AWAC Retirement

[Habib]

I can't find it now, but i was reading on the regional forum the other day, and remember an AWAC F.O. saying the company pitched in $3000.00 this last year for him.

I was wondering how that was possible, great if it was true.

I think he said he was 2nd year.

 

[Twotter76]

Part of our retirement plan - seeing as though we have so many lifers here we actually have a real (sort of) retirement plan. I don't know of any other regional that has this. Of course we get the standard 401k match (4 or 5% I can't remember which) but then we also get an additional 3% (don't quote me) in a seperate fund whether we contribute to the 401k or not. Im not sure if this would qualify as a pension but I believe that is how it is explained to the new hires. If you really want to know I can go lok it up...

 

[Habib]

I was just thinking that is would have to be more than just the 401K, because @ 5% the most the company is kicking in a year is $650.

But on that pension are we talking a % of your gross???

Must be nice.

 

[WhiteCloud]

Here's what I remember of the deal....the company will take 3 percent out of your paycheck (your money) and put it into a pilot group managed 401K plan unless you opt out. After the first year they put in a percentage based on what you put in. I didn't pay too much attention since it doesn't amount to much until you're there for quite some time. You only get to keep 20 percent of the companies contribution for each year of service after the first year so it takes 6 years to get totally "vested" in the plan. I appreciated the effort but wasn't too impressed with the numbers. At least they're trying and it won't get stolen from you like UAL and US Air's and others are/will.

 

[Rottweiller]

Thats basically it. The company pitch in 3% every quarter based on your earned income (base, overtime etc) BEFORE tax, this is regardless of if you add a salary deduction to the 401(K). If you also elect a salary deduction (before tax) the compay also add more. Right now if you opt for 7% the company pitches in another 3% (this goes up to 5% in the next couple of years), so you get 6% from the company.

The main thing is that the basic fund this all goes into pays $hit so you have to play with the funds and move them around. So far this year I have only managed to grow my 401(K) 38.2% shy of last years 47.8%, but this quarter isn't done just yet.

 

[WhiteCloud]

Those are good numbers Rottweiler. I need to backpedal a little to be fair. The deal gets much better the longer you're there. 6 years is the magic number to keep everything that the company contributes to the plan. For new hires that plan on moving on it wont amount to much but it is a good plan for those that stick around.

 

[JetPilot_Mike]

Part of our retirement plan - seeing as though we have so many lifers here we actually have a real (sort of) retirement plan. I don't know of any other regional that has this. Of course we get the standard 401k match (4 or 5% I can't remember which) but then we also get an additional 3% (don't quote me) in a seperate fund whether we contribute to the 401k or not. Im not sure if this would qualify as a pension but I believe that is how it is explained to the new hires. If you really want to know I can go lok it up...

Comair has someting similar...it's called a B-fund. At the end of the year they contribute a % of W-2 wages (based on YOS) into your 401k.

 

[Rottweiller]

Those are good numbers Rottweiler. I need to backpedal a little to be fair. The deal gets much better the longer you're there. 6 years is the magic number to keep everything that the company contributes to the plan. For new hires that plan on moving on it wont amount to much but it is a good plan for those that stick around.

Don't forget you can get that vested less than 6 years. The vestment per year is based on 425 hours of service in that year so you can get vested fully short of six years (not nit picking but many here don't realise that). Even if you leave before 6 years you still get what the company added to that point although the first few years the additional is a real low percentage.