Contractual Early Retirement Pension (AFP) for employees born in 1962 and earlier
This Contractual Early Retirement Pension (AFP) applies to employees born in 1962 and earlier. You can retire with AFP at the earliest when you turn 62.
From age 62 to 65, the AFP is calculated based on the National Insurance Scheme, plus an AFP supplement. From age 65 to 67, the pension is calculated as an ordinary occupational pension (the gross scheme). If the calculation for the period 62 to 65 yields a higher benefit, you retain that level also after age 65.
At age 67, the AFP ceases and transitions to an ordinary retirement pension, calculated according to the rules of the bank's pension scheme. The retirement pension is administered by the pension fund. If your retirement age is 68 years, you transition to an ordinary retirement pension at age 65.
Conditions for AFP
For an employee to be entitled to AFP at Norges Bank under these provisions, all of the following conditions must be met:
- the person must be an employee at the time of withdrawal
- the person must have earned income at the time of withdrawal that exceeds the National Insurance basic amount
- in the year before AFP is drawn, earned income must have exceeded the basic amount
- the person must have accrued pension points in the National Insurance Scheme for at least 10 years from age 50 up to and including the year before the withdrawal year
- the average of the 10 best pension points must exceed 1.00
Guidelines for AFP
It is not permitted to draw retirement pension from the National Insurance Scheme simultaneously with drawing AFP. An annual settlement is carried out, and AFP is reduced if you exceed a tolerance amount (0.26 G).
Employees who draw partial AFP may later draw full AFP. Notification must be given no later than three months before the withdrawal date. AFP ceases if the person completely stops working before age 65 and transitions to pension from the pension fund.
Should an AFP pensioner become disabled after drawing AFP, the person is obligated to apply for disability benefit from the National Insurance Scheme. Any benefit from the National Insurance Scheme will be subject to coordination with AFP.
If an AFP pensioner is already receiving a survivor's pension from the National Insurance Scheme, this is subject to coordination.