RSP 085 5/18/07 The RSP Periodic Email Archive: With somethings old, somethings new, somethings borrowed and sometimes blue! Please realize that the focus of RSP was never intended to be a pension mess. When this is over and done with, I will direct this email and website in a lighter direction. I post almost every email that I receive, with last names removed unless granted permission. The editor does not always agree with contributors, but protects their right to share opinion. It is my policy to not allow in the main body of this newsletter any direct solicitation from my business or any other pilot's 2nd career business. We will only share info that we think our community will find pertinent and enjoyable. Thank you for staying in touch and happy retirement! The following are the RSP email archives that I still have, complete with grammar and mis-spelled SNAFU's! Dear Retired Delta Pilot, Fidelity Packages: Everything OK? You should either have a new account created (that needs to be activated and can be online) or DAL has located and will use your existing "individual" Fidelity brokerage account (no activation required). Mark: It was great to see you and Barb again at the wedding. I only wish we had more time to talk about . . . well, you name it. Well here is a little one you may be able to help me with. The person I talked with at Fidelity gave me the following number as a point of contact for BSI: 866 271-8924. It turned out to be a recording requesting a pass word. Didn't even identify the company just that it was a "conference calling center." If you have a phone number for BSI would you pass it it along. I just want to find out if us guys with less than $100K in DAL claims will be getting a check sent to our bank or if we still need a Fidelity accont.Stay in touch!!! Thanks G G thanks; here are some phn numbers for you and the ring: If you do not have a stock claim that will be distributed and you are receiving cash in the form of a check, then disregard this Fidelity account info. Have further questions you can try Fidelity at 800-544- 6666 or BSI at: Delta’s bankruptcy services agent, BSI: 310-838-8020 or 866-686-8702 With this system, many of you who are traveling or out of the country can possibly still get this account activated for your stock dump. Without having to physically sign documents and wait on the US mail service. +++++++++++ 5-16-07 Thanks, Mark - hope so. I called Fidelity earlier this month and asked for the "Delta specialist" and after several holds, I spoke to a guy who claimed he was the Delta guy and knew all about the new accounts. He said that existing accounts were no good for this, and that another one would show up. Guess I need to try and get back to him. Regards,Denis Editor's Note: According to the latest packet info from Fidelity as DAL's custodian in this, they can indeed utilize an already established individual account. (I wish they would have told us that months ago). They will use it if they can, which will mean you may not have to jump through any hoops. +++++++++++++++++++++ Mark, 5/17/07 You know better than I that keeping up with this Delta bankruptcy is a full time job. Since I have a full time job I don't always keep up as well as I need to. Anyway, I just spoke to Amanda at BSI (866-271-8942) and found out that those of us receiving $2,000 - $100,000 (and requested cash in lieu of stock) will be receiving a "check in the mail" toward the end of May / first part of June. Those of us in this group will not receive nor need a Fidelity account. I have a number of Fidelity accounts and was wondering why my "new" account that needed my activation was not showing up. I'm probably the only retiree out there that didn't know this but thought I would pass along the info anyway. See ya, Mike Editor's Note: Mike spells it out better that I ever could. If you do not have a stock claim coming you do not need a brokerage account with Fidelity. If they create one by mistake, wait a little while after all distributions are complete and then cancel the account. ________________________________________________________ DAL NEWS/RUMORS: (DAL AJC, DAL Yahoo,) ________________________________________________________ CALENDAR: May 15th - Fidelity (packets and login instructions) starting to arrive May 21st - Fidelity and BSI states the claim distributions will begin. June 1st - DP3 Trustee ballot deadline. Click here for ballot: http://www.dp3.org/data/2007ballot.pdf ________________________________________________________ FINANCE: CLAIMS/PBGC/HCTC/ INSURANCE/PLANNING/TAX/ESTATE/ ++++++++++++++++++++++ Stock Warrants: thanks Dave 5/16/07 I've been out of town and up in MSP with a new Granddaughter for the past couple weeks. I just checked my home phone voice messages and there was one about the Warrants that were issued to us in January 2006. I returned their call (1-800-292-6069) and was disappointed about their response to my question if the Warrants issued in the Delta Air Lines, Inc, ERISA Litigation would be good for the new Delta stock. They did not know and said they didn't have any information about that. To get an answer to my question they suggested I contact my financial advisor. So back to square one on the Warrants question. Oh Mark, as a point of interest, being up here in MSP the local newspaper has a lot about Northwest Air Lines. The other day they reported that the merger information and talks it had with Delta Airl Lines about a merger would be sealed and not part of their bankruptcy proceeding because of the sensative business info it contained. A group of the creditors though, feel that the merger talk info is relative to the value of Northwest and they want that info. The judge is going to rule on