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 ?
Therefore, the IRS held, the series of payments provided under Option X do not vary on account of cost of living adjustments, and thus, payments made under the Contracts pursuant to Option X are not "substantially equal periodic payments" within the meaning of Section 72(q)(2)(D).
Unfair because Cost of Living Adjustments insulate certain groups (those who get them) from the effects of inflation, while leaving others (those who don't) to bear its brunt.
And it should consider reducing cost of living adjustments and/or implementing a gradual phase-in of lower replacement ratios.