Road to the TA 20-02
01-25-2020 | 07:59 PM
#81
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Joined: Oct 2014
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That's not correct. If the plan is set up with a 5% return, it pays 5%. If the actual market return is higher, the excess earning go into a reserve fund. The next time the market return is less than 5%, the reserve fund is used to fill out the 5%. If there's a string of bad luck and the reserve fund runs out, the company is required to use operating cash to fill it out. Since this process happens every year, the program is always fully funded.
Reading this again, I disagree with your last sentence. It’s not fully funded always. They acknowledged the scenario where investments could go down and it wouldn’t be funded to the target rate. Having the company cover that difference would be a separate program. There is no guarantee of 5%.
01-25-2020 | 08:16 PM
#82
Gets Weekends Off
Joined: Sep 2008
Posts: 6,971
Likes: 0
From: Kickin’ Back
I rarely get to SEA but I appreciate the offer. While we disagree on this issue I think we have common ground on the majority of the contract and its need to be a big win for the pilots to end the bankruptcy hangover. I'd like to reciprocate the offer but you have to be willing to drink your beer in a shanty (and no I didn't mean shandy) MSP has a bar every 20 feet this time of year.
One of my really good friends owns a, how do I put this, not so upscale bar and it's a great place to hang out and have lunch/dinner and a couple beers.
Denny
01-26-2020 | 04:34 AM
#83
Gets Weekends Off
Joined: Nov 2011
Posts: 4,556
Likes: 11
Well it's good you are advocating what's mine is mine and what yours is yours. That's a given and irrelevant. What is relevant is how we receive what is ours. Your opinion is different than mine. Not right or wrong just different. If, as you say, the plan is not optional (which I'd argue it has yet to be determined) then you are dictating how I receive my money just as much as I'm dictating it to you. You do not have the high ground here......we are on level footing with differing opinions.
You are also making this personal by saying it's for me for a year or two. The tax deferral is not just for a couple of years, it's for the life of the plan and affects everyone, not just me.
Denny
You are also making this personal by saying it's for me for a year or two. The tax deferral is not just for a couple of years, it's for the life of the plan and affects everyone, not just me.
Denny
01-26-2020 | 05:10 AM
#84
veut gagner à la loterie
Joined: Apr 2008
Posts: 23,286
Likes: 0
From: Light Chop
I think I can see why the company asked for the mediator. They probably can tell a lot of pilots would be against this.
It seems it would be better to have a medical retirement vehicle. That alone could be a massive savings in retirement but I know there is tricare for many or most so I'm sure that's a sticking point.
Maybe just more money and let me figure it out.
It seems it would be better to have a medical retirement vehicle. That alone could be a massive savings in retirement but I know there is tricare for many or most so I'm sure that's a sticking point.
Maybe just more money and let me figure it out.
01-26-2020 | 05:24 AM
#85
Gets Weekends Off
Joined: Nov 2011
Posts: 4,556
Likes: 11
I think I can see why the company asked for the mediator. They probably can tell a lot of pilots would be against this.
It seems it would be better to have a medical retirement vehicle. That alone could be a massive savings in retirement but I know there is tricare for many or most so I'm sure that's a sticking point.
Maybe just more money and let me figure it out.
It seems it would be better to have a medical retirement vehicle. That alone could be a massive savings in retirement but I know there is tricare for many or most so I'm sure that's a sticking point.
Maybe just more money and let me figure it out.
01-26-2020 | 05:28 AM
#86
veut gagner à la loterie
Joined: Apr 2008
Posts: 23,286
Likes: 0
From: Light Chop
01-26-2020 | 05:37 AM
#88
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Joined: Oct 2014
Posts: 1,015
Likes: 13
After the initial pushback, ALPA added 2 points to their comms on the MBCBP. They added the word "voluntary" in red underlined text, and added a bullet at the bottom that said "Delta and ALPA must receive approval from the US Department of treasury..."
I would like to agree with Denny above that they would go to the IRS who will say "sure its optional" and everyone can be happy. Those who want it get it, those who don't aren't hamstrung by an inefficient plan. But based on their sell job to date if they have to choose between nothing or mandatory, I have no faith that they would back out.
01-26-2020 | 05:38 AM
#89
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Joined: Feb 2013
Posts: 87
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Well the issue with a “medical retirement” plan is just turn on the TV. Seems like there is a ever growing desire to go to a government Medicare system. Not my wishes but what happens to our money in say 10-15 years from now if that becomes a reality?
Back on topic...
lots of good points made on both sides, I agree with many of you. We need to see the fine print. Details really matter in this not just a few bullet points. So far I’m leaning against this. Call me old fashioned but I still like the “tax me now and let me control my money” philosophy. For some of us it’s not just about retirement. I’m trying to fill up my kids funds, pay off the mortgage sooner, etc and while the tax on that last few $ is high, it’s mine to allocate as I wish.
Back on topic...
lots of good points made on both sides, I agree with many of you. We need to see the fine print. Details really matter in this not just a few bullet points. So far I’m leaning against this. Call me old fashioned but I still like the “tax me now and let me control my money” philosophy. For some of us it’s not just about retirement. I’m trying to fill up my kids funds, pay off the mortgage sooner, etc and while the tax on that last few $ is high, it’s mine to allocate as I wish.
01-26-2020 | 05:39 AM
#90
Moderator
Joined: Sep 2011
Posts: 8,209
Likes: 1,160
Of course, since the company currently contributes zero to my healthcare, I’d love to see a company-funded Tricare supplement in C19 too...
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