PRAP vs RHA VEBA for vacay payout?
 

Hi,

I have a few days of orphan vacation that may get paid out if the monthly vacay bids don't take care of it. I haven't been in this position before.

Can anyone outlay a comparison regarding the benefit of keeping the default payout to PRAP, or to elect payment to RHA?

Thanks!

You don't get any B or C contribution based on the value of any paid for unawarded vacation. That means if you take payment, you take a 16% pay cut. Much better to have it awarded and use it.

PRAP vs. RHA? Depends on your particular situation, if you max out your 401k and your max IRA contributions, how close you are to retirement and if you want money in the RHA. The RHA is valuable to have, but you may make other retirement decisions for health care that would render the RHA redundant. Particularly if you are military and have Tri-care. A much better option.

There are other guys on here that can give you better specifics. If you are asking the question, go to one of the ALPA retirement seminars. They really do a good job of presenting all the options and answering questions.

Thanks very much for the reply. I am hoping to get my remaining days awarded on a monthly vacation bid.