FedEx PPA Going Away

[MrFedEx]

Trump isn't doing any such thing, and you're deflecting. The Democrats always touted themselves as for the little guy but when serious cash was waved at them they deserted us. Should've known that if my hopes were counting on the Dems coming through for us I was going to be disappointed. After all they've promised many things to many groups to get their vote yet things never get better, except for their bank accounts. Why should we be the exception?

Whatever you say, Mr. Nunes.

 

[MrFedEx]

Can someone ELI-5 the changes here? I’ve only been at express for a little over 2 years now.

I think it means Eliminating Learning Initiative, Version 5, another one of Fred's visionary "plans" to keep employees dumb, uninformed and happy.

Dano graduated with honors.

 

[Serf]

What did they do to us besides give us sane government?

It's been anything but sane for years MrFedEx.

 

[DeliveryException]

WTF is ELI-5 some of us are old after all!

Explain (it) Like I'm 5 (yrs old).

 

[I am FedEx]

Yeah please ELI5 means explain like I’m 5. I don’t understand the changes.

 

[bacha29]

No doubt, but still doesn't change what the Democrats did to us.

Not only was Fat Freddy drowning the bill with money so were the trade organizations representing building contractors. Many of which are pariahs preying on the socioeconomic underclass of this nation to obtain cheap labor they must have in order to compete. When they couldn't get enough of it here in the states they looked outside the country.

 

[vantexan]

Oh my bad I misunderstood, your example so his/her balance is 100k and their income is 100k? Because I am pretty sure the 8% PPA credit is based on income. You're muddying the waters a little bit because you are then introducing another guy making 70k.



And sweet! 6% is honestly easy to hit. Anyone not doing that at the moment is kind of a fool. I am doing 9% just from my yearly automatic increases lol.

I realize some people struggle due to a myriad of circumstances, but this is an important thing to contribute to. Heck, you could even contribute for a couple years of matching then plunder the 401k and take the 10% hit and still come up ahead? Or am I wrong? I think the only other bad thing about that is that you are barred from contributing for a year after.

Edit: Not that I will be taking advantage. I am quite happy letting my contributions go up to 10% get the 3.5% match and keep my PPA...

I am also going to max my roth for the year, but not really sure what to do after that. I have about 10k set aside for a potential house down payment, but from what I've gathered funding the HSA to max (~3000 I think) is a smart choice.

The rules and regulations surrounding HSA's are pretty intimidating though, well that + the account options don't seem as plentiful/easy to use/cheap (seems most have fees).

Probably can't afford to save more after that even maxing the HSA might be a stretch.

Want to take another crack at this. Let's look at that $70k courier again. Under the new plan he'd contribute 6% and get 8% from the company. That's $4200+$5600=$10,000. Under the old plan the company would give him $5600 if he qualifies for 8%. If he has $100k in his account he'd get around $4k in interest. Plus in his 401k he'd put in $4200, 6%, to get the 3.5% match, or $2450. So $9600+$6650= $16,250. So yes, the company will save a significant amount. And $70k assumes an older, topped out courier in a higher payscale. I've worked in stations that pay less with little OT available. Those in low payscale, slow stations aren't going to see much of a retirement. Tough to contribute if you're supporting a family on $40k-$50k most of your career.

 

[zeev]

ppa goes away immediately new 401 k comes later don’t hold your breath.

 

[MrFedEx]

Want to take another crack at this. Let's look at that $70k courier again. Under the new plan he'd contribute 6% and get 8% from the company. That's $4200+$5600=$10,000. Under the old plan the company would give him $5600 if he qualifies for 8%. If he has $100k in his account he'd get around $4k in interest. Plus in his 401k he'd put in $4200, 6%, to get the 3.5% match, or $2450. So $9600+$6650= $16,250. So yes, the company will save a significant amount. And $70k assumes an older, topped out courier in a higher payscale. I've worked in stations that pay less with little OT available. Those in low payscale, slow stations aren't going to see much of a retirement. Tough to contribute if you're supporting a family on $40k-$50k most of your career.

That's the whole idea. With nearly 100 percent turnover it's almost a moot point, Devin.

 

[59 Dano]

I remember Obama on a political TV ad saying how he was going to sign into law "The Employee Free Choice Act." This would have given millions of workers more power to join unions without the typical retaliation many employers target employees with.

