Federal Retirees get 1.7 Percent COLA for 2013
Federal retirees will get a 1.7 percent cost-of-living adjustment next year, according to the latest figures from the Bureau of Labor and Statistics.
BLS released September’s inflation number early Tuesday which was the last figure needed to calculate the 2013 COLA.
All federal retirees, no matter what retirement system they participate in, will receive the 1.7 percent bump, which equates to about $21 more per month for retirees, according to a report from the Associated Press. The increase is smaller than the COLA increase in 2012, when federal retirees received a 3.6 percent boost, due to a relatively low inflation increase last year.
The increase will take effect on Dec. 1 and will be seen in retirees’ annuity payments in January 2013. The COLA announcement will not affect the salaries of federal employees.
The National Active and Retired Federal Employees Association is pleased with the resulting number, according to the association’s president.
“This is welcome news for retirees who have seen the cost of living continue to increase over the past year,” Joseph Beaudoin, president of NARFE, said. “As Congress debates ways to avoid the ‘fiscal cliff,’ NARFE is prepared to oppose any changes to the COLA formula that would have an adverse effect on retirees.”
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