The authors of the rebuttal letter say the company contributions aren't capped. It seems as if you read that to believe there is no cap at all. That's not true. The company contribution to the PRAP would indeed be capped. Meaning you'd have to come out of your own pocket to max out your PRAP. Yes, the company is still contributing, but that money over the proposed cap gets the most bang for it's buck in the PRAP. You said in a previous post that you like to save money. Youre skipping the part where you'd have to use more of your own dollars to max your PRAP.

 

The two paragraphs titled "Those Affected by the Lower PRAP Cap are Overstated" in that rebuttal letter were written the way it was to make the memebership look at the cap as if they are all 59.5 years or older. That section of the letter is misleading you on purpose. They say "overstated" while purposely understating. Only folks over 59.5 can move their MBCBP to the PRAP, so a PRAP cap doesn't affect them as much. And they want you to believe it doesn't affect those under 59.5 (80%+ of our pilot group).
This LOA creates a divide. Have and have nots......again. The letter is attempting to mislead our pilot group. When this LOA was written they could have pretty acurately predicted what the vote would be based on memebrship demographics. They knew they'd have to divert your focus away from the cap in order to have a chance to get this thing passed.

 

You’d make more money without this LOA even with the taxes. I like money.

 

This isn't a response to you, or your post, specifically.

As a 'top third' pilot ivoted in favor of the PRA. I voted against my personal financial interests because i wanted to be considerate of the needs of others.

I've consistently supported efforts to spread the wealth of our UPA more evenly towards the junior end of the list. I did this while gaining the benefits of the seniority i was willing to share more evenly.

Now it appears there's a "TAKE TAKE TAKE" mindset when I look down the list. I heard it in the UPA (non TUMI...everyone agrees that sucked) discussions, I hear it on the line, and I hear it regarding this LOA.

This TA benefits me and I'm frankly done sacrificing for pilots who probably don't even realize how ungrateful they sound.

Voted In Favor.

 

It's funny you used the phrase "TAKE TAKE TAKE." In all of the diologue from those opposed to this LOA, where in the heck have you seen any "TAKE?" Those opposed to this LOA aren't asking to "TAKE" anything away. We currently don't have a cap. But you're the one that want's to give the company the easy ability to impose a PRAP cap. Step back and you'll realize that you're using a BS rationale in order to justify your vote. You're actually the one doing the taking. The no side doesn't want to "TAKE" anything away. We want this MBCBP to be implemented correctly. And to avoid having to pay for stuff in the next contract cycle that we already have.

 

Some ask why the company really wants some of the provisions in this LOA. They already got most of what they wanted even if this LOA doesn't pass.
Additionaly, you're talking like this LOA is alreday money in the bag for you, and us. Like it's already been implemented. Like you lost something even if this fails miserably. Now, in your mind, keeping it is more important than getting it right.

 

Just like the pro age 67 crowd, somehow you think the people that want to maintain the status quo are taking away from you. You can't make this stuff up.

 

At the “CAP” the companies contributions then go into the MBCBP, so the same amount of dollars go to me just in a different vehicle. It’s still tax differed just invested more conservatively. I can change the investment mix in the PRAP to still have the same overall level of risk in my portfolio.

Your vote on this issue should be based on if you want more dollars to go to the RHA or a tax differed savings plan that you can give to your heirs.

 

The 59.5 thing is an IRS limit that applies to all MBCBPs (even Deltas). It’s also the same age that you can start withdrawing from your 401 K if you’re retired. Does a 401K create have’s and have nots? I don’t understand why people think it’s earth shattering and unfair to have a slightly more conservative investment mix in one of their accounts. Make your PRAP more aggressive problem solved. You will be able to shelter far more dollars in tax advantaged vehicles with this plan (or the same amount if you are one of the pilots dead set against contributing to their own 401K). You can get 10’s of thousands of more dollars in tax advantaged accounts with this TA.

Unless you are Mr Real Estate guy that needs money outside of retirement accounts this is a huge win for everyone (I’m in my mid 40’s).

 

No I won’t. The company pays me the same regardless. It either goes into my 401k and the RHA, or the 401K and the MBCBP. I don’t make enough to get PRAP cash. If I did I’d be foolish to want PRAP cash taxed at 35% over tax differed dollars in a retirement account. I can adjust my PRAP for the slightly less risky asset allocation.