Adlerdriver

I thought I understood VEBA, but I guess I don't.

I thought we were putting aside money for our own use when the time came to defer healthcare costs from age 60-65.

Are you saying that all the money deducted from my paycheck under the "VEBA" category was for someone else and I will never have access to it after age 60?

4A2B

2 different things, one was a 2006 CBA only aged based 25K HCSA, theoretically for use to cover costs 60-65 instead of increasing the amount FDX pays towards 60-65 premiums.

The VEBA (50 cent deal) everyone has access to, which is all POST medicare. You will get a small stipend to purchase a medicare supplement plan. This program is self funding with the 50 cents but of course may need adjusting based on costs and such.

Questions? Call the Union and someone can explain it much better than me

TonyC

If The Company had expended the amount of cash required to create the Pre-Medicare VEBA for every pilot on the property at that time, there would have been less cash left to spread around on other things, like pay rates. The object was to cover the pilots who would retire before the next CBA would be negotiated and ratified. We removed the impediment to retirement for those pilots, and agreed to address the impediment to the next age band of pilots when their time came.

However, nobody envisioned then that the negotiation/ratification process would be short-circuited by a "bridge" CBA that would leave the next age tier swimming.

Yes, I voted for it.

I still think it was a good approach as it allowed us to take a look at how it would actually work, take a look at how the world might change, and then to make adjustments to the program as necessary. The biggest adjustment I'd like to see is to prorate the amount of the benefit to match the actual need for the benefit. If a pilot retires at Age 60, for example, I believe he should receive the full benefit. If he retires at Age 65, the need for the benefit is moot -- no benefit needed. If he retires at Age 61, he probably only needs 80% of the benefit. You get the idea.

We have the flexibility to do a better job this time around. Of course, we also have the flexibility to royally screw it up ...





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FedElta

Info only for folks approaching Medicare (Age 65)

The FedEx/Alpa stipend is $112 month.

Here's what I pay for me only:

Medicare B $200 month
Medicare D $40 month
BC/BS supplement F...$167 month
UHC Drug supplement...$40.00
MetLife Dental Supplement...$145 month

Total ......$592 monthly.......YMMV depending on which supplement you choose.....these are the most comprehensive plans I could find for my state.

Regards,
BG

USMCFDX

No facts allowed here, back to the golf course with you!!

Flyinhigh

You are correct that you are covered by TriCare Standard at no cost (unless you count 20 years of military service as "no cost"). However, when you turn 65 you cannot be enrolled in TriCare For Life (including the TriCare prescription drug plan) unless you have MediCare Part B. The cost of MediCare Part B is indexed based on your Modified Adjusted Gross Income. It could be as much as $200 to over $300 per month per person depending on your income. Or it could be as little as $104/month per person. Anyway, TriCare For Life is not free. It pays after all other insurance; MediCare Part B, MediCare Supplement, then TFL.
In order to participate in the ALPA Premium Reimbursement Plan, you must have been enrolled in an active or retiree FedEx Health Plan immediately prior to turning 65. TFL can be used as your supplement but you must "enroll" in the PRP using TFL. This way, if TriCare ever starts charging you can use the PRP to pay for the plan. Also, a lot of physicians do not accept TriCare so you may need that MediCare Supplement to avoid all of the paperwork hassles.
Clear as mud?

FedElta

Ummmmm....That would be the range for me...just got a sweet 6.8SPC on the AR platform...

ClutchCargo

Can I get a cheap knockoff in Shanghai?

Regards,
Clutch

Flyinhigh

Here are some other numbers for comparision shopping for those approaching age 65 and MediCare. We reside in North Mississippi (sound of crowd chanting "we're number 50") so just be advised the rates are specific to certain geographical areas. Wife is still on FedEx Pre-65 plan ($464/month) so these numbers are for me only:
MediCare Part B $104.90/month
MediCare Supplement Plan N $129.89 - VEBA reimbursement $112= $17.89
Prescription Drug Plan $0 (through TriCare For Life; copays $0 to $13 for a 90 day supply of medication)
Retiree Dental from Met Life $24/month
I have been to the doctor 4 or 5 times in the last 12 months (annual physical, prescription renewals, blood work, etc.) and my costs have been $0.

Jetjok

Here's what I understand, based on my experiences with Medicare and Tricare, and then Tricare For Life. Obviously the Tricare system only applies to those with a military retirement. Until the month of my 65th birthday I was enrolled in Tricare, which had a zero dollar cost to me. Then when I turned 65, I was automatically dis-enrolled in Tricare and enrolled in Tricare For Life. Again, there is no monthly cost for TFL, but as with all health insurances, there is a annual deductible that must be met before they will pay out on any claims.

TFL is the secondary insurer, behind Medicare, which means that your doctor will submit your "bill" to Medicare, who will process your original bill and then send an explanation of benefits back to the original provider, who will then send that EOB along to TFL. TFL will usually cover the full portion of your bill that wasn't covered by Medicare, but if they don't, for whatever reason, you will most likely not be responsible for any remainder that wasn't paid.

As for Medicare, Part B, below are the actual numbers for Medicare Part B, for 2013. As you will realize, your current fee is based on your taxable income from the previous year.

If your yearly income in 2011 was (figures below), you pay (in 2013)___
Individual tax return (I) or Joint tax return (J).
$85,000 or Less (I) or $170,000 or Less (J) - $104.90 (monthly fee)

$85,000 to $107,000 (I) or $170,000 to $214,000 (J) - $146.90

$107,000 to $160,000 (I) or $214,000 to $320,000 (J) -$209.80

$160,000 to $214,000 (I) or $320,000 to $428,000 (J) - $272.70

above $214,000 (I) or above $428,000 (J) $335.70

Of particular interest is the fact that both Medicare and Tricare, as well as our own Retirement folks will tell you that if you're lucky enough to be eligible for Tricare or TFL, then you don't, under almost all circumstances, need a Medicare supplemental insurance, with the one exception being for Dental.

By the way, the monthly Medicare cost is deducted from your Social Security check, if you're collecting Social Security. If you've elected to postpone Social Security, I'd expect that you'd have to write Medicare a check each month, or have it automatically deducted from your bank account.

Anyway, that's the way I understand it.

JJ