This May, all CalPERS retirees who retired in 2020 or earlier will receive an increase to their cost-of-living adjustment (COLA). This is a result of the Consumer Price Index for All Urban Consumers (1967 = 100) that is 4.70% for 2021.
The chart below shows the percentage of COLA increase that retirees will receive based on their employer-contracted COLA provision percentage and their retirement year. Most state and all school agencies contract for a 2% COLA provision, while public agencies may contract for a 3%, 4%, or 5% COLA provision.
|COLA Provision||Year of Retirement||% COLA Increase Effective May 1, 2022|
|2% COLA Provision||2003 & Earlier||2%|
|3% COLA Provision||1979 & Earlier||3%|
|4% COLA Provision||2019 & Earlier||4.70%|
|5% COLA Provision||2020 & Earlier||4.70%|
For More Information
For more details about how your COLA is calculated and frequently asked questions, go to Cost-of-Living Adjustment (COLA) on our website. You can also call us toll free at 888 CalPERS (or 888-225-7377) if you have questions.
Did You Know?
The COLA is a benefit that ensures your value of money at retirement keeps up with the rate of inflation. For a one-minute overview, watch our CalPERS Quick Tip: Cost-of-Living Adjustment video.