There is a two-part process in place, of which one part is a secret ballot to vote in favor of or against joining a union. The act would have eliminated that part and and left the other part -employees publicly sign that they want to vote for a union- in place. Rather odd choice to get rid of the secret ballot instead of the other...

 

[bacha29]

Whatever you say, Mr. Nunes.

He's in denial. The longer the hearings go on the worse it looks for Dear Leader. Will the Senate vote for impeachment? Not likely but I believe the reason that the House is trying to get the charges into the Senate as early as possible is perhaps those senators who vote no will decide not to seek reelection given that a no vote will unquestionably hurt their chances for reelection.

 

[MrFedEx]

He's in denial. The longer the hearings go on the worse it looks for Dear Leader. Will the Senate vote for impeachment? Not likely but I believe the reason that the House is trying to get the charges into the Senate as early as possible is perhaps those senators who vote no will decide not to seek reelection given that a no vote will unquestionably hurt their chances for reelection.

Agreed. No chance the Senate will convict unless someone big flips on Trump or they connect direct lines to the Kremlin. The impeachment was a big show for both sides that probably didn't change any minds, which is amazing since the evidence against Trump was overwhelming.

There's a lot more to be found once the rock is turned over and the cockroaches get hit with some sunlight.

 

[bacha29]

Agreed. No chance the Senate will convict unless someone big flips on Trump or they connect direct lines to the Kremlin. The impeachment was a big show for both sides that probably didn't change any minds, which is amazing since the evidence against Trump was overwhelming.

There's a lot more to be found once the rock is turned over and the cockroaches get hit with some sunlight.

The Trump campaign and presidency has been scandal after scandal after scandal, each one more egregious than the last. Only this time it involves the use of government assets in the pursuit of personal political benefit. Will it change the minds of the Senate? Not likely and he'll probably be reelected.

But, if you notice every scandal that he's managed to dodge usually by hanging the blame on some other poor slug it seems to embolden Trump. God only knows what he'll try to get away with in his second term and what kind of damage he could do to vital US interests in the process.

 

[MrFedEx]

The Trump campaign and presidency has been scandal after scandal after scandal, each one more egregious than the last. Only this time it involves the use of government assets in the pursuit of personal political benefit. Will it change the minds of the Senate? Not likely and he'll probably be reelected.

But, if you notice every scandal that he's managed to dodge usually by hanging the blame on some other poor slug it seems to embolden Trump. God only knows what he'll try to get away with in his second term and what kind of damage he could do to vital US interests in the process.

Absolutely. He'll sell anybody down the river, including the entire country, as long as he benefits somehow.

Horrible human being. Kind of like 4D Fred.

 

[Preventable]

Want to take another crack at this. Let's look at that $70k courier again. Under the new plan he'd contribute 6% and get 8% from the company. That's $4200+$5600=$10,000. Under the old plan the company would give him $5600 if he qualifies for 8%. If he has $100k in his account he'd get around $4k in interest. Plus in his 401k he'd put in $4200, 6%, to get the 3.5% match, or $2450. So $9600+$6650= $16,250. So yes, the company will save a significant amount. And $70k assumes an older, topped out courier in a higher payscale. I've worked in stations that pay less with little OT available. Those in low payscale, slow stations aren't going to see much of a retirement. Tough to contribute if you're supporting a family on $40k-$50k most of your career.

You know 401Ks generally grow too? You can't give that 4k to the PPA example then assume 0 growth in the 401k. In fact you will generally gain more than 4%. Yes you can lose your hide in the short term if you make some speculative investments, but if you can spend 10 years in the market and aren't dumb you should beat 4% 99% of the time. You will be hard pressed to select any 10 year period where the S & P 500 didn't return more than 4%, even if you bought at a peak right before a crash.

That being said yes it would be ill advised to switch to the 8% match if you are receiving an 8% comp credit, but if you get hired tomorrow and are 21 it is not a cut and dry decision. You are going to be receiving a 5% comp credit until you are ~37 years old+3.5% (8.5%) match VS the proposed 8% match. If you plan on being with FedEx for 35+ years or whatever assuming they don't yank it later anyways yes you should probably stay in the PPA. If you only plan on staying for 5-10, then there is a definite possibility you will come out ahead under the new scheme.

