FedEx Hiring
02-09-2015 | 01:41 PM
#341
Line Holder
Joined: Nov 2012
Posts: 53
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From: 757 FO
There may be more ANG/AFRC pilots in this number than one might think. Many who have been getting run ragged as AGRs and ARTs over the last several years are finally making the jump to the airlines and becoming traditional reservists and drill-status guardsmen. I don't have any numbers, just what I've seen from my unit and others I have SA on.
02-09-2015 | 02:03 PM
#343
Gets Weekends Off
Joined: Jul 2007
Posts: 3,203
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From: Gear Monkey
...The 800lb gorilla is the DB plan for new hires. If you have
1. 30 years to work,
2. max out the contribution every year,
3. The market does OK and it is up when you retire,
and 4. the DC plan offered is at or above the going industry rate B fund of 16% +, then it is in the ballpark of the current DB plan....
1. 30 years to work,
2. max out the contribution every year,
3. The market does OK and it is up when you retire,
and 4. the DC plan offered is at or above the going industry rate B fund of 16% +, then it is in the ballpark of the current DB plan....
(....though I'm unsure of what 'max out' means?? Especially in any future years of 4A2B...or seat stagnation due to no hiring -- or similar years of lower BLGs than one expected.)
The problem with #3 is that it becomes the PILOTs problem --- and not the retirement fund managers problem
The problem with #4 is that we already have a 7% B fund --- so please realize one would be giving up the current A fund for the 'marginal difference'
i.e. 16% - 7% = 9%
So what rates of return, seat progression, etc, etc are necessary to replace the high-5 avg under the current A fund??
And for those who will be a FEDEX less than 30 years...???
02-09-2015 | 02:06 PM
#344
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Joined: Jul 2011
Posts: 524
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From: Pressing On
Meant to type DC for newbies. They already have a 2% a year of workx260K DB plan. Think it tops at 50%. The DB plan may or may not be in play. Something to watch. Gotta do a lot of things right over 30 years to match that. They also have a 7% B fund. Even in common core math DB+7% B Fund > 16% B fund.
02-09-2015 | 02:13 PM
#345
Gets Weekends Off
Joined: Nov 2006
Posts: 8,047
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From: 767 FO
Meant to type DC for newbies. They already have a 2% a year of workx260K DB plan. Think it tops at 50%. The DB plan may or may not be in play. Something to watch. Gotta do a lot of things right over 30 years to match that. They also have a 7% B fund. Even in common core math DB+7% B Fund > 16% B fund.
As far as Delta and the military hires I would be interested to know if a military guy who worked a regional for a couple of years is Mil or Civ.
02-09-2015 | 02:41 PM
#346
Permanent Reserve
Joined: Aug 2007
Posts: 1,722
Likes: 12
02-09-2015 | 02:48 PM
#347
Gets Weekends Off
Joined: Jul 2011
Posts: 524
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From: Pressing On
The problem with #2, when combined with #1 --- is that you will have to 'max out' your contribution for 30 years
(....though I'm unsure of what 'max out' means?? Especially in any future years of 4A2B...or seat stagnation due to no hiring -- or similar years of lower BLGs than one expected.)
(....though I'm unsure of what 'max out' means?? Especially in any future years of 4A2B...or seat stagnation due to no hiring -- or similar years of lower BLGs than one expected.)
Not painting a pretty picture here.
02-09-2015 | 02:50 PM
#348
Gets Weekends Off
Joined: Apr 2013
Posts: 1,626
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I wasn't talking about you. Sorry if you took it that way. I meant the posters with only a handful of posts but have lots of detailed information.
The graphic DALPA put out doesn't specify but I can ask and find out.
The graphic DALPA put out doesn't specify but I can ask and find out.
02-09-2015 | 03:19 PM
#349
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Joined: Jan 2015
Posts: 174
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Meant to type DC for newbies. They already have a 2% a year of workx260K DB plan. Think it tops at 50%. The DB plan may or may not be in play. Something to watch. Gotta do a lot of things right over 30 years to match that. They also have a 7% B fund. Even in common core math DB+7% B Fund > 16% B fund.
So what would be more appealing to FedEX. Someone that can 30 years or someone that cannot. Being strait I am trying to learn this piece of the pie. All my retirement knows is what I put into my 401K and thats it.
02-09-2015 | 03:25 PM
#350
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Joined: Apr 2013
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Assuming max Defined Benefit Contribution of 53K then 59K at 50+. And assuming this number rises and President doesn't change tax law. Not easy to do as a junior FO.
Under 30 years it gets pretty hard. Market needs to average 9% plus annually and upgrade to NB CA at around 10 years.
Not painting a pretty picture here.
Under 30 years it gets pretty hard. Market needs to average 9% plus annually and upgrade to NB CA at around 10 years.
Not painting a pretty picture here.
I played with some numbers, assuming a FO for ten years, maxed out his retirement, average salary of 130,000. Then a CA for 15 years, average salary of 260,000, maxes out his contribution, but no catch up. I came up with $2,445,000 assuming 8% return. There are mutual funds with long term records who meet or exceed that. Sure it goes up and down. That's why you need to be diversified. I don't know what $2.4M gets you after taxes though. I'm not that smart. If you took 6% of that $2.4M a year out, that's roughly $140,000 a year. That's not too bad in retirement.
I get $3.5M if you go to the 16.5% B-fund.
Public Math Warning ... I'm an engineer by trade, not a financial professional or mathematician.
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