LATEST APWU MEMBER COLA INFORMATION FOR 2010! ZERO FOR MOST RETIREES!

For CSRS retirees:

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(11/18/09) - The CSRS retiree COLA is based on the increase in the third quarter (July, August, September) average of the CPI-W over the same quarterly average from the previous year. The third quarter average for 2009 fell 2.1% from the 2008 third quarter average.

All COLAs are upward adjustments, but based on the fall in the quarterly average there will be no automatic increase in CSRS benefits for 2010.

In addition, for 2011, the third quarter average for 2010 will be compared back to the third quarter average of 2008 (since no adjustment is made based on the third quarter of 2009).

Since the 2008 third quarter average is 2.1% higher than the current quarterly average, the index must rise higher than 2.1% to reap any increase in 2011.

Note: The 2009 CSRS Retiree COLA was 5.8% effective with the January 2009 payment.
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For FERS retirees:
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(11/18/09) - The FERS retiree COLA is based on the increase in the third quarter average of the CPI-W over the same quarterly average from the previous year. However, if the CPI-W quarterly average increases three percent or more, the COLA is the increase less one percent.

If the quarterly average increase is between two percent and three percent, the COLA is two percent. If the quarterly average increase is two percent or less, the COLA is equal to the quarterly average increase. The third quarter average for 2009 fell 2.1% from the 2008 third quarter average.

All COLAs are upward adjustments, but based on the fall in the quarterly average there will be no automatic increase in FERS benefits for 2010.

In addition, for 2011, the third quarter average for 2010 will be compared back to the third quarter average of 2008 (since no adjustment is made based on the third quarter of 2009).

Since the 2008 third quarter average is 2.1% higher than the current quarterly average, the index must rise higher than 2.1% to reap any increase in 2011.

Note: The 2009 FERS Retiree COLA was 4.8% effective with the January 2009 payment.
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For Social Security recipients:
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(11/18/09) - The Social Security COLA is based on the increase in the third quarter average of the CPI-W over the same quarterly average from the previous year. The third quarter average for 2009 fell 2.1% from the 2008 third quarter average.

All COLAs are upward adjustments, but based on the fall in the quarterly average there will be no automatic increase in SSI benefits for 2010.

In addition, for 2011, the third quarter average for 2010 will be compared back to the third quarter average of 2008 (since no adjustment is made based on the third quarter of 2009).

Since the 2008 third quarter average is 2.1% higher than the current quarterly average, the index must rise higher than 2.1% to reap any increase in 2011.

Note: The 2009 Social Security Retiree COLA was 5.8% effective with the January 2009 payment.
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For FECA employees:
(11/18/09) - The percentage increase in the December CPI-W index from year to year determines the FECA COLA increase. After the tenth month of the 2010 COLA measuring period, the CPI-W index has risen 3.3%. Note: the 2009 FECA COLA was $1 reflected in payments beginning in April 2009.

The December 2008 index was 0.5% below December 2007, but the law does not permit negative adjustments and requires a COLA of at least $1.00.

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FOR MORE INFO: GO TO www.apwu.org the source of above article!