cost-of-living adjustment


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Cost-of-Living Adjustment

An increase to a wage, salary, or pension designed so that the real value remains the same. That is, a cost-of-living adjustment increases the underlying wage, salary, or pension so that it keeps pace with (but does not run ahead of) inflation. Federal pensions and Social Security include cost-of-living adjustments, though few other pensions do.

Cost-of-living adjustment (COLA).

A COLA results in a wage or benefit increase that is designed to help you keep pace with increased living costs that result from inflation.

COLAs are usually pegged to increases in the consumer price index (CPI). Federal government pensions, some state pensions, and Social Security are usually adjusted annually, but only a few private pensions provide COLAs.

cost-of-living adjustment (COLA)

A change in payments, such as rent in subsidized housing, based on a change in the index that measures inflation.

References in periodicals archive ?
Here in Oregon property taxes are up an average of 3 percent, and some places are seeing increases close to 8 percent - yet these taxes are not included in the current calculations for the Social Security cost-of-living adjustment.
It includes an annual salary increase that reflects a cost-of-living adjustment (COLA) and three bonus pools related to three areas: core values, core competencies and meeting goals.
1683, the Veterans Compensation Cost-of-Living Adjustment Act, is also important to PVA.
The accords, for the most part, followed the board's recommendations on wages which called for general wage increases of 3 percent on July 1 of 1991 and 1993, and 4 percent on July 1, 1994; lump-sum payments on July 1, 1992, January 1, 1993, and January 1, 1994, equal to 3 percent of an employee's earnings for the previous 12 months, with a similar 2-percent payment on January 1, 1995; and cost-of-living adjustment allowances with semi-annual payments effective January 1, 1995, the date the contract expires.
At the same time, the Consumer Price Index, the government's main inflation barometer and the key indicator for the year's cost-of-living adjustment, shot up .
the 4% cost-of-living adjustment that took effect in January 1989 brought the maximum federal SSI monthly payment for an individual to $368 and for a couple to $553.
The House of Representatives, by a vote of 408-0, has passed an annual cost-of-living adjustment (COLA) for veterans and their dependents.
Thanks to Eugene Mayor Kitty Piercy, City Manager Dennis Taylor got a $6,177 merit pay raise on Monday to go along with a cost-of-living adjustment.
The taxpayer asked the IRS if it was possible to modify his payment plan by adding an annual 4% cost-of-living adjustment (COLA) and by including a one-time "catch-up" amount.
He produced no evidence of the proper cost-of-living adjustment for the time period, how he calculated the distributed amount or why the alleged adjustment was made in a lump-sum payment, rather than allocated over each of the years.
The contract also calls for continuation of the cost-of-living adjustment clause, which provides for quarterly allowances equal to 1 cent an hour for each 0.
An increase in cost-of-living adjustment funding from the state helped boost the district's revenues.