Health
Questions and answers
By choosing to waive participation in premium conversion, you lose the opportunity to take advantage of the tax savings that it provides. Please see the example below (please note savings vary by location since state and local tax savings usually exist in addition to Federal tax savings):
Self Only Self and Family Yearly FEHB premium: $700.00 $1,600.00 Federal income tax savings $196.00 $448.00 FICA tax savings (7.65%) $53.55 $122.40 Annual Savings $249.55 $570.40