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06-18-2011, 12:49 PM
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#1
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Apr 2004
Location: South Texas~29N/98W Just West of Woman Hollering Creek
Posts: 6,668
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COLA anyone?
In a recent email from MOAA they speculated on next years COLA...
Quote:
Inflation climbed 0.5% in May, marking the ninth consecutive month the Consumer Price Index has risen. With four months left in the fiscal year, cumulative inflation stands at 3.4%. If that trend continues, retirees will be in line for a fairly substantial 2012 COLA.
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__________________
Part-Owner of Texas
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In dire need of: faster horses, younger woman, older whiskey, more money.
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06-18-2011, 01:21 PM
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#2
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2009
Posts: 9,343
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Quote:
Originally Posted by mickeyd
In a recent email from MOAA they speculated on next years COLA...
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My retirement system fiscal year is July to June. Looking like a 3% plus cola for me, that is payable in January.
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06-18-2011, 02:43 PM
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#3
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Full time employment: Posting here.
Join Date: Apr 2011
Posts: 625
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Quote:
Originally Posted by Mulligan
My retirement system fiscal year is July to June. Looking like a 3% plus cola for me, that is payable in January.
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From their fourth months left comment, it seems theirs runs oct-sept?
And since their cumulative is 3.4 and your is only 3, does that mean we had negative .4 inflation (or rather .4% deflation) from last July to oct?
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06-18-2011, 03:42 PM
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#4
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gone traveling
Join Date: Apr 2009
Location: Eastern PA
Posts: 3,851
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I'm sure the fed's will be happy since after a two year frozen SS increase will trigger an increased Medicare Part B deduction, which was frozen with SS adjustments the last two years.
Only those that filed for SS in the last two years had to pay the increase, but those on SS before that time did not have to pay the increased rate.
Depending on the possible SS COLA, along with the increase in Part B the increase may look like folks will be getting a small SS increase - if that.
Something else AARP can "make news" on ...
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06-18-2011, 04:01 PM
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#5
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2009
Posts: 9,343
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Quote:
Originally Posted by arebelspy
From their fourth months left comment, it seems theirs runs oct-sept?
And since their cumulative is 3.4 and your is only 3, does that mean we had negative .4 inflation (or rather .4% deflation) from last July to oct?
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I was doing a little "guesstimating" on mine. if memory serves me the CPI was pretty low July to Sept. CPI has really only started to heat up the past 6 months or so. Our system does not have to give the full amount. By law they have to give at least 2%, if CPI is at 2% or above. If it reaches 5% they have to give the full 5% but no more than 5%.
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06-18-2011, 04:03 PM
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#6
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Full time employment: Posting here.
Join Date: Apr 2011
Posts: 625
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Gotcha. Was just curious. Thanks.
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06-18-2011, 04:10 PM
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#7
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Moderator Emeritus
Join Date: Jan 2007
Location: New Orleans
Posts: 47,468
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Here we have had drastically falling gas prices during the past month. If that is true all over the country, wouldn't that affect the CPI and lower the COLA?
I'm not expecting much of a FERS diet-COLA this year, and if I get one I would be pleased as punch. I have never seen one before. It might even cover part of the increase in my health insurance, which is subtracted out before I ever get my FERS deposit.
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities. - - H. Melville, 1851.
Happily retired since 2009, at age 61. Best years of my life by far!
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06-18-2011, 04:15 PM
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#8
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 50,000
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Quote:
Originally Posted by W2R
Here we have had drastically falling gas prices during the past month.
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"Drastically?" Our gas prices here have fallen 12%, welcome, but far from drastic...
__________________
Numbers is hard
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06-18-2011, 04:26 PM
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#9
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Moderator
Join Date: Feb 2010
Location: Flyover country
Posts: 25,155
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Quote:
Originally Posted by arebelspy
From their fourth months left comment, it seems theirs runs oct-sept?
And since their cumulative is 3.4 and your is only 3, does that mean we had negative .4 inflation (or rather .4% deflation) from last July to oct?
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Yes. The federal government's fiscal year is 1 Oct to 30 Sep. Long ago, it was 1 Jul to 30 Jun, but they moved it by a quarter in 1976.
The figures mickeyd referenced are shown here:
MOAA: COLA Watch
As the chart shows, inflation crossed over to positive around the end of last calendar year.
__________________
I thought growing old would take longer.
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06-18-2011, 04:28 PM
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#10
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Moderator Emeritus
Join Date: Jan 2007
Location: New Orleans
Posts: 47,468
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Quote:
Originally Posted by REWahoo
"Drastically?" Our gas prices here have fallen 12%, welcome, but far from drastic...
