cost-of-living adjustment

(redirected from Cost Of Living Adjustment)
Also found in: Dictionary, Thesaurus, Medical, Legal, Acronyms, Encyclopedia.
Related to Cost Of Living Adjustment: inflation rate, Cost of living index

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 ?
Basic salaries for the first nine months of 2012 reached $1.47 billion, up 11 percent year-on-year and 4.4 percent after excluding retroactive payments and 2012 cost of living adjustments.
In exchange, the president is willing to agree to $1.22 trillion in spending reductions, including some cuts achieved by changing the way cost of living adjustments are made to Social Security retirement benefits and other programs.
99-514) suggests that a stream of payments under a defined contribution or defined benefit plan will not fail to be substantially equal solely because the payments vary on account of certain cost of living adjustments. See, e.g., S.
* Cost of living adjustments (COLAs) that are granted responsibly, for example through an ad hoc COLA that is amortized quickly, or an automatic COLA that is capped at a modest level;
For copyrights, it covers cost of living adjustments to license rates for performance of musical compositions by colleges and universities.