Wrong. Not even close.

I wonder why instead of passing an amendment that says all 401k contributions are will not be charged dues. Instead they pass that they will be charged and lower the dues by .05% If the government says that they will make 401k's tax exempt why cant ALPA?

For the person who asked what is going on. ALPA is making all 401k contributions to be consider income and charge the normal dues starting on jan 1 2014. Current by laws say if your company has only a 401k retirement plan you are exempt from paying dues on that portion of your pay. If your company has more than a 401k available you will be charged the ALPA dues.

Because a $7 million hit to dues revenue would require ALPA to drastically reduce services that are important to the membership.

Do you know the number for taxing all 401k vs. not and how much they will loose from the dues drop? If you do know is there a place to look this up? Thanks for the input

How much more or less will ALPA dues generate now with this change?

If all 401k contributions were duesable, then the net effect to dues revenue would be about a $2 million increase. With no 401k contributions being duesable, the net effect would be about a $7 million reduction in dues revenue. This assumes no change to the dues rate itself.

With the compromise that was ratified, the net effect to dues revenue is a $600k loss.

Am I correctly understanding that under the old rule, a pilot who had to contribute to his 401K in order to receive a company match had those contributions figured in as income for his dues calculation, while a different pilot who made the same contributions, but had no company match did not pay dues on his contributions?

Or reduce the insane salaries of ALPA employees. :rolleyes:

No, not quite. The company match isn't the issue. The problem was that a pilot who contributed to his 401k at an airline that didn't have a second retirement plan would only be paying dues on his after-401k income, while a pilot who didn't contribute to his 401k would be paying dues on his gross income. So two pilots at the same airline making the same gross income could be paying different effective dues rates.