FEGLI Option B: what it costs at 40, 50 and 60
Option B costs $6.50 a month per $100,000 at 40, $21.67 at 50 and $86.67 at 60. The rate is repriced every five years, so the coverage you buy young is not the price you keep.
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Cost per $100,000, every band
OPM prices Option B per $1,000 of coverage. Below it is converted to $100,000 blocks, which is easier to hold in your head. Find your band, then multiply.
| Your age | Biweekly | Monthly | Per year |
|---|---|---|---|
| Under 35 | $2.00 | $4.33 | $52 |
| 35–39 | $2.00 | $4.33 | $52 |
| 40–44 | $3.00 | $6.50 | $78 |
| 45–49 | $6.00 | $13.00 | $156 |
| 50–54 | $10.00 | $21.67 | $260 |
| 55–59 | $18.00 | $39.00 | $468 |
| 60–64 | $40.00 | $86.67 | $1,040 |
| 65–69 | $48.00 | $104.00 | $1,248 |
| 70–74 | $86.00 | $186.33 | $2,236 |
| 75–79 | $180.00 | $390.00 | $4,680 |
| 80 and over | $288.00 | $624.00 | $7,488 |
What it costs on an $85,000 salary
Three multiples on $85,000 is $255,000 of cover. Same person, same election, three different decades:
$255,000 of Option B
- At 40
- $16.57 a month
- At 50
- $55.25 a month
- At 60
- $221.00 a month
Nothing changed except the calendar. Your coverage did not grow, your health did not change, and you did not file anything. The premium went up thirteen times over.
One more thing moves it: your salary. Option B is a multiple of pay, so every raise and every step increase quietly raises both your coverage and your premium.
The two jumps that catch people
- The 60 cliff. Moving from the 55–59 band into 60–64 more than doubles the rate, from 18 cents to 40 cents per $1,000. On $255,000 that is a jump from $99.45 to $221.00 a month, in one pay period.
- The 65 election. At 65 you choose full reduction, where coverage falls 2% a month until it reaches zero and you pay nothing, or no reduction, where the coverage stays and the premium keeps climbing for life. Retirees who pick no reduction and forget about it are the ones paying $624 a month per $100,000 at 80.
Age bands are based on your age, not your years of service or your retirement date. The increase lands on the first pay period after your birthday takes you into the next band.
What it adds up to
Carrying $255,000 of Option B from 40 to the end of the 60–64 band costs about $25,500 in premiums. Roughly half of that is spent in the last five years alone.
That back-loading is the whole argument for pricing a level-premium private policy while you are young and healthy. We ran that comparison side by side in FEGLI vs. private term life.
See your own numbersThe calculator adds up your FEGLI and shows the gap that is left.Cutting the cost without going bare
- Drop multiples, not the whole thing. Going from five to two on form SF 2817 cuts the premium by 60% and leaves real coverage in place.
- Check what Basic already does. Basic is a flat 16 cents per $1,000 biweekly at every age, with your agency paying a third, and it covers your pay rounded up plus $2,000.
- Match the cover to the years it is needed. Most people need the most protection while the mortgage is large and the children are at home, which is exactly when Option B is cheap.
- Never drop coverage before a replacement is in force. Getting Option B back means a qualifying life event, or a medical exam with form SF 2822.
Common questions
How is FEGLI Option B coverage calculated?
Your annual basic rate of pay is rounded up to the next whole $1,000, then multiplied by the number of multiples you carry, from one to five. Unlike Basic, no extra $2,000 is added.
When does the Option B premium go up?
On the first pay period after you enter a new five-year age band. The bands run under 35, 35 to 39, and upward in five-year steps. Your premium also rises whenever your salary does, because the coverage is a multiple of pay.
How much is FEGLI Option B per pay period?
It is a rate per $1,000 of coverage: 2 cents under 35, 6 cents at 45 to 49, 18 cents at 55 to 59, and 40 cents at 60 to 64. Multiply by your coverage in thousands to get the biweekly cost.
Can I reduce Option B instead of cancelling it?
Yes. You can drop from five multiples to fewer at any time using form SF 2817, which keeps some coverage while cutting the premium. Reductions take effect at the end of the pay period they are filed in.
Is Option B worth it after 65?
Only if someone still depends on your income. At 65 you choose full reduction, where the coverage winds down to zero and costs nothing, or no reduction, where you keep the coverage and pay $1.04 per $1,000 a month at 65 to 69, rising to $6.24 by 80.
Does Option B cover accidental death?
No. Accidental death and dismemberment cover is included in Basic and in Option A, but not in Option B or Option C.
Sources
- OPM — FEGLI premium rate tables
- OPM — FEGLI Handbook, Option B and reductions at 65
- OPM — SF 2817, Life Insurance Election
Rates are OPM's employee rates effective from the first pay period on or after October 1, 2021, checked against OPM on September 24, 2026. Monthly figures are the biweekly rate times 26, divided by 12.