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06-11-2022, 12:39 PM
#4
Line Holder
Thread Starter
Joined APC: Apr 2019
Posts: 48
Originally Posted by NoValueAviator
They have 'till roughly July 15 to pay it assuming you signed June 1. What are you trying to buy?
06-11-2022, 12:56 PM
#5
Gets Weekends Off
Joined APC: Apr 2022
Posts: 229
Originally Posted by JustAsking
Probably just going into savings in case I'm not here in 2 years and need to pay it back, but i was just curious because nobody ever mentions it. So if a year 3 FO upgrades to CA, they get $15k plus $30K this year?
06-11-2022, 01:53 PM
#6
Line Holder
Thread Starter
Joined APC: Apr 2019
Posts: 48
Originally Posted by Ravenwing
Don’t they take Social Security and Medicare out of bonuses in addition to Federal tax? You can recoup the Federal on your next tax return but I doubt you would get the Medicare and Social Security back, so you end up paying back more than you receive.
06-13-2022, 06:16 AM
#7
Gets Weekends Off
Joined APC: Feb 2022
Position: B737 Line FO
Posts: 70
Originally Posted by JustAsking
Yeah but less than a year ago they were handing out furloughs. Cash in hand now always beats they chance of having to pay it back. if I'm not here and do have to pay it back, I'll be at a better place and the loss to ss/mc will be a nuisance not a major burden.
Also talk to a CPA about filing an amended return or other strategy to effectively get credit for the previous taxes paid. There may be a way to negate the effect.
Bottom line is INVEST the bonuses don’t spend them.
06-13-2022, 06:55 AM
#8
Gets Weekends Off
Joined APC: Feb 2018
Position: Resigned
Posts: 1,547
Originally Posted by JustAsking
Cash in hand now always beats they chance of having to pay it back.
06-13-2022, 12:37 PM
#9
Gets Weekends Off
Joined APC: Apr 2022
Posts: 229
How would you recommend investing that bonus? If you put it in a high yield savings account you will be lucky to get 1% interest, and you will owe tax on that. If you invest in the stock market, you may find the market is down just when you need to repay it. Meanwhile you lose 7.98% to Social Security and Medicare, and 22% to Federal taxes that may take you a year to get back.
Depends on your risk tolerance. Just wondering whether those golden handcuffs are worth it.
Depends on your risk tolerance. Just wondering whether those golden handcuffs are worth it.
06-13-2022, 05:09 PM
#10
Gets Weekends Off
Joined APC: Feb 2018
Position: Resigned
Posts: 1,547
How you invest your money is up to you. Ask one of our genius short timer FOs waiting for his class date at Delta which is the hottest cryptocurrency. The point is money in the market is better than money out of the market, and money today is better than money tomorrow.
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