UPS Long Term Disability Plan?

[767pilot]

You can collect LTD and sell pipe fittings at Home Depot, for instance.

BBB

That is not true. You'd still collect, but they will subtract your Home Depot pay, so why bother?

 

[767pilot]

If you doubt what I just said, I just read the post with the plan details and it was mentioned there. Maximum of 10,000 a month is a player for captains too. I was going to ask if the plan reflected our new rates and it looks like it doesn't

 

[capt. megadeth]

That is not true. You'd still collect, but they will subtract your Home Depot pay, so why bother?

That did sound too good to be true.

 

[L'il J.Seinfeld]

That is not true. You'd still collect, but they will subtract your Home Depot pay, so why bother?

Argh!!! You sir, are incorrect. It pays if you are unable to hold the medical with very few exceptions (e.g. self-initiated loss of license due to psychosis.) But I will contact LT at the IPA on Monday and clarify for certain. I know the selling point that the IPA folks made to us was that you could collect 2/3 of your guarantee tax free and still earn doing whatever else you wanted.

You CAN get another job as a school teacher, lawyer, male stripper or anything else you may want and that money is in addition to your LTD. I think the 10k limit has been increased though. Again,
I will check on it and post the update. I guess that's the incentive to not "lose your medical" though.

 

[J Dawg]

Argh!!! You sir, are incorrect. It pays if you are unable to hold the medical with very few exceptions (e.g. self-initiated loss of license due to psychosis.) But I will contact LT at the IPA on Monday and clarify for certain. I know the selling point that the IPA folks made to us was that you could collect 2/3 of your guarantee tax free and still earn doing whatever else you wanted.

You CAN get another job as a school teacher, lawyer, male stripper or anything else you may want and that money is in addition to your LTD. I think the 10k limit has been increased though. Again,
I will check on it and post the update. I guess that's the incentive to not "lose your medical" though.

Well here's from your previous post:

"BENEFIT INTEGRATION APPROACH Offset for other earned income, full family Social Security and UPS/IPA Defined Benefit Pension Plan. NO offset for military pensions, military disability, NG/Reserve income, UPS/IPA 401k and Defined Contribution Pension plans, Individual or Association disability plans, personal investment income, IRAs, TSAs, and some limited personal business income etc."

Looks like other income is subtracted from the LTD payout except for military income. I'm no expert, but I guess that's what the term "offset" means???? Or maybe it's the other way - military disability is subtracted from the IPA LTD?



As far as it not being taxed, how is that even possible? Again, I'm no expert. I do however recall at the union dinner they were also selling the Pilot Mutual Aid stuff, which would add additional income about equivalent to the taxes you would pay on LTD. Maybe that's what was meant?

 

[AV80R]

...As far as it not being taxed, how is that even possible?...

I am no expert here but our LTD benefits are definitely tax-free. I actually think most similar LTD plans are; I know it was at my previous company even though the rates were much more expensive and we had several additional conditions on when we'd get paid, etc.

Anyways, several months ago I flew with a captain who's been on LTD for more than 3 years (heart issues - which he said were the norm in his family both on his and his wife's side). Well, I asked him about the LTD insurance, etc and he said it was the best thing he'd ever signed up for. In fact, even though his "income" was relatively lower during his medical ordeal, since it was tax-free, his paychecks were basically identical to what he'd been getting prior to getting sick.

...I do however recall at the union dinner they were also selling the Pilot Mutual Aid...

Mutual Aid helps out while you are waiting for the LTD to kick in, at least that's my understanding.