Regional FO's going to Endeavor (xjt, psa)
#3
Gets Weekends Off
Joined APC: Sep 2014
Posts: 1,239
#4
Gets Weekends Off
Joined APC: Jan 2015
Posts: 235
Yeah, I haven't heard anyone going from PSA to Endeavor. I went from Endeavor to PSA and the only reason I could think of going to Endeavor from here is if you really wanted that SSP interview at Delta...seems risky to me!
#5
Gets Weekends Off
Joined APC: Oct 2014
Posts: 157
The bonus isn't worth it. If I understand correct, $20,000 per year over four years. Bonuses are taxed heavily. You would likely wind up with about 10K per year. Unless you put it into your 401K. In any case, spending 4 years at Pinnacle with no chance of upgrade isn't worth 10K per year. And that's conservative considering they have among they lowest pay rates and yearly caps. Yearly income wouldn't be much more. Not to mention captain pay at a regional with a short upgrade. Just another carrot. No way I'd take the risk of being there for that.
#6
Gets Weekends Off
Joined APC: Sep 2009
Position: Canabus
Posts: 157
The bonus isn't worth it. If I understand correct, $20,000 per year over four years. Bonuses are taxed heavily. You would likely wind up with about 10K per year. Unless you put it into your 401K. In any case, spending 4 years at Pinnacle with no chance of upgrade isn't worth 10K per year. And that's conservative considering they have among they lowest pay rates and yearly caps. Yearly income wouldn't be much more. Not to mention captain pay at a regional with a short upgrade. Just another carrot. No way I'd take the risk of being there for that.
Retention Payment Tax Rumors
There appear to be some rumors regarding the tax implication of the retention payments.
The IRS has rules and regulations that apply to such payments. The income tax withholding rate applied to this type of payment is determined by the federal tax code, which sets the supplemental tax rate at 25%. In addition, states have supplemental income tax rates that apply to payments like these.
The amount of money withheld is an interim step. When each pilot files his tax annual tax return, the pilot’s total income will be taxed at the pilot’s applicable rate, which means that if the pilot’s tax rate is less than 25%, the difference between the 25% rate of withholding and the pilot’s applicable tax rate will be refunded.
There appear to be some rumors regarding the tax implication of the retention payments.
The IRS has rules and regulations that apply to such payments. The income tax withholding rate applied to this type of payment is determined by the federal tax code, which sets the supplemental tax rate at 25%. In addition, states have supplemental income tax rates that apply to payments like these.
The amount of money withheld is an interim step. When each pilot files his tax annual tax return, the pilot’s total income will be taxed at the pilot’s applicable rate, which means that if the pilot’s tax rate is less than 25%, the difference between the 25% rate of withholding and the pilot’s applicable tax rate will be refunded.
#8
Line Holder
Joined APC: Mar 2014
Posts: 30
No one from xjt is going over to endeavor according to the latest attrition information. However there are people jumping over to compass and trans states.
#9
Yeah, you're correct. The 25% method is the percentage method and probably will be used over an aggregate method. But like you said, it doesnt matter because it all equals out in the end. So a 20k bonus check will still ultimately be taxed at your normal earnings rate when you file for the year.
If I knew my 20,000 was to be taxed higher initially, I would change my withholding on my W4 to allow me to see some of that extra tax dollars be returned back into my paychecks, rather than just wait for a larger refund, on your interest free loan you gave the government.
#10
Gets Weekends Off
Joined APC: Dec 2012
Posts: 389
Wait I heard that the bonus at Endeavor was going to be taxed at 100% and that if you went to Endeavor you would actually have to pay to work there. When I read some of the stuff on this board I wonder if there are children posting on this board. Come to Endeavor or don't but please inform yourself don't making a hasty decision based on the rumor mill. I am sure there are a few people who jumped ship at Endeavor who thought they were sticking it to them and now regret their decision.
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