Each year your military retirement pay is adjusted to meet the increased cost of living. This Cost of Living Adjustment (COLA) varies from year to year based on the previous year's Consumer Price Index (CPI).
Note: This annual Cost of Living Adjustment is NOT in anyway related to the annual military pay raise for active duty and reserve servicemembers.
The COLA for 2008 is 2.3 percent for retired pay, SBP annuities, Social Security, and veterans disability compensation, effective December 1, 2007. It will be reflected in the January retirement check.
Retirees who first became a member of the uniformed services before Sept. 8, 1980 and retired before July 1, 2007 will receive the 2.3 percent Cost of Living Adjustment.
Retirees who first entered the military after Sept. 8, 1980 and retired before Jan. 1, 2007 will also receive the 2.3 percent COLA. Note: the detailed COLA rates for retirees who retired on or after Jan. 1, 2007 has not been released by DFAS.
Retirees who first became members of the uniformed services on or after Aug. 1, 1986 and elected to receive a Career Status Bonus at 15 years, and retired on or before Jan. 1, 2007, will receive an increase of only 1.3 percent. Note: the detailed COLA rates for retirees who retired on or after Jan. 1, 2007 has not been released by DFAS.
This data will be updated as soon as it is available.
