Speaking of 401k, if we are not fully vested, do we lose that amount when we head to Delta? Related but on a much less important topic do we keep our same pass eligibility date for travel or do we receive a new one?

Yes lose the non-vested amount, and no pass eligibility date starts anew.

(That sound you hear is the AA WO's laughing at us)

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This is an excellent question and I have an answer for you. First of all, you should always check with a CPA or fee-based financial planner. But here’s my layman’s answer. When going to delta, if you don’t have a large amount of 401k cash (which if not fully vested, you probably don’t), you SHOULD roll it over indeed. Provided it’s not a large amount, and if you’re younger than mid-thirties, I’d roll it over into a Roth IRA not affiliated with an employer. Remember, only the portion that is not vested will go to 9E. All your contributions stay yours. Finally, you could leave that money in the 9E plan until it’s vested and then roll it over.

For others whom have a large amount of vested contributions and switch jobs, a simple rollover to the new employers plan is good enough.

I generally agree with you TalkTurkey, in this case I have some additional clarifications...

If you roll your 401K to a Roth IRA, you will generate a tax bill at your current marginal rate. If you've got 10k and in a 25% bracket, it's a $2,500 tax bill. If you've got 50k and a 25% bracket it's a $12,500 tax bill, certainly something to consider before you make that conversion. As well, you need to have that money outside of your 401k, if you pay the conversion tax bill out of the 401k itself you would also pay a 10% early withdraw penalty.

Lastly, at the point you terminate your employment with Endeavor your vesting schedule is frozen where it is regardless of whether you roll your plan at that point. I.e. if you're 50% vested and roll immediately, that's the same as if you left it for 3 more years and then rolled. You don't continue to vest.

Copy that. So non-vested is lost. That’s understood. When I rolled over my money, I got no bill of any sort. I know when I retire, the initial rollover amount as reported to IRS will be taxed at my applicable rate. That’s understood. But that money, since rolled into an IRA has been invested many times over and has produced a lot more value in gains and dividends which in an IRA are not taxable.

So let’s say I rolled over that 10k and will await the 2500 tax bill. That 10k has multiplied a few times over in my IRA and all I have to pay is that measly 2500. Sold.

And that is the reason why the IRS in my opinion will want to get their cut. Laws can be changed

Again, I don't disagree that a) rolling out of your former employer's plan and b) converting a traditional (tax deferred) 401k or IRA to a Roth IRA makes good sense for many (certainly everyone under 30 but even up to 50). I'm simply providing clarification that if you convert to a Roth then you create a tax bill in the year of conversion.

As always tax bills and credits are net over a year, so if you converted a 401k to a Roth TalkTurkey it's possible that you net your conversion tax against what would have been a refund from overwithholding that year.

Just something for guys to consider. That tax bill cannot be deferred without penalties and interest from the IRS. You will pay the tax in the year of conversion.

If you're clever in your tax planning the best years to convert would be low income years (whether that's a year your wife doesn't work, or a year that you train).

As you mentioned, consult a paid CPA for the best advice.

The IRS favors conversions.... a conversion today creates tax revenue today. A tax deferred account such as a 401k or Traditional IRA creates tax revenue at some point in the future.

Better a dollar today than 2 dollars tomorrow. That's government for you. Certainly not a long view.

Ugh... I projected that I should reach 950 hours right as 18-04 closes if I stay on a normal pace, and I just got bought off this trip (that I bid for in hopes of getting bought off, before doing the math on the upgrade bid.) Oops!

Pick up opentime, somewhere.