Dear American Airlines Pilots and FAs,
If you are over 50 years old, you will want to pay attention to this. It has come to our attention that the there was a small hiccup in the transition between JP Morgan and Fidelity as it relates to your 401k plan. It only affects those participants over 50 years old. For participants that previously had selected to contribute the additional “catch-up” contribution, you need to re-enable that feature on the Fidelity website. We have spoken to numerous AAL employees that thought that they were contributing up to the full $24k limit (18k standard + 6k catch-up), only to find out that they only contributed the standard 18k in 2016. While we see it as unlikely that you will be able to go back and contribute the catch-up for 2016, you certainly can adjust your deferral rate in 2017 to make sure that you take advantage of the full tax deferral benefit.
If you have any questions, please do not hesitate to ask. Given the number of AAL employees that we serve, we come across a lot of unique situations. We will do everything we can to help answer your questions or guide you in the right direction.
If you are an EZTracker Subscriber and have not already utilized the Risk Tolerance Assessment tool we built, please click HERE to access it.
-Friedenthal Financial Team