On July 26, 2018, the FY 2019 state budget was signed into law, including the retiree COLA (Cost-of-Living Adjustment).
If you retired prior to July 1, 2017, and are otherwise eligible, Board staff were able to ensure that your July 31st pension payment will include the COLA. The COLA allows an increase of 3% of the first $13,000 of your annual benefit paid in monthly installments, effective July 1, 2018, for a maximum increase of $390/year or $32.50/month.
Board staff will also review the final budget for any other retirement related provisions and we will update you in our August Retiree eNews Bulletin.
If you have direct deposit and have not elected to go-green you will receive a July statement. We suggest you keep the statement as a record of your monthly benefit.
As always, you can view your statement online at www.mass.gov/payinfo. Your ID is on your statement below your name.
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.