Profit Sharing 26 Rumors and Guesses
 

Approaching that time of year again. What are your guesses or rumors?

7.82% and no 787 order

Maybe 6-7%…

23.7


filler

So when we don’t meet our goal, will they finally go back to the old math and say our real centennial is 2029, we’ll give it another try then???

No profit sharing this year . You’ll owe them 5 percent .

6.9 inversely assigned, so 9.6%

10%, but all profit sharing attributed to M7 payments will be paid exclusively to the most senior harmed pilot.

That’s still a good deal for the pilot group because while that one pilot makes hundreds of millions of dollars in one day, were it not for that scam, they would bid differently therefore them making that scam money for nothing is a windfall for all of us. True story.

If credit card interest got capped at 10%. This might be our last profit sharing year.

I’ll take the other side- with interest capped at 10%, people will go just deeper in debt since it’s on sale. Cheap debt and people will just step on the air miles reward gas pedal.

this will be the most likely scenario.

He probably dropped mil leave to become the senior most harmed pilot🤣

Shots fired!!

When is the official announcement expected?

Tuesday morning with the earnings report.

Don’t worry guys, a wife on the pilot wives group said her husband knows a guy and it’s 9%. So I mean, go ahead and spend it

AND... ... I'm spent.

yes we should def tell people to put themselves in debt so we get more profit sharing

interest revenue is only about ~20-25% of amex’s revenue. if that got cut in half, it might change how their business operates, but they (and we) will still be fine.

most of amex revenue is in the merchant fees

I truly think the number is going to be lower than we think. Between white slip farming and IA usage.. a lot of money went out the door reflected to the amount of flying done on it. I’m glad individuals got their pay day but the result of that is a lot more money pulled from the pot.

agreed. wages are up but amounts set aside for ps are relatively flat. i think these 10%+ guesses are wildly optimistic

that money will be nothing more than a drop in the bucket. If it was going to make a noticeable dent in profit sharing (and thus profit overall) the company would have done something to solve it, like increase crew scheduling staffing.

Maybe it’ll decrease profit sharing by 0.1%

agreed. I think they might find a way to be slightly more profitable than last year for ego reasons, but there is no way the % stays the same due to the wage base increasing.

I’m guessing 9.1 ish

the price of gas has been going down for months. I’m not sure how much of that drop translates to jet fuel, but given how much we purchase every day, it only takes a small decrease in price to have an effect on our bottom line.

I'm going 8.5ish. Wage base is up, profits essentially flat.

ps accrual 986m vs 964m through q3, up 2.2%.

wages and salaries up 7% through q3

last year was 10.02%

anyone counting on 10% is gonna be disappointed.

Yeah but we sold the ATL employee lot to boost our earnings... :D

Looks like it'll have to be a used Miata this year..

get a NA for max street cred

They were guiding for a stronger Q4 vs last year. That combined low fuel prices mean that I wouldn't write off 10% just yet. Usually they update guidance if they're tracking for a large miss. Wall street reacts very negatively to large misses on earnings day.

Should be interesting then. The “rumors” I’ve heard is the pilot group cost more than double what we were forecasted to cost. How much that impacts the bottom line, I don’t know.

Shutdown cost us 200 million, no idea how much IROPs cost us, but it wasn't nothing. I'll be happy if proven wrong, but I doubt we see 10%.

I flew with a FO recently that said “our contract is costing the company too much money.”

Ok. So what? Is the company still making money? “But our profit sharing will be down?”

Ok. So what? Our wages are up. This company is still making BILLIONS of dollars.

Profit sharing is profit sharing. A contract is a contract. ALPA and the company agreed to the contract. Our wages as a group aren’t that big of a deal. Saying we (or our contract) are too expensive is disingenuous at best.

A lot of the inefficiencies at this company can be traced back to technology, or lack thereof.

By “technology”, I think you actually mean leadership? Investment decisions?

?.???????!!!!!

Who talks like this? What does he want pay cuts?

I rather have a bigger paycheck than PS. Considering also that PS has a higher tax bill than regular wages.

The more I make, the less I work. The less I work, the more time I have to live.

This is a pretty common misconception. Bonuses have a flat rate for tax withholding from your paycheck. However, when you do your taxes at the end of the year the bonus is treated as normal income. It's withheld at a flat 22% up to 1 million. People in lower tax brackets will get a refund and people in higher tax brackets will most likely owe more depending on how they have their withholding setup.

Please don’t spread this wrong information. Profit sharing and other supplemental income is WITHHELD at a higher rate, but is TAXED as ordinary income when you file your taxes at the end of the year on all your earned income.

So crazy people every year post this nonsense.

It’s not too late to delete this post! Don’t be part of spreading misinformation about taxes…