COLA’s and pay raises are of interest to virtually all of our readers. There is also confusion about who gets what increase. Here is a brief explanation of the 2009 COLA and the 2009 federal employee pay raise–and why you do not get both a pay raise and a COLA.
How much of an increase will federal retirees receive next year? At 5.8%, it will be the highest increase in about 25 years. Here is a summary of which groups will get the full increase and who will not receive the full benefit of next year’s COLA.
A temporary government spending bill will fund the federal government into March of next year. It also contains an average pay raise for federal employees of 3.9% that will be effective in January.
Here is a reality check for readers. Inflation is alive and well. Federal retirees are on track for an increase of 5.7% next year–with another three months to go before the final figure is known. Federal employees may get an average of 3.9%–or there may be a continuing resolution that would delay finalizing the budget until 2009.
Congress has gone home even though the Senate says it is still technically open for business. While they may enjoy their time away from DC, their departure leaves open the possibility of furloughs in DoD, funding for most federal agencies still up in the air and uncertainty about the 2008 pay raise for current federal employees. Retirees are set though. Enjoy your holiday.
Federal employees outside of the contiguous 48 states are paid differently than most FedSmith readers who usually get an annual raise and locality pay. OPM did a survey on housing costs in these areas outside the 48 contiguous states and has published the results.
Many Federal retirees are on track for a 2.9% increase next year–and the figure is likely to be higher by the end of September.
Many federal retirees can look forward to a larger than expected increase in their annuity check in January 2006.
Some federal retirees may get a higher pay raise than active federal employees in 2006.
Federal employee health insurance premiums going up average of 7.9% in 2005