Nobody can say with 100% certainty that a plan reflecting this LOA will get approved, let alone a better one. Nobody from either side of this issue can promise anything. I don't think it's unreasonable to seek IRS approval on a plan that doesn't include a cap, like Delta. I don't think it would be unreasonable to request approval on a plan that gives our pilots the option to opt in or out of the CBP. That said, if the LOA is good enough for you, cool. I don't think it reflects what most of us had in mind. The results of the vote will be interesting.

To your comment "Of course you are cool with passing up the opportunity for 1-2 years of CBP contributions vs PRAP cash if you don't have that spill anyway...", I'm not sure what youre talking about. I do have spill. Have for many years now. I'm not new (I'm in my 25th year). Been on max scale for a while now. And I contribute to my PRAP.

 

Yes, absolutely. For someone my age (30s), it’s super easy to show that taking a massive tax hit now on PRAP cash is still the better option compared to locking yourself into a tax-deferred fund with 30% equity exposure for the next 30 years. That doesn’t even account for the difference in paying taxes at capital gains rates vs. ordinary income rates at the end, or the ability to simply use that cash for anything else you want.

This isn’t the only problem with the LOA, but it’s one of the most basic ones. It’s just math.

 

The fact they are selling this LOA so hard tells you all you need to know.

It can’t sell itself, which means it’s a bad deal.

 

This guy gets it.

 

I think we've had more "education" emails come out for this 6 page LOA than the entire contract. Yet no new information has been presented since the LOA and companion guide were first sent out. We just keep getting the same information pilotsplained to us in a different way.

 

The LOA gives the company complete immunity forever on how they handle the cbp which is the dumbest thing I have ever heard. You want us to trust the company to execute this very intricate thing with a government entity that is a bureaucratic mess with no way to hold their feet to the fire? You senior people that “have seen it before” haven’t learned anything. They say look at the money and you follow along like a beat dog. Embarrassing.

 

Pass with 52%… surprised number of pilots on line who haven’t read the literature and blindly voting… small sample but interesting still.

 

I was using 'you' in a general sense. It's an anonymous forum, but it's clear that you've got some mileage on you 😉😁.

 

I don't see this as a sell job. I've seen my fair share of those. In fact, I've seen them pass up several opportunities to spin or add commentary that WOULD point to a sell job.

 

Saying a limited number of pilots will be affected and trying to insinuate pilots fortunate enough to have enough salary to get PRAP cash and a fully funded RHA are somehow in dire need of more tax savings (at the expense of everyone else) is pretty close to a sell job.