The proposed 3% COLA (Cost-of-Living Adjustment) increase (on the first $13,000 of member's annual benefit) for eligible benefit recipients has not yet been approved. It is a line-item within all the FY'19 state budget proposals. If enacted by the Legislature and approved by the Governor, the COLA will go into effect on July 1, 2018 for those eligible members who retired prior to July 1, 2017. If, and depending upon when, the COLA is finally approved, benefit recipients would receive the COLA as soon as administratively possible, as part of either the July 31st or August 31st benefit payment.
COLA updates will continue to be posted here as soon as they become available.
For the latest update on the FY'19 Budget process visit https://malegislature.gov/Budget/FY2019/FinalBudget.
What is a COLA?
The COLA is a Cost-of-Living Adjustment for eligible retired state employees receiving a pension. A COLA is handled by the Legislature, which includes Senators, Representatives and the Governor. Each year, they may or may not recommend a COLA amount to include in the state's annual budget. For FY 2019, the recommendation by the Governor, the House and the Senate was a 3% increase on the first $13,000 of your annual benefit.
If you have additional questions about the COLA, please contact your local State Senator and Representative. Visit https://malegislature.gov/ to find your Legislator’s contact information.