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Home > Payroll > Benefits, PTO & Time Off Pay > When Do Benefit Deductions Start, Stop, or Change?
When Do Benefit Deductions Start, Stop, or Change?
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At Leeds West Groups, benefit deductions are applied based on benefit effective dates and pay dates, not pay period start or end dates. This can sometimes make deductions appear earlier or later than expected.

 

Quick Answer
Benefit deductions start or stop on the first pay date after the benefit effective date, even if the pay period includes dates from a prior month or year.

 

Open Enrollment Changes

  • Benefit elections made during Open Enrollment become effective on January 1 of the new benefit year.

  • New benefit deductions begin on the first pay date on or after January 1.

 

Example:

  • Benefit year effective date: January 1, 2026

  • First pay date after effective date: January 2, 2026

  • Even if the pay period includes days worked in December 2025, 2026 benefit deductions begin on the January 2, 2026 pay date.

 

New Hire Benefits

  • New hire benefit coverage becomes effective on the date outlined in the plan (often the first day of the month).

  • Benefit deductions begin on the first pay date after the benefit effective date.

 

Example:

  • Benefit effective date: January 1, 2026

  • First pay date after effective date: January 2, 2026

  • Even if the pay period includes December dates, deductions begin on the January 2 pay date.

 

When Do Benefit Deductions Stop?

  • Benefit deductions stop on the first pay date after coverage ends, based on:

    • Termination of employment

    • Approved qualifying life event changes

    • Benefit plan rules and applicable law

Timing may vary depending on the specific benefit and effective date of the change.

 

Important Things to Know

  • Benefit deductions are applied based on pay dates, not the days worked within a pay period.

  • Seeing deductions begin or end on a paycheck that includes earlier dates does not indicate an error.

  • All benefit deductions are itemized on your pay statement in Dayforce.

 

Need More Help?
Our HR team is here to offer support and guidance. If you have questions about when your benefit deductions will start or stop, or need help reviewing your pay statement, you are always welcome to reach out. You can submit a ticket anytime by visiting: https://leedswestgroups.happyfox.com/new/

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