COLA will be at least 6.2% for Jan checks

[friar1610]

6.2 Cola for mil & fed retirees, huh?

For active employees & mil Bush has proposed 2.9 & 3.4 respectively, but Congress is set to pass 3.9 for both.

You'd think the fed govt would have a sane COLA policy based on some realistic economic indicator & that applies across the board to civilian, military, & retirees without having to go through all these political gyrations every year.

I agree. When I was on active duty, it used to p**s me off that retirees often got a bigger pay bump (on a percentage basis) than I did. I'm retired now, will certainly accept the increase to my pension, but would have absolutely no problem if I got no COLA adjustment IF the money I didn't get would go to the active duty and Guard folks who are making such great sacrifices at the moment. They deserve the money a lot more than I do.

 

[OAG]

I agree. When I was on active duty, it used to p**s me off that retirees often got a bigger pay bump (on a percentage basis) than I did. I'm retired now, will certainly accept the increase to my pension, but would have absolutely no problem if I got no COLA adjustment IF the money I didn't get would go to the active duty and Guard folks who are making such great sacrifices at the moment. They deserve the money a lot more than I do.

Any of the NGO's that support Veteran's will take the donation. I think they would be in a better position, and do a much better job of, "targeting" the funds.

 

[Tadpole]

Off topic a bit but I'm curious about something. Usually wage inflation outpaces inflation but not now. So in the past new retirees generally fared better than older retirees. Now I assume the opposite might be true if this trend continues. Am I thinking correctly?

 

[OAG]

Could very well be the current trend. I have been "retired" for 29 years and the COLA increase has been 113.2% (1979-this year), on a non-compounded rate. This is a bit clouded as in the early years the index was not pure CPI, but it is close. Not sure what the wage index increases for the same period were.

 

[ERD50]

So even if you do not collect SS yet, this factors into the payments you would get when you do decide to take them, right?

I don't think my expenses have gone up anywhere near that this year, but in previous years they outstripped inflation, just from the increase in my health insurance.

-ERD50