And if you are like me who spend 2 years part time with no pension, but utilizing 401k even better. I am not saying this isn't going to save FedEx money, but I don't think this is as devious as you guys are making it out to seem like when they took away the traditional.

 

[vantexan]

He's in denial. The longer the hearings go on the worse it looks for Dear Leader. Will the Senate vote for impeachment? Not likely but I believe the reason that the House is trying to get the charges into the Senate as early as possible is perhaps those senators who vote no will decide not to seek reelection given that a no vote will unquestionably hurt their chances for reelection.

I'm in denial? Can you name one witness who presented actual non-hearsay evidence?

 

[vantexan]

You know 401Ks generally grow too? You can't give that 4k to the PPA example then assume 0 growth in the 401k. In fact you will generally gain more than 4%. Yes you can lose your hide in the short term if you make some speculative investments, but if you can spend 10 years in the market and aren't dumb you should beat 4% 99% of the time. You will be hard pressed to select any 10 year period where the S & P 500 didn't return more than 4%, even if you bought at a peak right before a crash.

That being said yes it would be ill advised to switch to the 8% match if you are receiving an 8% comp credit, but if you get hired tomorrow and are 21 it is not a cut and dry decision. You are going to be receiving a 5% comp credit until you are ~37 years old+3.5% (8.5%) match VS the proposed 8% match. If you plan on being with FedEx for 35+ years or whatever assuming they don't yank it later anyways yes you should probably stay in the PPA. If you only plan on staying for 5-10, then there is a definite possibility you will come out ahead under the new scheme.

And if you are like me who spend 2 years part time with no pension, but utilizing 401k even better. I am not saying this isn't going to save FedEx money, but I don't think this is as devious as you guys are making it out to seem like when they took away the traditional.

They certainly do grow in favorable conditions. But if you switch to the 401k only option you are just getting a 4.5% match over what you would get anyways with the old plan, and you completely give up the company paid PPP. Either way it's not nearly as good a deal as the traditional. Speaking of which, we were given a choice to stay in the traditional or switch to the new PPP. They went to great lengths to convince us how wonderful the new plan was. Those that took the bait weren't give the extra compensation credits for 5 years like those of us who were forced into the new plan were given. Now the company is giving a choice again. You might want to wait to see if they force you into the new plan down the road instead of jumping into it now. Might cost you thousands in compensation that they don't give to those who freely take the new plan. Wouldn't surprise me at all if the company feels enough time has gone by since 2008 and the couriers who were affected then are mostly gone.

 

[Serf]

Tough to contribute if you're supporting a family on $40k-$50k most of your career.

*Impossible to contribute if your living off 40-50k. I was driving around yesterday getting buried with on calls thinking in the back of my mind about that statement on the PPA. It's a "notional" account. More of a way for Express to have a record of your money. Without actual money in the account.

 

[Meat]

1. I'm in denial? Can you name one witness who presented actual non-hearsay evidence?

Sondland’s testimony is by no means hearsay.

His personal interaction with the president substantiates all of the accusations that are clearly depicted in the transcript of the conversation between Trump and Zelensky.

The Republicans are going about this all wrong. Instead of pretending public hearings are an unjust way of adjudicating this matter, why not just concede “some mistakes were made” and argue that the infraction does not rise to the level of impeachment?

Most of the general public has checked out of the political process at this point (those living below the median income line know they’re ed, regardless of which party is in office), and this matter would have been soon forgotten if the Republicans would have taken a different approach.

 

[bacha29]

Absolutely. He'll sell anybody down the river, including the entire country, as long as he benefits somehow.

Horrible human being. Kind of like 4D Fred.

I told you guys when he ran that his intent was to use the powers of the presidency to enhance his ability to make deals that will profit him and his family. His refusal to place his assets in a blind trust or to release his tax returns claiming that they were being audited makes that point abundantly clear. Here we are 3 years later and they're still being "audited" . This has to be the longest audit in the history of the Internal Revenue Service.

Presidential accountability you say? His only accountability is to himself.

A booming economy you say? Take a look at what Bridgewater the world's largest hedge fund did yesterday.