This means members who retired in 2018 received their first COLA this May. Members who retired before 2018 also received their annual COLA increase
Another example of the two-year eligibility is members who retired in 2019 won’t see an annual COLA until May 2021.
At a Glance
What is COLA?
COLA is a benefit to ensure your value of money at retirement keeps up with the rate of inflation.
COLA is dependent on three factors:
- The Consumer Price Index (CPI) for All Urban Consumers (CPI, 1967)
- Your employer contracted COLA provision
- The year you retired
Contracted COLA Provision
Most state and all school agencies contract for a 2% COLA provision, while public agencies may contract for 3%, 4%, or 5%.
Find out how much your COLA will be and how it’s calculated on the Cost-of-Living Adjustment (COLA) page on our website.