that soon. Thanks for the info about Fidelity. Since we won't be home for a while yet I was able to activate my account for the Delta settelment on line. Thanks for the great job and all the info too!! David W. Skjerven Editor's Note: Again, until proven otherwise by some miraculous legal action the warrants issued apply to the old stock and are worthless. ____________________________________________________ TAX-FICA: Back to the future 5/16/2007 Remember this FICA is only applicable to the more recent retired pilots who experienced over withholding. From the Questions and Answers Re: Confirmation and Distributions (DP3 Site) 10. What does the confirmation order say about FICA taxes? Answer: The confirmation order does not specifically address FICA taxes. It provides in general that Delta will comply with the requirements of all taxing authorities for federal, state or local taxes. According to Delta’s counsel, FICA taxes will be withheld from the medical benefits claims. For pilots who retired prior to 9/1/05 there will be no FICA withheld on the Nonqualified pension termination claims. Pilots who retired after 9/1/05 will have FICA withheld from their pension termination claims since none was withheld at the time of retirement. Important Editor's Note: If the above is true and actually happens, AND your remedy covers your over withheld tax, THEN the below FICA appeal info is null and void. I am re-printing just in case. 11. Can we get a refund of FICA paid on the retirement imputed income since more was withheld than we got in this claim? Can we get a partial refund? Answer: DP3 recommends that you consult with you tax advisor on this issue to determine whether seeking a refund is in your best interest. ++++++++++++++++++++++++ Most of the FICA links don't open: Sorry, the page you requested does not exist or has been moved. Please check to make sure that the URL you entered is correct. Any chance of a fix to that ?? Bill Yes! My Bad again! I copied and sent to you the FICA docs with some bad links from my first email on the subject. I fixed that in the next RSP, but did I find that issue and copy the good links?.......NO! So my apologies. Here is the re-print that should all have valid links. Remember, wait a few days until you see the with holding on the distribution and if DAL doesn't do the right thing, then if it doesn't fully remedy your over withholding, start the appeal. Re-Print of FICA Forms For those who may have missed it: I got far too many requests like Fred's to answer individually. Since I have no success placing attachments on mass emails, I have come up with a fix. These pages are now available through links, published on private pages of which you are the only ones privy to the address. Click on links below for the private pages of forms used by Steve for his FICA refund: Hi Mark - that's all. For clarification: Form 843 is a pretty simple form, not much to it. It can be downloaded at irs.gov. http://www.irs.gov/pub/irs-pdf/f843.pdf SPECIAL Note: I replaced the harder jpg files with pdf ones. They should be easy to click and PRINT. 1) copies of the relevant paystubs included the last regular paycheck with the excess FICA payment, and each of the retired NQ paystubs. 2) this internal memo was in the huge retirement paperwork packet from D. Final Pay Stub memo: http://rsp.homestead.com/Final_Paycheck_Memorandem.pdf (see note above) 3) this letter from Kight was mailed to my home and old news by the time I got it, just part of the formal notification process. http://rsp.homestead.com/letter_to_cease_non_qual.pdf/ Torpey termination confirmation: http://rsp.homestead.com/Torpey_on_Overwithholding.pdf (see note above) 4) this letter was one my tax guy asked me to write to him explaining all that had happened. Basically, I was just stating my case, including saying the exact numbers involved, as evidenced by which boxes on the paystubs, and finally my computations (ie. at 1.45%) of how much refund I was due. Box 5 on Form 843 allows for an explanation of why you you want the refund. Because my letter was attached, that was left blank. But for anybody just filling this out themselves, they could probably just put all their explanation here. http://rsp.homestead.com/Steve_Cover_Letter_to_IRS.pdf (see note above) Check out the OH Anthem/Blue Cross plan that is approved for HCTC: http://rsp.homestead.com/OH_Qual_Plan.pdf Mark, " For those that do, I thought DAL was going to make some attempt at reconciling, but that is not the case." I thought Delta was NOT going to withhold FICA from the stock payout and call it a "draw". Have they changed their minds? I do know they WILL withhold FICA from the Medical stock payouts. Where do we stand today on May 15 2007? M +++++++++++ Mark, Thanks for your informative emails. Without someone looking out for us, we'd all be even more screwed than we are now.I'm having a hard time following this FICA overpayment thing but would like to understand it to be sure the tax thieves don't get more of my money than they should. I THINK I remember someone saying that we shouldn't try for refunds yet until the bankruptcy claims have been paid and taxed because FICA might not be withheld from claim payments to offset the overpayment on our final paychecks. Did I dream this or is it accurate ? Seems a bit far-fetched. I've searched DP3 but can't find anything on this if it's in there. I read the email from the guy in IAH who had success getting his money back. He talked about providing documentation to the IRS. What documentation would that be ? As far as I know, all I've got is my final paycheck stub. I retired in Sept/03 and have tried to keep all the letters I've received concerning retirement and bankruptcy but still