Stay informed on the latest COLA updates for federal retirees, including annual Cost‑of‑Living Adjustment announcements, calculation methods, and policy changes that affect retirement income under FERS and CSRS. Explore clear explanations of how COLA percentages are determined, historical trends in federal retiree COLAs, and the impact of inflation on long‑term financial security. Find timely analysis, legislative developments, and expert insights to help federal retirees understand how annual COLA changes influence their purchasing power and overall retirement planning.
We have received questions from readers, perhaps because OPM is now distributing its annual “Notice of Annuity Adjustment,” inquiring about why there is no COLA increase for federal retirees in 2010 when the average federal employee is getting a raise.
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.
At 5.8%, the 2009 COLA will be the highest increase for federal retireesin about 25 years.
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.
How much will the retirement check for federal retirees kick up in 2008? Here is a mid-term report on next year’s COLA.
Federal retirees receive an annual cost of living increase indexed to inflation, but the inflation index may not reflect your true cost of living.
The annual COLA increase for federal retirees is still going up and will become effective in January 2007.
The rate of inflation is continuing its upward trend. This means that federal retirees will get a bump up in annuity payments in 2007 to help cover the rising cost of living.
