Federal Retirees to See First COLA Increase in Two Years
Friday, October 21, 2011(National Federation of Federal Employees)
For the
first time in two years, our nation’s 1.9
million retired civil service employees will
receive a cost of living adjustment. Consistent
with the release of September’s Consumer Price
Index figures, most federal retirees will
receive a COLA of 3.6%.
After
two years of deflationary pressure resulting
from the recession, Civil Service Retirement
System (CSRS) and Federal Employees Retirement
System (FERS) annuitants will see their first
COLA adjustment since 2009. CSRS annuitants,
who make up roughly 80% of the civil service
retiree community, will receive the full 3.6%
adjustment while FERS annuitants can expect an
adjustment of 2.6%.
According to a recent Congressional
Research Service report cited in Eric
Yoder’s recent Washington Post
column, the average monthly
benefit for CSRS and FERS annuitants stands at
$2,899 and $1,051, respectively. Effective on
January 1, 2012 the average CSRS annuitant will
receive a $104 monthly increase and FERS
annuitants will see $27 increase to monthly
payouts.
“It’s about time federal retirees got the COLA adjustment they deserve,” said NFEE Legislative Director Randy Erwin. “This was long overdue.”

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