An FEHB enrollee who pays $200 per pay period toward premiums this year will pay about $21.80 more per paycheck in 2027 if their plan tracks the 10.9% average increase. Over 26 pay periods, that's $566.80 a year. For a FERS employee in the 22% federal bracket, the hit to take-home pay is closer to $399, because FEHB premiums come out pre-tax. Your plan's actual number could land well above or below that.
OPM has published the 2027 plan options and rates ahead of Open Season, which runs from the second Monday in November to the second Monday in December. This year that's Monday, November 9 through Monday, December 14, 2026. The 10.9% is an average of enrollee shares. Your own increase depends on your plan, your option, and whether you cover just yourself or a family.
By the Numbers
- 10.9%: average increase in what enrollees pay toward premiums in 2027
- $21.80: added cost per pay period on a $200 premium share
- $566.80: added annual cost on that same premium (26 pay periods)
- About $399: estimated drop in annual take-home pay on that increase for a FERS employee in the 22% bracket, after federal income tax and FICA savings (state taxes excluded)
- $38.15 per month: added cost for an annuitant paying $350 a month, or $457.80 a year
- Nov. 9 to Dec. 14, 2026: Open Season window
- 72% / 75%: the government contribution formula and its per-plan cap, set in statute
The dollar figures are illustrations built on the 10.9% average. They aren't OPM's published rates for any specific plan.
How it works
The Federal Employees Health Benefits Program is authorized by Chapter 89 of Title 5, U.S. Code, and OPM runs it. Each year OPM negotiates with participating carriers, which submit proposed premiums based on their claims experience and expected costs. The negotiated rates are published before Open Season so enrollees can compare.
The split between you and the government is set in 5 U.S.C. § 8906. The government pays 72% of the weighted average premium across all FEHB plans, but never more than 75% of any single plan's premium. You pay the rest.
Three things follow from that.
First, the government's contribution is calculated off the program-wide average, not your plan. If your plan costs more than the average, you absorb all of the gap. If it costs less, you still pay at least 25% of it, because of the cap.
Second, active employees pay through payroll, typically over 26 pay periods, and the money goes in pre-tax under premium conversion. That's why a $566.80 increase costs you less than $566.80 in take-home pay. Annuitants pay monthly, deducted from their annuity, and don't get the same pre-tax treatment.
Third, the average hides a lot of spread. A plan with a rising claims history can post a double-digit jump while a competitor in the same region barely moves. This is where Open Season earns its keep.
Enrollment type matters too. Self Only, Self Plus One, and Self and Family each carry their own rates, and the same percentage increase costs a family enrollee far more dollars than a single enrollee.
Postal employees and retirees are in a separate program, the Postal Service Health Benefits (PSHB) Program, which has its own plans and rates. The 10.9% figure is for FEHB. Active-duty service members are covered by TRICARE, which isn't part of this process.
A worked example
Take a hypothetical FERS employee, a GS-12 with a spouse and two kids on a Self and Family plan. Call her Dana. All figures are illustrative.
- Current cost. Dana pays $200 per pay period toward premiums. Over 26 pay periods, that's $5,200 a year.
- The increase. At the 10.9% average, her per-pay-period share rises by $21.80 ($200 × 0.109), to $221.80.
- Annual difference. $21.80 × 26 = $566.80 more. Her yearly premium goes from $5,200 to $5,766.80.
- Tax effect. Premiums come out before federal income tax and FICA. At a 22% federal bracket plus 7.65% FICA, each premium dollar costs her about 70 cents of take-home pay. So $566.80 becomes roughly $399 in lost net pay. State income tax would shave it slightly further where it applies.
- The decision. If a comparable plan in her area rose less than 10.9%, or has a lower starting premium, she could save several hundred dollars by switching. If she's attached to her doctors in the current plan, she can weigh that $399 against the cost of changing networks.
Now a retiree. Marcus, a CSRS annuitant, pays $350 a month on a Self Plus One plan. At 10.9%, his share rises by $38.15 a month, to $388.15. Over 12 months that's $457.80. His annuity isn't getting a 10.9% bump to cover it. Retiree COLAs are set separately from FEHB rates.
Who is affected, and by how much
Active employees. You'll see the change in your first 2027 paycheck. The per-pay-period math is the 10.9% average applied to your current share, adjusted for your plan's actual rate.
Annuitants and survivor annuitants. Premiums come out of the monthly annuity check. Retirees on fixed incomes feel percentage increases more, since the premium is a larger share of a smaller paycheck. Annuitants enrolled in Medicare Part B should check whether their plan offers premium reductions or other Medicare-coordination benefits. Those vary by carrier.
Self and Family enrollees. The percentage is the same, but the base is higher, so the dollar jump is bigger. A family premium share double the $200 in our example would see a roughly $1,134 annual increase at the same 10.9%.
Self Only enrollees. Lower base, smaller dollar increase. An enrollee paying $80 per pay period would see about $8.72 more per paycheck, or $226.72 a year.
Enrollees in higher-cost options. The government's contribution is capped by formula, so richer options push more of the increase onto the enrollee.
Temporary Continuation of Coverage and spouse equity enrollees. These enrollees pay the full premium plus a 2% administrative charge, with no government contribution. Their dollar increases track the total premium, not the enrollee share.
Postal workers. They're covered by PSHB, not FEHB. Check PSHB rates separately.
How to estimate your own
The 10.9% is a starting point, not your number. Pull your plan's 2027 rate from OPM's published premium tables, subtract your current rate, and multiply the per-pay-period difference by 26. Annuitants should multiply the monthly difference by 12.
To compare plans and see what a premium actually buys in coverage, run the numbers in the FEHB value guide. Look at three things together: the premium, the deductible and out-of-pocket maximum, and whether your doctors and prescriptions are covered. A plan that's $300 a year cheaper but has a $1,500 higher deductible isn't cheaper if you use it.
FAQ
Does the 10.9% apply to my plan? Probably not exactly. It's an average across plans and enrollment types. Your plan could be higher or lower. Check the 2027 rate for your specific plan and enrollment type.
Do I have to do anything if I like my current plan? Generally no. Your enrollment carries over into the new year at the new rate. The exception is when your plan has been discontinued or has changed its terms in a way that affects you, so read your plan's 2027 brochure for changes to benefits, networks, and formularies.
Can I change plans outside Open Season? Only with a qualifying life event, such as marriage, birth or adoption, loss of other coverage, or a move out of your plan's service area. Changes are generally allowed within a window after the event. Don't wait until you've already racked up claims on the wrong plan.
Are my premiums really pre-tax? For active employees, yes, through premium conversion. That lowers your taxable wages for federal income tax and FICA. Annuitants don't get that treatment.
Does the government pay more when premiums go up? Yes, to a point. The government's share is 72% of the weighted average premium, capped at 75% of any one plan's premium. So when program-wide costs rise, the government contribution rises with them. Your share rises too.
Bottom line
Run the number for your plan, not the average. At the 10.9% average, $200 a paycheck becomes $221.80, a $566.80 annual increase and about $399 less take-home for a typical FERS employee in the 22% bracket. Some plans will cost more than that and some will cost less. Open Season runs November 9 through December 14, 2026. Compare premiums, deductibles, and networks side by side before you let the default decide for you.