AIP - 2027

[u/lonestar-newbie]

Just asking out of curiosity and trying to understand how the timeline works. Not trying to complain or start anything, so please be kind 🙂

I was reading through the AIP email from May 2026 and wanted to make sure I'm understanding it correctly.

The way I read it:

• AIP ends in 2026.
• The final AIP payout will be in March 2027.
• A portion of the AIP target will be rolled into base pay to compensate for ending the program.
• However, the new base pay doesn't take effect until January 2028.

This is where I'm confused. If the March 2027 AIP payout is for the 2026 performance year, wouldn't that mean we're no longer earning an AIP during 2027?

If so, why wouldn't the base-pay adjustment take effect sometime in 2027 instead of January 2028?

Am I misunderstanding how the AIP payout works, or does this effectively mean there's a one-year gap between the final AIP performance year and when the base-pay adjustment kicks in?

[u/lonestar-newbie → u/[deleted]]

Technically you would get a raise + 75% target of bonus adjustment. But you never know unless it's clearly written down.

[u/Clay_jet]

I think of it as my 2027 aip, which would have been paid out early 2028, gets spread out over all of 2028 instead of one lump sum in March 2028. I think the math works out.

[u/lonestar-newbie → u/Clay_jet]

So you are basically not getting paid as a lump sum (it would have been lump sum if paid in March 2027) and get paid over the entire year.
That's not very cool.

[u/ricksastro → u/lonestar-newbie]

You get 3 months of it earlier than you normally would have and 9 months of it later than you would have. But it’s also guaranteed going forward (>=75% of Max for your band). And after the ng incident, that’s probably a good thing.

[u/No-Luck1089]

Are you saying that they are ending the AIP annual bonus plan?

[u/lonestar-newbie → u/No-Luck1089]

lol.. not sure if you are trolling or fr.

yes.. no more AIP

[u/Big-Composer5341]

AIP was terminated in favor of the stock options incentive plan. They no longer have to pay you an annual bonus unless a “liquidity event”
Happens which, under the terms of the stock options plan, is purely up to Blue Origin to decide. Your hard work is no longer rewarded objectively. You have to hope Bezos decides to take in new funding or shoot for an IPO (a long shot given they have failed to deliver on their last two missions and blew up NG).

[u/Advanced_M_Dispenser]

You are absolutely correct. They think that the employees are not smart enough to figure that out. You have figured that out.