feel I don't know as much as I need to know about all this. Bill Bill and M are correct. At one time I was putting out that DAL has promised as in the ALPA memo to address this problem and DP3 Q & A still says that. I am just a little skeptical about it. Listen, I may be wrong again. DAL may still make it right (or attempt to with our stock distribution) and not withhold FICA on our stock claim trying to remedy their overwithholding. After all that was the agreement in the memo that DAL and ALPA struck. But I my confidence is shaking a bit. If you care to wait a few more days to see -----that is just fine. The rumor is the claim distributions will begin on the 21st. I simply publish more info about filing for a refund by pilots who have been successful simply as a reference should you choose to go after it and seek a refund of tax you overpaid. ++++++++++++++++ This is a sample of some emails that I have received with a request for the IRS contact person: HI Mark! Thanks for the updated info in RSP 084 about the FICA refund info from Bob and his success in getting his money back from the IRS.Any chance that Bob would be willing to share the name and contact info (tele number) of the Tax Payer Advocacy Office person he used in the Houston office? Might make it simpler to deal with this one person than having to "educate" a lot of IRS people to our plight. Thanks again for all your efforts Mark! Sincerely, Fred Editor's Note: Bob Carmical has released his private contact info to be contacted directly on this issue and will provide his IRS contact as well. T Mark, I do not mind passing along my contact information, or my IRS contact. (There is still a lot of the old LLCP in me I guess). Robert L (Bob) Carmical Jr firstname.lastname@example.org As I said in my e-mail the IRS agent is on vacation this week. I plan on contacting him next week, to get the specific citation from the code that allowed for the refund. The "Tax Payer Advocacy" may have some rules about direct contacts with agents, but I will find out. I will be happy to help as I can. Please recall that Steve was our first success story and he is also willing to help in this area. Many thanks to both Bob and Steve. ____________________________________________________ General Claims question; Mark, Could you clarify for me the time line difference, if there is any, between when the cash claims (for instance medical) will be distributed versus the claims that will be distributed in the form of delta stock (for claims over $100K). I am assuming the Fidelity accts., due the latter half of this month, will be utilized for both? As an aside, how soon will the PBGC be receiving their claims and when would you expect that to be reflected in a revised (increased) PBGC payout to retirees? Thx, Steve Steve, I think you probably already have seen the answer. The checks will be mailed. The Fidelity account is for the stock distributions, if any. The PBGC took their time and conducted responsible installment sales at UAL beginning about one year later. I believe we may see something similar. _______________________________________________ Check out your adjusted claim amounts inside the schedules below. 6024 4/27/2007 Amended Schedules filed:, Schedule F filed by Damian Schaible on behalf of Delta Air Lines, Inc.. (Attac Schedule # (2) Schedule # (3) Schedule # (4) Schedule # (5) Schedule # (6) Schedule # (7) Schedule Schedule # (9) Schedule # (10) Schedule # (11) Schedule # (12) Schedule) Debtor: Delta Air Lines, Inc. Related: none ____________________________________________________ HUMAN INTEREST: You must see this about John Minabary: Jeff Foxworthy Helps Give One Man a Legacy of Laughter (Click below) http://www.myfoxatlanta.com/myfox/pages/Home/Detail?contentId=3227927&version=1&locale=EN- US&layoutCode=VSTY&pageId=1.1.1 ______________________________________________ OTHER AIRLINE: (AMR, UAL, CAL, LUV, NWA, USAir) My friend Marc says this JetBlue situation becomes an opportunity for the big D. Blue has a great JFK terminal, 100 seat airplanes and fumbling operations. Hmmmmmm! Don't Buy Those JetBlue Merger Rumors By Ted Reed TheStreet.com Staff Reporter 5/17/2007 12:14 PM EDT Unions Oppose Northwest Exec Pay Plan Thursday May 17, 7:05 pm ET _________________________________________________ MISC EMAIL CONTRIBUTORS: Subject: Ellen DeGeneres/767 5/17/07 OK , let me think......Ellen DeGeneres show on a DAL 767 scheduled towards the end of May. Isn't that the time we are suppose to get our shares of DAL stock. What will it be worth after that??? Delta surely is still trying to screw the retired DAL pilots. Thanks also to ALPA. Did I work for the Greatest Air Line or was it just a Dream?? Dick Hendrickson (you can use my name) What would Mr. Woolman be thinking? ++++++++++++++++++++++++ Mark, Thank you very much for passing on the latest information on recovering our FICA dollars. I appreciate your time and your newsletter. Jesse +++++++++++++++++++++ Mark, thank you for your updates. I do appreciate them. Interesting about your father flying Beaufighters. I just got a copy of a magazine called 'The Logbook' It has an article about the aircraft and it's uses during WWII. I would be happy to send it to you or your father if you like. Just send me an address and I'll drop it in the mail. Thanks again, Bob _________________________________________________ TRAVEL: no entry _______________________________________________________________ HUMOR: _________________________________________________ That all for this RSP issue! Until next time. Tailwinds Always, Mark Sztanyo 859-916-0259 email@example.com "Airspeed, altitude, or brains; you always need at least two."
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