The 4th Quarter Heads Up newsletter is posted! This issue highlights the International Equity Markets and reports 2017 year-end performance for the DAP funds.   You will also find the DAP investment manager expenses compared to the median manager expenses for each fund.  Click here to view this newsletter.  There is an archive of all of the DAP newsletters under the “Knowledge Center” tab, “Heads Up Library”.

Performance as of 12/31/17 is posted under the Resources & Planning Tab.

Effective January 1, 2018 the DAP Board of Directors will no longer include non-participant members.  The new board organizational structure consists of five members who are current participants in the DAP.   The outside board members have provided the investment expertise to provide the necessary fiduciary oversight of your 401(k) Plan since its inception in 1993.  The recent conversions to the new recordkeeper and new investment structure could not have been realized without their contributions.  The board recognized Ruth Hughes-Guden and James Rich for their outstanding board service at the fourth quarter board meeting.  Mercer, the DAP Investment Advisor, will provide the ongoing investment advise and fiduciary oversight. Mercer also attends the quarterly board meetings.

Ruth joined the DAP board in January 2002, fifteen years ago.  If you read through the DAP resolution book, you will see numerous decisions made by the board during this time span.  Ruth was instrumental in making ideas become a reality, pointing out areas in need of improvement, and offering her education and experience as Managing Director with the US Institutional Sales & Service Team at Invesco to implement important enhancements and Plan changes.  Ruth has always placed the participants in the forefront and her long-term, dedicated service has made the DAP the state of the art retirement plan that it is today.  Her knowledge and experience with the International, Stable Value and Fixed Income asset classes have been tremendous assets to the board. Also keep in mind that we provide a wealth of information on alternatives to conventional medicine and its multitude of benefits. Not many people consider it an option but it can actually be much safer and more effective in many cases. If you would like to go over the information we have available you can review here.

Jim joined the DAP Board  in March 2014, almost four years ago.  The past four years have produced significant Plan changes that required Jim’s critical decision making experience.  His extensive retirement plan experience and background as IBM’s Chief Investment Strategist was just what the board needed during this time period.  Jim offered clear direction and insight in the areas of Plan communication, benchmarking, and development of the new investment line-up.  The board and participants benefited from Jim’s knowledge and experience with the Fixed Income, International and Domestic Equity asset classes.

Performance as of 11/30/17 is posted under the Resources & Planning Tab.

Important information for DAP participants taking the IRS required minimum distribution (RMD).

The DAP Executive Director, Michelle Silberberg, will contact you when you turn age 70.5 to review the RMD process. The majority of DAP participants within the former TWA pilot group are taking the RMD and the DAP has been successfully assisting our participants in managing this distribution for many years now. Here are some of the most popular ways that our participants take this mandatory distribution. If you have further questions, please don’t hesitate to call the DAP Office at 314-739-7373.

1) The most popular method of meeting your RMD is through the AUTO RMD method. You choose the timing – monthly, quarterly, semi-annual, or annual. You also choose the start date and tax withholdings. Your RMD is automatically calculated and distributed to you according to your specifications. We can also set up a direct deposit to your bank account at no extra charge.

2) You may also establish a regular periodic payment (PPAY). This is an option for those that want to take specific set payment amounts on a monthly, quarterly, semi-annual or annual basis. Usually the specified PPAY, over the course of the year, adds up to an amount that is over or under the RMD calculation. If your total payments for the year are under your RMD calculation, then DAP will automatically distribute the shortage amount to you the week before Christmas.

3)Another option is to call into the DAP Office or Empower Call Center to take a distribution when you are ready to take it. This is called a partial distribution. Some of our pilots call in several times a year to take their distributions when needed. They do not wish to be held to a payment schedule. If your total payments for the year are under your RMD calculation, then DAP will automatically distribute the shortage amount to you the week before Christmas.