Update: 2010 Military Retirement COLA

Each year 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). The CPI dipped below 4 percent in the first two quarters of FY2009 and was still in negative numbers at the end of the fiscal year. Due to the negative CPI in FY2009 there will likely be no COLA increase for military retirees in 2010.