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So if you are paying $4.00/gallon then that brings it down to $3.52. OK, ours has dropped less than that, so maybe not dreadfully drastic but depending on how they weight it, well, gosh....
I still think the RV'ers on the board ought to be in 7th heaven.
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities. - - H. Melville, 1851.
Happily retired since 2009, at age 61. Best years of my life by far!
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06-18-2011, 04:33 PM
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#11
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Moderator
Join Date: Feb 2010
Location: Flyover country
Posts: 25,155
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Quote:
Originally Posted by W2R
depending on how they weight it ...
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No, gasoline weighs a little over six pounds per gallon, no matter where you live.
Seriously, it dropped over 18% where I live, which I consider really significant.
__________________
I thought growing old would take longer.
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06-18-2011, 04:44 PM
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#12
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2009
Posts: 9,343
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Quote:
Originally Posted by W2R
Here we have had drastically falling gas prices during the past month. If that is true all over the country, wouldn't that affect the CPI and lower the COLA?
I'm not expecting much of a FERS diet-COLA this year, and if I get one I would be pleased as punch. I have never seen one before. It might even cover part of the increase in my health insurance, which is subtracted out before I ever get my FERS deposit.
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W2R- From what I've read (because I'm no expert), the CPI is projected to move upward modestly despite the recent reduction in gas prices. The producer price index had a lot of build up from previous months that are still being pushed through despite lower gas prices. Maybe it will be like it was a few years ago when inflation spiked the cola then inflation will recede after we get them. While I'm at it, I might as well hope for the perfect trifecta of 1) Nice cola 2) Receding gas prices 3) No healthcare premium increases on my healthcare premium!
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06-18-2011, 04:49 PM
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#13
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Moderator Emeritus
Join Date: Jan 2007
Location: New Orleans
Posts: 47,468
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Quote:
Originally Posted by Mulligan
While I'm at it, I might as well hope for the perfect trifecta of 1) Nice cola
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Possibly!
Quote:
Originally Posted by Mulligan
2) Receding gas prices
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Probably! For a while, anyway.
Quote:
Originally Posted by Mulligan
3) No healthcare premium increases on my healthcare premium!
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What, are you out of your mind? No way! Not gonna happen in our lifetimes IMO.
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities. - - H. Melville, 1851.
Happily retired since 2009, at age 61. Best years of my life by far!
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06-18-2011, 04:52 PM
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#14
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 50,000
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Quote:
Originally Posted by W2R
I still think the RV'ers on the board ought to be in 7th heaven.
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Due to the fact diesel has declined only 8% here, more like 2nd heaven...
__________________
Numbers is hard
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06-18-2011, 04:54 PM
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#15
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Moderator Emeritus
Join Date: Jan 2007
Location: New Orleans
Posts: 47,468
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Oh drat, I didn't know they use diesel. Oh well, I guess 2nd heaven isn't bad for the time being...
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities. - - H. Melville, 1851.
Happily retired since 2009, at age 61. Best years of my life by far!
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06-19-2011, 07:14 AM
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#16
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2006
Location: Washington, DC
Posts: 11,314
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The Feds calculate the COLA August to August for some strange reason. I haven't felt the impact of inflation so it will be nice to get a raise.
__________________
Idleness is fatal only to the mediocre -- Albert Camus
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06-19-2011, 07:39 AM
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#17
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Moderator
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 25,290
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We have already received the letter, 2.5% COLA effective July 1. But the copay for prescriptions has gone up drastically to it's probably a net decrease.
But at least we have prescription coverage so to us the glass is half full. One aunt just went on a new drug for leukemia. Cost is $10k per month! How can anyone of even close to normal income afford that?
__________________
When I was a kid I wanted to be older. This is not what I expected.
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09-18-2011, 05:48 AM
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#19
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Dec 2008
Posts: 12,568
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Another COLA analysis
__________________
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'There is only one success – to be able to spend your life in your own way.’ Christopher Morley.
Even a blind clock finds an acorn twice a day.
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09-18-2011, 06:11 AM
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#20
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2006
Location: Washington, DC
Posts: 11,314
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Quote:
Originally Posted by Amethyst
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The summary is that if current trends continue thru Sept the SSA COLA will be about 3.5%. I think I heard a news report last week that inflation had stalled this month so maybe a bit less. Still looking like 3%+.
__________________
Idleness is fatal only to the mediocre -- Albert Camus
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