As reported in the Oct 17, 2008 edition of the AFSA Weekly Newsletter, military retiree and annuitant cost-of-living adjustment (COLA) that goes into effect on Dec 1, 2008 and will be reflected in the Jan 2, 2009 payment will generally be 5.8 percent. More details are now available. According to the Defense Finance and Accounting Service, the increase will be less for some retirees and annuitants, depending on actual service and retirement dates.

For retirees who first entered military service on or after Sept. 8, 1980, the COLA will be:

– 5.8 percent for those retiring before Jan. 1, 2008

– 5 percent for those retiring in the first quarter of calendar 2008

– 3.8 percent for those retiring in the second quarter of calendar 2008
– 1.2 percent for those retiring in the third quarter of calendar 2008
– No increase for those retiring in the fourth quarter of calendar 2008
For those retirees who first entered service on or after Aug. 1, 1986, elected to receive a Career Status Bonus, and retired before Jan. 1, 2008, the COLA will be:
– 4.8 percent for those retiring before Jan. 1, 2008
– 4.2 percent for those retiring in the first quarter of calendar 2008
– 3.3 percent for those retiring in the second quarter of calendar 2008
– 1 percent increase for those retiring in the third quarter of calendar 2008
– No increase for those retiring in the fourth quarter of calendar 2008
For more information, contact the Defense Finance and Accounting Service at (800) 321-1080, or click HERE.

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Posted on November 7th, 2008 by Lee Reedy
Filed under: News, The Latest