Mesa 3.0
01-22-2017, 07:42 PM
#2291
Gets Weekends Off
Joined APC: Mar 2011
Position: 737 FO
Posts: 2,485
Originally Posted by flapoverspeed
Never believe predictions of the future from a recruiter. Until there is a public announcement, they are just repeating self serving rumors. You are correct that the recruiter knows a lot more about the 121 world than you do. Unfortunately they use that knowledge for there benefit, not yours.
In the past, Mesa had quick upgrades. They will proudly announce the most junior captain upgraded in two years. That is true. Then they will tell you that you will upgrade in two years. That is NOT true. The quick upgrades are gone. In the recent past, we were growing and new aircraft were being delivered every month. Now we are shrinking and there are no more new aircraft.
Our current contract is one of the worst in the industry. There might be a slightly better contract in the future, but no one knows. Don't believe anyone who tries to predict what a future contract will contain.
Take a hard look at the hiring bonuses being offered by Mesa. They are structured so the company probably won't have to pay out the entire amount. Also, the tax on a bonus is different than the tax on regular income.
However, there are some advantages to coming to Mesa. You probably won't have to sit reserve for very long, if at all. If you have had training failures or other skeletons in your closet, then Mesa is more likely to overlook those than other airlines.
In the past, Mesa had quick upgrades. They will proudly announce the most junior captain upgraded in two years. That is true. Then they will tell you that you will upgrade in two years. That is NOT true. The quick upgrades are gone. In the recent past, we were growing and new aircraft were being delivered every month. Now we are shrinking and there are no more new aircraft.
Our current contract is one of the worst in the industry. There might be a slightly better contract in the future, but no one knows. Don't believe anyone who tries to predict what a future contract will contain.
Take a hard look at the hiring bonuses being offered by Mesa. They are structured so the company probably won't have to pay out the entire amount. Also, the tax on a bonus is different than the tax on regular income.
However, there are some advantages to coming to Mesa. You probably won't have to sit reserve for very long, if at all. If you have had training failures or other skeletons in your closet, then Mesa is more likely to overlook those than other airlines.
01-22-2017, 08:07 PM
#2292
Gets Weekends Off
Joined APC: Feb 2016
Posts: 2,559
He may be attempting to say that the withholding on a bonus is higher for some than others, because bonuses are withheld at the Federal level at 25% typically. But the TAXES OWED depends on the individual's personal situation, and can only be determined when one files their taxes.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
Originally Posted by word302
Please explain. While I completely agree with your sentiments about why you should not work for Mesa, your misunderstanding of tax law should not be one of them.
01-22-2017, 08:58 PM
#2293
Covfefe
Joined APC: Jun 2015
Posts: 3,001
Originally Posted by HighFlight
He may be attempting to say that the withholding on a bonus is higher for some than others, because bonuses are withheld at the Federal level at 25% typically. But the TAXES OWED depends on the individual's personal situation, and can only be determined when one files their taxes.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
01-22-2017, 09:03 PM
#2294
Gets Weekends Off
Joined APC: Mar 2011
Position: 737 FO
Posts: 2,485
Originally Posted by HighFlight
He may be attempting to say that the withholding on a bonus is higher for some than others, because bonuses are withheld at the Federal level at 25% typically. But the TAXES OWED depends on the individual's personal situation, and can only be determined when one files their taxes.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
Initially, most will pay a tad higher rate at 25% than their ETR (Effective Tax Rate) at the end of the year, meaning they will get back the difference between 25% and their ETR.
01-22-2017, 09:19 PM
#2295
Gets Weekends Off
Joined APC: Feb 2016
Posts: 2,559
True, but it reduces one's bottom line at the time the paycheck arrives, correct?
Originally Posted by word302
I understand how it works. Just tired of people spouting misinformation. Bonuses are not taxed any differently than regular income. They may be withheld differently, but it's all a wash at the end of the year.
01-23-2017, 01:55 AM
#2296
Gets Weekends Off
Joined APC: May 2016
Posts: 1,609
The reason more is withheld is not because it is a bonus. It is because the AMOUNT. The amount determines how much is withheld because the IRS assumes this is what you make every month.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
01-23-2017, 02:46 AM
#2297
Line Holder
Joined APC: Jan 2017
Posts: 35
Originally Posted by word302
Please explain. While I completely agree with your sentiments about why you should not work for Mesa, your misunderstanding of tax law should not be one of them.
01-23-2017, 05:54 AM
#2298
Gets Weekends Off
Joined APC: Jul 2006
Posts: 737
Originally Posted by HighFlight
True, but it reduces one's bottom line at the time the paycheck arrives, correct?
Like other's have said, although initially taxed higher because of the bonus, you'll get that money back when you file your taxes. It's a good problem
01-23-2017, 06:30 AM
#2299
Gets Weekends Off
Joined APC: Mar 2011
Position: 737 FO
Posts: 2,485
Originally Posted by Pedro4President
The reason more is withheld is not because it is a bonus. It is because the AMOUNT. The amount determines how much is withheld because the IRS assumes this is what you make every month.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
01-23-2017, 03:30 PM
#2300
Gets Weekends Off
Joined APC: Feb 2016
Posts: 2,559
Actually, this is incorrect. There are two methods for paying out a bonus, either as a separate payment, and taxed at 25%, or included as regular salary, and taxed based on your annual income. The employer chooses the method to use, and the 25% doesn't matter if it's a $100 bonus or a $100,000 bonus.
One advantage to getting it included as regular salary is that one can increas their dependents for the year, and pay less per month in taxes; this is not an option when getting the separate 25% bonus.
One advantage to getting it included as regular salary is that one can increas their dependents for the year, and pay less per month in taxes; this is not an option when getting the separate 25% bonus.
Originally Posted by Pedro4President
The reason more is withheld is not because it is a bonus. It is because the AMOUNT. The amount determines how much is withheld because the IRS assumes this is what you make every month.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
If this is what you made every month the amount withheld would be more in line with how much you owe in taxes.
The less you make per month the lower the % with held.
The more you make per month the higher the % with held.
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