Waffles
 

I don’t disagree. It’s not about that. I just have no idea who he is, even if I can look him up. He is a complete stranger to me as I am to him. But I’m not the one imploring people to read my stuff and ask them to create a login to my website with personal information. Like I said, it’s just a pet peeve of mine. He seems knowledgeable in this and I’d like to read it without having to go through his hoops. That’s it, nothing personal.

you will get to eat your frozen pancakes with peanut butter and out of date milk when we tell you too.

There are items on the website that you are not allowed to publish in public.

I also doubt that you know the motives of every MEC member, but you do you.

If you are saying FastBurner could publish all of his info without a log in, the same could be said about the MEC.

Hey FastBurner, I was doing some calculations based on the floor that the supporters of the pancakes like to taut. Using the current IRS DC limit, which is what the union said they would use and what the calculator used, I figured out the floor guarantee for someone hired this year who worked for 25 year. The income limit was adjusted up by 2.2% each year, which is a greater increase than it has had for the last 19 years and higher than it has averaged for the last 27 years. If the pilot hired today earned the limit every year for 25 years, the floor for their retirement would be $190,000 in 2046. If that same pilot worked 1000 hours a year and started as a WB FO and upgraded to NB CAP at year 4, they would have a floor of $178,000 in 2046.

Now, some may say that is good, but if you look at the starting point of $130,000 in 1998, that guaranteed value would have only increased by 0.8% a year for 48 years. I think we can do much better than that. Now some may argue that is the floor, the plan may return a greater value than that which is true, but it isn't guaranteed. To date, no one has been able to tell me the company incentive for having a higher rate of return. If the company's risk is longevity, then why would they want a larger sum that they have to guarantee for life than is required. The MEC has said we would ask for a seat at the table as far as fund management goes, but they admit that we would not get a vote since the fund is sponsored by the company. So, who would be holding the cards.

Just say NO to PSPP!

First - Noworkallplay and FXLAX are trolls, easier to put on ignore list on APC and disregard than engage in literally making us all dumber for spending time reading their drivel. (Though I think Starclipper, no work, and fxlax might all be same person).

Good point on understanding that the floor guarantee is not much above what we have... so why bother with crafting a new product? I created an excel product back in 2018 that I will be posting on the site that mimics the math with a variable plan. I do show similar calculations wherein the “floor” would be less until year 26.

When working through the actual calculations and process of how the plan would work, the following are additional considerations:
- investment RISK shifted to individual
- process works in chronological order
—- company kicks in stab reserve (negotiated for both requirement and amount)
—- individuals work and earn pensionable earnings (could company redefine what counts?)
—- company contributes flat % of pensionable earnings (2%, negotiated)
—- at end of plan year, earnings converted to shares with year 1 par val $10.00 (290,000 X .02 / $10.00 = 580 shares)
—- year 1 “credit” example is $5,800 (but really 580 shares that accumulate every year)
—- (this is only $600 more “guaranteed” by floor vs current plan)
- pensionable earnings are the key, so working more will increase your floor (subject to limit)
—- but, the modeler assumes the company contributes a flat percent of earnings (2%) equating to a floor accrual
—- that is negotiated, what if it’s 1.9%? At max is $5,510 vs $5,800 or roughly 29 shares
—- what if irs cap is lowered?
- every year counts, imagine having a young family or Mil duty for first 5 years and not getting 1,000 hours
- there are 1700 or so FOs above most junior capt, a huge rebalance would occur if earnings drove share purchases
- when are shares purchased every year?
—- Intuitively, we would always want to purchase our shares at the lowest share price, but we would have no “control” per se.
—- we would like to cash out with a high share price, again no control per se
- what happens during 3 years of declines (2000-2003, -10,-13,-23 ish) if first three years of plan?
—- what levels would “break” the model and force the company to add more or terminate?
—- negotiated beginning Stab Reserve amounts

If this makes eyes glaze over then good, these aren’t even the most complicated parts of plan. Point is there are too many variables that determine the final outcome

Waffles
 

Ok, maybe you are right about info on the MEC website. I don’t see it but then again that doesn’t mean there isn’t any. As for motives, I’m speaking in general that the MEC’s sole purpose is to have our best interest. It’s actually their fiduciary responsibility. That cannot be said if any particular individual pilot. And that makes a world of difference, in my world at least, when someone implores you to read their material but asks you to go to his website and create a login with personal information.

I’ve derailed this thread enough. I apologize for that.

Sorry Bubba, but if you read all my post you’d see I’m not a Union Sympathizer

And you are not a FedEx pilot either. Try saying you are, and maybe the ban will be permanent instead of just a year.

Dude I’m not sure how long you’ve been at FedEx, but I just might be senior to you. Getting banned doesn’t mean I don’t work for FedEx. Seems like as long as someone has a different opinion, they’re labeled a troll or non FedEx Pilot

KNOWN TROLL, previously banned in fedex forum by admin for “working” for several airlines. Easiest to put on IGNORE list.