Former federal workers are set to receive between 2.6% and 3.6% more from their retirement annuity next year, according to new numbers from the Social Security Administration.
Retired federal employees are set to see their defined benefit annuity payments increase in January, though many will still receive what advocates call a “diet COLA.”
The Social Security Administration announced Wednesday that Social Security beneficiaries will receive a 3.6% cost-of-living adjustment next year, an improvement from last year’s 2.8% increase. SSA calculates the increase based on the annual change in the third quarter consumer price index for workers.
Federal retirees in the Civil Service Retirement System will therefore receive a 3.6% increase to their annuities next year, but former feds who are part of the Federal Employees Retirement System, launched in the 1980s alongside 401(k)-style Thrift Savings Plan, will see only a 2.6% adjustment.
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