your earnings early in this business?
You see why it is so important to maximize your earnings early in this business?
MBAs in Memphis. HA.
The problem with maximizing your earning early in this business, is that (as you know) it's rather hard to do. However, that said, maybe a great job in the school house, where one can earn 3 or 400K a year, for 4 or 5 years would be just the ticket. Or better yet, maybe we could pay the new hires 300K to start, then have a declining pay scale, such that when one is ready for retirement, their pay would approximate what they had to look forward to in retirement. That way they could get acclimated (downward) along the way and it wouldn't be such a great shock. What a great idea. I'll pass it by the non-union guys and those that pick up all those disputed pairings. Damn, sometimes I crack myself up.
Last edited by Jetjok; 02-28-2007 at 06:55 AM.
02-27-2007, 07:04 PM
#27
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Joined APC: Nov 2006
Position: 767 FO
Posts: 8,047
Originally Posted by Busboy
Where are you getting the 7% DC plan from? I haven't seen any actual numbers in any of the articles.
Originally Posted by boxboy
Hyperone,
I know a little about it and I'm sure the average employee has little idea of the implications of what just happened. and for most it's too late to make a correction.
Whats happening basically (very basically) is there A plan is being replaced with a 6 or 7% B-plan. Whats in the A-plan is frozen and will not add years of service any more.
I venture most employees barely have been putting enough into there 401K to meet the $500 company match and are years behind in retirement planning. Most other employees don't make enough to drop 10 or 12 thousand into the 401K every year there on a shoestring. This will be devistating to a 50 year old employee with 20 or so years of service.
A young newhire can still make this work but for the old timers it's a mess.
Sorry to be so long winded
I know a little about it and I'm sure the average employee has little idea of the implications of what just happened. and for most it's too late to make a correction.
Whats happening basically (very basically) is there A plan is being replaced with a 6 or 7% B-plan. Whats in the A-plan is frozen and will not add years of service any more.
I venture most employees barely have been putting enough into there 401K to meet the $500 company match and are years behind in retirement planning. Most other employees don't make enough to drop 10 or 12 thousand into the 401K every year there on a shoestring. This will be devistating to a 50 year old employee with 20 or so years of service.
A young newhire can still make this work but for the old timers it's a mess.
Sorry to be so long winded
Last edited by FDXLAG; 02-27-2007 at 07:12 PM.
02-27-2007, 07:16 PM
#28
...Whatever It Is!
Joined APC: Jul 2006
Posts: 4,680
Its STILL a defined benefit account, ie. a PROMISE to pay, unlike our B fund, which is a defined contribution account - cold, hard cash in OUR account!
http://www.principal.com/allweb/docs...q/pq_7850k.pdf
http://cyber.law.harvard.edu/rfi/pre...%20balance.htm
http://biz.yahoo.com/edu/rt/sm_rt8.sm.html
http://www.principal.com/allweb/docs...q/pq_7850k.pdf
http://cyber.law.harvard.edu/rfi/pre...%20balance.htm
http://biz.yahoo.com/edu/rt/sm_rt8.sm.html
02-28-2007, 04:16 AM
#30
Gets Weekends Off
Joined APC: Jan 2006
Posts: 2,838
Originally Posted by FDXLAG
I know what 10% I was talking about. What you are missing is there is a 7% DC plan and an increased 401K matching so it is Freds. But I do hope ALPA gets us a better DC plan before we lose the DB plan.
The "CASH BALANCE" plan, which is what the company calls it, looks like a B plan but it is not. The 7% funds you refer to do not go into the individuals name. It goes into a Mass "Phantom" account. Very different than our B plan which is in our name.
No matter how you slice it, the NON Union emeployees of FedEx just got screwed.
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