U.S. Office of Personnel Management - Ensuring the Federal Government has an effective civilian workforce

The implementation of premium conversion is effective with the first payroll period beginning on or after October 1, 2000. No retroactive adjustments to taxable income may be made for any FEHB premiums deducted from pay prior to October 1^st.

On-board Employees

For most eligible employees, premium conversion becomes effective on October 8, 2000 [pay period 22], with the first pre-tax FEHB deduction occurring with the associated pay date near the end of October.

New Employees/ Employees with an Initial Opportunity to Enroll in the FEHB

If your initial opportunity to enroll in FEHB occurs on or after October 1, your agency must deduct your premiums on a pre-tax basis from your pay effective with the first applicable payroll period beginning on or after October 1, 2000, unless you have waived participation in premium conversion.