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Your 2010 COLA: Why Your Costs May Be Up But Your Income Goes Down

New index

Meteorologist
NOAA
Thu Aug 27, 2009 9:23 AM

Post Reply

Changing to a CPI-E index for SSN recipients sounds like a good idea. Perhaps it would make better political sense to keep Federal and Military retirees on CPI-W for COLA until they hit age 60, then switch them to CPI-E.

To those that are angry with the 0% COLA this year, don't be. We have a good deal here: a COLA that is independent of political mood swings. We know that our retirement will still be worth as much in real money 10 years from now as it is today. I'd hate to see a short-term solution to this years problem ruin things in the future.

COLA RAISE

FINANCIAL ASSISTANT
USDA
Thu Aug 27, 2009 9:47 AM

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How are we as fed retirees suppose to live without the
cola raise? I am planning on retiring in 1 or 2 yrs. How
do the gov't expect us to live on the once a mth pay and
still meet our obligation of health care, insurance for flood and homeowners and living? I need to know how we are suppose to survive

Re: COLA RAISE

Presidential Management Fellow
HUD
Fri Aug 28, 2009 7:26 AM
So how does the government expect you to pay for everything with no COLA? Since when is this a government problem? You should know the rules on COLA and many other things and then plan accordingly. Planning to retire in a year or two but you are concerned about the prospects of no COLA for 2010 and possibly 2011 as well? Perhaps some financial planning is in order along with the creation of a budget that doesn’t rely on deficit spending like the federal government. If the once a month paycheck doesn’t sound all that appealing then perhaps retirement is not what you should be doing in one to two years but rather continuing to work and earn a paycheck. Think personal responsibility!

In short, the government doesn’t expect you to do anything. Pay your fair share of taxes and obey the law.

Of course, I wonder how much whining there will be when the COLA is 10 percent because inflation has gotten out of control due to too much printing press action making worthless paper.

Re: COLA RAISE

Military Retire
NO AGENCY
Tue Sep 1, 2009 11:53 PM
Wow, if you need to rely on COLA for survival, you are more dire straits than you can imagine, and should even think about retirement. Get a grip.

cola

FINANCIAL ASSISTANT
USDA
Thu Aug 27, 2009 9:50 AM

Post Reply

what is CPIE?

Re: cola

Meteorologist
NOAA
Thu Aug 27, 2009 10:37 AM
CPI-E is explained in the article.

COLA

EE
DOD
Thu Aug 27, 2009 10:08 AM

Post Reply

When I first entered Civil Service (1974), there were up to four COLAs per year and then it was COLA + 1%! They called it the 1% kicker and was meant to pay for the "delay" in getting your COLA (apologies for the delay accepted). As soon as the COL went up 3%, you get a COLA adjustment. It wasn't long that they did away with the 1% kicker. Then they limited the number of COLAs to two a year and then once a year. All of that happened before FERS was conceived.

Re: COLA

employee
fed govt
Thu Aug 27, 2009 10:34 AM
ahhh...memories...unfortunately, congress (the people we elected) got greedier by the decade...and now we are in the worst imaginable pickle...the entire country as become Gotham City...but there is no Batman or Superman to save us...

health care costs up, no raise

GEO
FED
Thu Aug 27, 2009 10:26 AM

Post Reply

health care costs up 3% over a 0% inflation rate, is minimal compared to what its been over the past 10 years or so.

Where are the RW federal retirees screaming and whining about how much better private health insurance is compared to "socialized medicine" and "Obamacare" -even though they are on govt. paid insurance and/or Medicare?

0% inflation this year and likely 0% inflation next year. I thought we were all supposed to be frightened by Obama's worthless money due to stimulus ink flowing like the Red sea. Now we're told to be frightened our retirement check won't go up because of 0% inflation.

Its all so confusing...

What's enough?

Engineer
Navy
Thu Aug 27, 2009 10:59 AM

Post Reply

I will be retired this time next year and will be in a better position to say how unfair this is. On the other hand, I will be one of the lucky ones receiving an indexed defined pension, something that is disappearing in many other parts of the economy. Few out there other then government employees (including federal, state, and local) are worried about their retirement cola at age 60 because they can't retire. So the glass will never be full; but I trust it will never be empty either.

Value of Money& HGealthcare Reform

retired
DOI, Minerals Mgt Svc
Thu Aug 27, 2009 12:02 PM

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The current health care system and especiallyits costs are not sustainable. This article about raising health insurance rates focuses on one acpect of that. Obama has been saying the current system is NOT sustainable. This is that!

Support healthcare reform for everyone. This means you, too. And it will be advantagous to the entire economy; not cost us more money.

For example: The Advantage Insurance plans are subsidized by medicare. This is an additional cost to the government and a actual limit in benefits. Don't be a hypocrite! Straight medicare is more efficient for the recipient and all of us. About 1/2 of the proposed cuts to medicare is the Advantage Insurance plans. This is another insurance company rip- off. Speak out. stand up for health care reform. Do not be mislead by the propaganda and lies. Switch the channel. Use your head. Compare. Do something to support health care reform. It is a matter of life and death. But, not at the opposition portrays.

Re: Value of Money& HGealthcare Reform

Engineer
FAA
Fri Aug 28, 2009 6:27 AM
to retired DOI,

I support health care reform, because mathematically, the system will fail in about 7 - 10 years (give or take a major depression)

In the words of Mr. Spock, "...to support an Empire that is doomed to failure is not logical"

What the Republicans offer is short term continued profits in exchange for long term failure. The Dmocrats have a C- plan that may or may not include a public option. It's like lipstick on a pig, to coin a phrase

How's this for legislation. Open Medicare to everyone WHO WANTS IT. Keep what you have if you like it. Use the govt plan if you choose that. At less than 3% overhead costs, it appears to be a bargain

But cut the unnecessary stuff out. Example: an 85 years old woman, terminal cancer, having by all estimates 1 month or less to live, was offered chemo again. The Oncologist said "Don't worry, Medicare will pay for it"

We said no

There will be no retirement for any American unless costs are reigned in

Period

Re: Value of Money& HGealthcare Reform

Diversity Manager
DOL
Fri Aug 28, 2009 10:50 PM
the trail lawyers will love any plan they get $500 Billion year after year

Re: Value of Money& HGealthcare Reform

Retiree
DoD
Tue Oct 13, 2009 7:57 PM
Yes, "keep what you have if you like it" would be great, but under the proposed health care bill, we will be FORCED to pay for the Government Option whether or not we want it or need it. That doesn't sound like Democracy to me, sounds like tyranny. And if we don't pay, there will be a penalty. That proves that the Government Option is a failed system right off the bat it they need to extort money from citizens that will fund an insurance program that won't be a part of. I already have private insurance, and I'll be d***** if I'm going to pay for another insurance policy (health care) just because the government can't run their own program on a level playing field. Would you want to be forced to pay for two car insurance policies, even though you just need one? How about home insurance? Long term care insurance? What happened to free choice? And I thought that our taxes would not go up "one dime" ?? This is a tax, no matter what you choose to call it!
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