The good part is you can't "leave money on the table". There are no matches in either of the plans. The company simply contributes the %'s listed in the PWA, whether or not you choose to make your own pre-tax contributions.

I haven't had a reason to call yet, but apparently we have a very good R&I specialist that you can reach through the MEC office. You will almost certainly have better luck by calling her and getting a pilot-friendly answer.

It sounds like the Employee Self Service center people may be confusing you with other non-contract employees (which they also deal with.) In my limited experience with them, I've noticed they usually mean well but don't have all the details as it pertains to pilot benefits.

Just to reiterate, pilots have 2 plans: DC Plan and DPSP

They are both subject to tax advantages (and contribution limits) of 401k plans per the IRS. I don't think Delta will restrict your ability to retire based on age or years of service.

The limits you will encounter come from the IRS, regarding:

1) how much per year can be contributed-known as the 415c limit, which is $50,000 for 2012 and includes your employee contributions as well as Delta's DC and DPSP contributions on your behalf

2) what age you can begin making catchup contributions (I think it's 50, but I'm one of the "young" guys I don't have to worry about that quite yet )

3) what age you can begin taking distributions from your tax-advantaged accounts without incurring a penalty. Again, I can't remember off the top of my head what the age is, but you'll probably find the answer faster on the IRS website or by calling ALPA, than calling 800-MYDelta

I hear all pilots die at 65, so you want to bail out nice and early to enjoy your golden years. 57 is a good number to shoot for. Tell your CA's the same thing

 

I should mention also that we have a Roth option for "employee" contributions. We keep saying "pre-tax contributions" but you can also make post-tax contributions into your DPSP subject to the same limits I referred to above.

The big difference is when you withdraw your money, you won't owe any taxes as it's paid upfront. If you can work it into your budget this can be a really good way to go, if you think your personal tax rate will be higher when you retire than it is now.

I keep swearing every year that I will switch over to making Roth contributions instead of pre-tax, but I can't seem to make myself bite the bullet and pay the taxes now. I'm just kicking the can down the road, and will probably pay the price for it later.

 

Maybe in your base, but in ATL I get a short call out; less than 2 hrs to departure about once a month, and used on SC over 50% of the time I sit. I suspect they know I can get to a jet fairly quickly.

 

I've sat s/c and seen a trip go to an out of base greenslip. Based on what acl said, maybe they think I dont commute in for s/c.

 

Wow, it's amazing how different the bases are. I've been called out twice in almost four years. About two years of that are reserve.

 

I was just looking at that, it seems that if you and your wife work and that the adjusted gross income has to be less than 173-183k or you will not qualify for the Roth. Nothing like an extra marraige tax on our retirement. (single limits are 110-125k!)

 

Leine,

That's good information... To add a couple of points:

1.) There is a maximum individual contribution as well. It's $17,000 but "catch-up contributions" are allowed for those of us 50 and older. Those add an additional $5,500 to the limit making it $22,500.

2.) The Roth account, whether it's a 401K or IRA, grows tax free as well. So you pay the taxes on the money up front but all the growth is tax free.

If you believe (as I do) that taxes will go up. That is something to consider. That feature also allows you to manage your income taxes in that when you start taking withdrawals from your retirement accounts you can adjust (within some limitations) how much you withdraw from your Roth and non-Roth accounts to minimize your tax liability.

 

I believe (disclaimer) you can make contributions to a non-deductible IRA and then do a Roth conversion.

 

Interesting news about the Salt Lake City airport:

Salt Lake City International Airport to be bulldozed and rebuilt | ksl.com

 

This is one of many reasons that the reserve system is the elephant in the room that nobody seems to be able to see. The company can use reserves from any base to cover any other base. This allows lower manning in any given base which in turn restricts lineholders' ability to swap drop etc... And.... since they can do this, they can avoid using short call reserves. They need to be accountable for each and every short call they assigned, and financially "penalized" for putting a pilot on SC. THEN.. they might be a little more judicious in those assignments... But we all know that ain't gonna happen, because we will all be senior someday...