Date: 201209
Location: TEB.Airport, NJ
Flight conditions: VMC
Light: Daylight
Aircraft: BAe 125 Series 800
Operator: Corporate
Operating under: Part 91
Flight plan: IFR
Mission: Passenger
Flight phase: Initial Climb
Airspace: Class B EWR; Class D TEB
ATC / advisory: TRACON N90
Reporter organization: Corporate
Reporter function: Pilot Flying; Captain
Reporter qualification: Flight Crew Air Transport Pilot (ATP)
Human factors: Situational Awareness; Distraction; Human-Machine Interface
Second reporter function: Pilot Not Flying; First Officer
Anomaly: Deviation - Altitude Overshoot; Deviation / Discrepancy - Procedural Published Material / Policy; Deviation / Discrepancy - Procedural Clearance
Detector: Person Air Traffic Control; Person Flight Crew
When detected: In-flight
Result: Air Traffic Control Issued Advisory / Alert; Flight Crew Became Reoriented; Flight Crew Returned To Clearance
Contributing factors: Human Factors; Procedure; Airspace Structure
Primary problem: Human Factors

Narrative: I briefed the First Officer; the pilot not flying; for this leg on the RUUDY 4 Departure and noise abatement takeoff profile from Runway 24 at TEB. In the brief I noticed he had already set 1;500 FT in the altitude preselect. I suggested we dial in 2;000 FT instead and arm VNAV since there is a short distance (2 miles) from WENTZ to TASCA to go from 1;500 to 2;000 FT. On the RUUDY Four Departure off of TEB I overshot the 1;500 FT altitude prior to WENTZ by 200 FT. I was following the flight director and it seemed delayed with the level off. I had taken my eye off the Altitude to make an adjustment to power and speed for the noise abatement climb. My power and speed were both a little bit lower than profile. (This was a bad time to make that adjustment). I also did not have the normal altitude Preselect Altitude Bug at 1;500 FT on the altitude tape that I am used to seeing since it was up at 2;000 FT. I started the correction at 1;600 FT; with passengers on board and was trying to have their comfort in mind and reached 1;700 FT before the decent was started quickly to 1;500 FT. In that decent at about 1;550 FT; ATC said we should be at 1;500 FT and they show us high. The First Officer said we were correcting. We were then giving a turn to heading 270 and climb to 6;000 FT.I could set the Preselect Altitude Bug at the next altitude and after passing that fix set it to the next higher or lower altitude and not use VNAV. Or if using VNAV [I could] turn auto-pilot on at the appropriate altitude to use the automation and monitor the aircraft. ATC seems to do a frequency hand off on this departure at a bad time so the First Officer has to take his eye of monitoring. If ATC could find a better time for a hand off the First Officer might be able to catch a potential altitude overshoot before it happens.


Second narrative: On departure out of TEB; we were assigned the RUUDY 4 off Runway 24. Before taxi out; myself and the Captain reviewed the departure and mentioned that the altitude selector can be put to 2;000 FT MSL; but if you arm VNAV; it will level at 1;500 FT MSL until the proper time and then continue climb to 2;000 FT where it will level. I commented that it makes sense; but I have never done it before that way; so we agreed to keep a close eye on it to make sure the plane does as we expect. On departure it all seemed to go smoothly; and at approximately 1;300 FT MSL we were given a frequency change to departure. I looked down to verify the frequency I had in standby was correct; and then pressed the button to turn it to active frequency. As I did that; the Captain commented on the flight director not being correct; and began a sharp decent. I looked at our alt at this time and noticed 1;650 FT indicated in a decent (to recover 1;500 FT) at this time; Departure called us to remind us the altitude we were supposed to be at. I acknowledged the transmission at which time were already level at 1;500 FT. Then ATC instantly cleared us to a northern heading and 6;000 FT which we climbed/turned to; and continued to destination with no other abnormalities.We discussed this as a crew en route and decided that the use of VNAV on that climb was a poor decision and we would probably not do that again without some sort of formal training beyond '... Or you could use VNAV; whatever. Ok moving on...' I see how theoretically it should work; but so far it hasn't proved to be an effective method. Personally I will be doing what I have done to ensure the level off; which is have 1;500 in the altitude selector until it is captured on the RUUDY departure.


Synopsis: Hawker 850 flight crew reports exceeding 1;500 FT prior to WENTZ on RUUDY 4 departure from TEB while attempting to use VNAV with 2;000 FT set in the altitude preselect (MCP).