I will work beyond Normal retirement age
When you reach your Normal Retirement Age, you will have four choices, which are described below.
Carry on paying into your BA pension.
If you plan to work beyond your Normal Retirement Age, you will automatically continue paying contributions to the Scheme. The extra service after Normal Retirement Age for which you pay contributions, plus any pay increases you receive after Normal Retirement Age will be included in your pension calculation.
Stop paying into your BA pension
You can choose to stop paying your pension contributions either exactly at Normal Retirement Age or at some later date of your choice. Your pension is calculated at the time you stop paying contributions using the Basic pension calculation.
You may choose to keep your pension aside as a 'crystallised pension'.
If you crystallise your pension, no further service or pay increases are added to it. You then get an additional pension for Pensionable service between the date you stop your pension contributions and the actual date you retire. This additional pension is calculated as a percentage of the pension that's been kept aside for you. There is a choice on how elements of this additional pension will increase once it is in payment for members with service built up before 1 April 1997. This affects the amount of additional pension that is paid.
If this option applies to you we will send you more details before your Normal Retirement Age.
Opt out of the Scheme
You can cease your active membership by electing to opt out of the Scheme. Once you have opted out at any time after your Normal Retirement Age, you have choice to defer drawing your pension to a later date (called a 'deferred pension') or drawing your pension whilst remaining in employment. If you choose to defer your pension after your Normal Retirement Age (up to a maximum of age 75), a late retirement increase will be added to your pension, instead of the standard annual increase in line with the government's Pensions Increase (Review) Orders, until you decide to draw it. The late retirement increases applied whilst your pension remains deferred may differ from those that are applied whilst your pension is crystallised.
If you opt out of the Scheme, you will not be allowed to rejoin APS. If you are an APS member who changes occupational category (for example a pilot or cabin crew member who changes category to ground staff and remains in employment after Normal Retirement Age) you may, subject to BA’s consent, join the NAPS Scheme for future pensionable service. If consent is granted, a prospective NAPS joiner will also need to satisfy the Scheme's medical advisers prior to being admitted to NAPS.
At retirement, you have some payment options such as exchanging part of your pension for a tax-free Lump sum. Thinking of retiring
Transfer your BA pension to another scheme at or after Normal Retirement Age.
If you choose to defer drawing your pension (either by opting out of the Scheme or upon leaving BA you can transfer your pension to an alternative arrangement of your choice. If you opt out you will not be able to re-join APS and you will not be covered for death in service benefits.