{"id":253169,"date":"2025-10-26T18:38:16","date_gmt":"2025-10-26T18:38:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/253169\/"},"modified":"2025-10-26T18:38:16","modified_gmt":"2025-10-26T18:38:16","slug":"many-federal-retirees-get-2-8-in-2026-cola-but-some-to-see-a-smaller-increase","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/253169\/","title":{"rendered":"Many federal retirees get 2.8% in 2026 COLA, but some to see a smaller increase"},"content":{"rendered":"

Many federal retirees get 2.8% in 2026 COLA, but some to see a smaller increase<\/p>\n

The 2026 COLA of 2.8% will be added to retirement benefits beginning in January. But FERS retirees will receive a 2% \u201cdiet\u201d COLA.<\/p>\n

\"\"\/<\/a><\/p>\n

Jory Heckman<\/a>@jheckmanWFED<\/a><\/p>\n

\n October 24, 2025 9:37 am <\/p>\n

2 min read<\/p>\n

Starting in January 2026, many federal retirees will see a 2.8% cost-of-living adjustment (COLA) in their Social Security benefits and federal retirement annuities.<\/p>\n

That\u2019s a higher rate than last year, and higher than projections set by AARP <\/a>and the\u00a0Senior Citizens League<\/a>. About 75 million people, including retirees and individuals with disabilities, receive Social Security benefits.<\/p>\n

The annual COLA is meant to keep federal retirees\u2019 and Social Security recipients\u2019 benefits on pace with rising inflation. But not everyone will receive the full adjustment.<\/p>\n

Retirees in the Federal Employees Retirement System (FERS) usually receive a smaller cost-of-living adjustment each year for their annuities, based on the following formula:<\/p>\n

]]><\/p>\n

COLA is over 3%: FERS annuitants receive 1% less than the full COLA
\nCOLA is between 2% and 3%: FERS annuitants receive a 2% COLA
\nCOLA is less than 2%: FERS annuitants receive the full COLA<\/p>\n

According to those parameters, FERS retirees will receive a \u201cdiet\u201d 2026 COLA of 2% for their retirement benefits, starting in January.<\/p>\n

The Social Security Administration<\/a> originally planned to announce the 2026 COLA last week, but postponed the decision because of the ongoing government shutdown, which is now the second-longest on record.<\/p>\n

The agency said Social Security retirement benefits will increase by about $56 per month next year.<\/p>\n

The National Active and Retired Federal Employees Association (NARFE) said the 2026 COLA doesn\u2019t keep pace<\/a> with a more than 12% increase in health insurance premiums for federal employees and annuitants next year.<\/p>\n

\u201cSocial Security is a promise kept, and the annual cost-of-living adjustment is one way we are working to make sure benefits reflect today\u2019s economic realities and continue to provide a foundation of security,\u201d SSA Commissioner Frank Bisignano said in a statement.<\/p>\n

Annual COLA increases have averaged about 2.6% over the last decade, but retirees have seen a wide range of adjustments in recent years.<\/p>\n

The 2023 COLA was at 8.7%, the largest annual adjustment in more than 40 years. But the 2024 COLA was considerably smaller \u2014 annuitants received a 3.2% adjustment for their retirement benefits earlier this year.<\/p>\n

]]><\/p>\n

Due to the existing caps on those adjustments, FERS retirees received a 7.7% COLA in 2023 and a 2.2% COLA in 2024.<\/p>\n

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