NWA New hire b-plan

[Monster Buck]

For those in the know, how does the b-plan work. Does the company put in the 5%, or is that a match? Also what does it go into?...mut. funds? who holds the money? how does it get paid out? lump sum or annuity? thanks.

 

[DTW320]

Technically they call it a Money Purchase Plan or MPP. It's not a match. It's additional money from NWA equal to 6% (2008) of your pay, increasing to 8% in the future. (Unfortunately, new hires just get that instead of the "targeted" plan the rest get which has some folks getting up to 20% in an effort to get them to 50% FAE)
The money goes into the MPP plan which works just like the 401k. Run by Statestreet/Citistreet, variety of mutual funds/lifecycle funds plus a brokerage option.
Payout works just like a 401k, taxable on withdrawal,penalty before 59 1/2, etc.

 

[Monster Buck]

thanks!

 

[Max Powers]

way to sell out the young folks moving up the ranks......Thanks greedy older pilots

 

[Occam's Razor]

way to sell out the young folks moving up the ranks......Thanks greedy older pilots

Don't breed!

If you must, PLEASE choose a mate with an IQ above room temperature!